Por Redaccion - The regional government is driving a Hydrogen Valley with over 385 million euros in public and private investments, which will initially reach various points in Burgos and Soria, and later expand throughout the region.
- The goal is to make Castilla y León a European reference ecosystem for green hydrogen, integrating from production to distribution, storage, and final consumption.
March 31, 2025
Castilla y León | President of the Junta de Castilla y León
The President of the Junta de Castilla y León, Alfonso Fernández Mañueco, participated today in the presentation of the Hydrogen Valley, ‘CyLH2Valley’, a strategic project that positions Burgos as a driving force in energy and industrial transformation.
During his speech, Fernández Mañueco emphasized the regional government’s commitment to the development of green hydrogen as a key source for ecological transition, with the aim of positioning Castilla y León at the national forefront and establishing it as a benchmark in this field.
The region currently has over 60 projects related to green hydrogen, many of them in advanced stages. Together, these initiatives will mobilize 6.6 billion euros in investments and create 3,200 jobs. The objective is for Castilla y León to cover 25% of the national production of green hydrogen.
Castilla y León starts from a solid position thanks to operational infrastructures like the Redexis plant in the Garray PEMA, in Soria, which produces 300 tons of green hydrogen annually and avoids the emission of 89 tons of carbon dioxide. Initiatives implemented in León, such as those in La Robla, Villadangos del Páramo, or Compostilla, are also noteworthy.
The project presented today has been promoted by a consortium of public and private entities, in which the Junta de Castilla y León is an active partner, and has received support from the European Commission through the Horizon program, following the submission of a joint proposal developed by CARTIF. Thanks to this effort, nearly 20 million euros in European funds have been secured, aimed at total investments exceeding 385 million euros, encompassing both private investment and public resources, covering the entire value chain from production to compression, distribution, storage, and final consumption. The creation of 2,000 direct and indirect jobs in the long term is anticipated.
The project’s financing is divided between public and private resources of the companies participating as partners in the project. Among them are Iberhidrógeno, Elyse-Kronospan, Buramove, Joanca, Ferroli, Tresca, Burgos Eficanza, Hyperbaric, Aciturri, Beroil, Desmasa, Buramove, and Youta Power.
The President of the Junta noted that the push for green hydrogen aligns with the regional government’s commitment to a decarbonized energy model as a lever for economic growth. Additionally, this reinforces the Junta’s dedication to clean energies, the future industrial and technological development of the region.
The development of the green hydrogen sector holds a triple strategic value. It facilitates the decarbonization of the business and industrial fabric, expands the capacity for renewable energy production, and creates new opportunities in an emerging economic sector for companies and professionals in the region.
The President also called for the involvement of the Spanish Government in driving this ecosystem. Therefore, he requested investments in gas infrastructure networks, as well as strengthening electrical capacities in areas where new hydrogen plants are expected to be established.
Moreover, the President highlighted the successful integration of the consortium promoting the Hydrogen Valley into the Spanish Hydrogen Valleys Alliance, an initiative that will enhance institutional and business cooperation nationwide and consolidate the region’s leadership role in energy transition.
Hydrogen Valley
The development of this initiative, which will have an initial investment of 385 million euros from both private and public sources, is based on the implementation of 9 pilot projects including 4 hydrogen production plants, two of which integrate their conversion to ammonia and methanol, the modification of burners to hydrogen in natural gas consumption facilities, a hydrogen refueling station, a hydroduct, and the acquisition of buses, trucks, and light vehicles.
Following the completion of these projects, a second phase will commence with a tenth project for the Burgos-Valladolid axis, replicating the development of the initial projects, thus establishing the foundations for the complete integration and development of this technology in the region.
The Consortium participating in the Hydrogen Valley Project ‘CyLH2valley’ consists of 35 partners (22 with work centers and operations in Castilla y León) distributed among consulting and engineering firms, technology centers, foundations, associations, companies, public bodies, and associations.
The project’s financing is divided between the public and private resources of the companies participating as partners in the project.
Technological Leadership of the Region
The ‘CyLH2valley’ project focuses on Burgos and is led by the CARTIF technology center, the Castilian-Leonese Hydrogen Association ‘h2CyL’, and the University of Burgos, who have structured the project’s development into 3 phases: the first for design, the second for material execution, and the third for operation and exploitation.
For the complete development of the project, various tasks of design, research, involvement of the different companies and institutions involved, market analysis, and business model analysis are essential, where the Junta de Castilla y León will have a role through the Regional Energy Entity of Castilla y León (EREN).
Production and CO2 Emissions Reduction
The Valley will have a production capacity of over 16,800 tons of green hydrogen annually, generated through electrolysis and powered by renewable sources. The hydrogen produced will enable the manufacturing of products such as green methanol and ammonia, integrate into industrial processes, and fuel zero-emission mobility systems like buses and logistics vehicles.
It is also projected that the project will reduce up to 152,000 tons of CO₂ per year by replacing fossil fuels in key sectors, and position Castilla y León as a significant energy node at a European scale due, among other reasons, to its substantial installed wind generation capacity of 7,200 MW, one of the largest in Europe.
The significant development of this sector in Castilla y León is crucial as it will facilitate the decarbonization of companies, especially industrial ones, attracting others seeking more environmentally sustainable opportunities. Additionally, it will enable greater production of renewable energies by favoring their storage and manageability, while creating new opportunities in a future economic sector for companies and professionals.