An integrated ecosystem for a clean hydrogen economy

A Hydrogen Valley is a regional ecosystem where green hydrogen is produced, stored, distributed, and used across sectors like industry, transport, and heating. By integrating the full hydrogen value chain in one area, it cuts CO2 emissions, boosts energy independence, and drives a circular renewable energy economy.

Introduction

Hydrogen at scale: the Castilla y León Hydrogen Valley

Castilla y León Hydrogen Valley is a flagship European initiative co-funded by the Clean Hydrogen Partnership. It is developing one of the largest Hydrogen Valleys in Europe, connecting clean hydrogen production and infrastructure to real-world applications in mobility, industry, and the energy sector.

By 2028–2029, the valley will be fully operational, producing over 16,000 tonnes of renewable hydrogen annually. It will serve as a large-scale demonstration of hydrogen’s technical and financial viability — proving its role as a key enabler of the energy transition and sector-wide decarbonisation.

With ten pilot projects and a smart digital platform to monitor and optimise performance, Castilla y León Hydrogen Valley showcases how hydrogen can reduce emissions, strengthen energy systems, and drive sustainable industrial growth. An eleventh pilot will support future expansion and replication.

About the region

Why Castilla y León?

As one of Spain’s leading regions in renewable energy production, Castilla y León is ideally positioned to host a Hydrogen Valley. At the same time, it faces challenges such as depopulation and economic decline. Castilla y León Hydrogen Valley addresses both by creating green jobs, attracting skilled professionals, and helping build a more resilient regional economy.

The project contributes directly to the goals of the EU Hydrogen Strategy, the REPowerEU plan, and the United Nations 2030 Agenda for Sustainable Development.

Roadmap

Project timeline and future developments

The Castilla y León Hydrogen Valley project involves three phases:

a three-year preparation period (2025–2027), followed by full operation (2028–2029), and then a long-term upscaling strategy that paves the way for a regional clean hydrogen economy by 2035.

  • Phase 1: Preparation (2025-2027)
    Laying the foundations of the Hydrogen Valley by integrating all project pilots across the entire value chain: production, storage, distribution, and end use. The goal is to ensure coordination and readiness for full-scale operations.
  • Phase 2: Full Operation (2028-2029)
    For at least two years, the Hydrogen Valley will operate at full capacity, producing over 16,000 tonnes of green hydrogen per year. This phase integrates applications across energy, industry, and mobility, validating both the financial feasibility and the technical and economic sustainability of the model.
  • Phase 3: Upscaling (2030 onwards)
    The next step begins with Pilot 10 — the Valladolid Clean Hydrogen Project, which will supply hydrogen to industries, vehicles, and the gas grid. By integrating production, storage, and distribution within a single framework, this phase sets the stage for a fully developed regional hydrogen economy by 2035.

Impacts

One valley, multiple impacts

Green hydrogen is unlocking new opportunities for Castilla y León — cutting emissions, powering industries, and creating future-ready jobs. This transition is more than an energy shift: it’s an environmental, economic, and social transformation. By scaling clean hydrogen across sectors, boosting regional competitiveness, and engaging local communities, the region is positioning itself as a leader in Europe’s clean energy future.

Environmental impacts

Production of green hydrogen

Annual production, distribution, and use of 16,889 tonnes of green hydrogen across industry, mobility, and energy sectors

Reduction of CO₂ emissions

Avoidance of over 152,000 tonnes of CO₂ emissions each year

Acceleration of clean hydrogen

Acceleration of clean hydrogen integration into the regional energy system

Model for EU regions

A scaleable, replicable model for other European regions, enabling knowledge sharing and technology transfer

Economic impacts

Job creation and reskilling

Creation of 1,925 high-skilled jobs and 2,000 reskilling opportunities for workers in the hydrogen sector

Regional growth and competitiveness

Boost to regional economic growth and industrial competitiveness.

Lower industrial costs

Reduced operational costs for industries through less reliance on fossil fuels

Investments and incentives

Stronger investment momentum and access to incentives for clean energy projects

Social impacts

Talent attraction and retention

Attraction and retention of talent in the hydrogen sector, helping counteract regional depopulation

Regional positioning

Promotion of Castilla y León as a clean, innovative, and future-ready region

Community resilience

Increased energy autonomy and resilience for local communities

Public awareness

Public engagement and awareness raising on the benefits of hydrogen as a clean energy carrier

Pilots

Eleven pilots, one integrated hydrogen ecosystem

Castilla y Leon Hydrogen Valley includes 11 pilot sites across Castilla y León, each demonstrating a key element of the hydrogen value chain — from production and distribution to end use in transport, industry, and energy. Together, they form an integrated ecosystem proving the versatility and scalability of green hydrogen.