Unlocking JTF funds: the power of clear criteria and regional collaboration

In April, the Ústí region (CZ) hosted delegations from Asturias (ES), and Upper Nitra (SK) as part of the exchangeEU programme. This collaborative study visit focused on sharing best practices and addressing challenges in preparing projects under the Just Transition Fund, as well as scaling-up the green hydrogen economy in the regions. The participating delegations aimed to learn from each other’s experiences since the approval of their Territorial Just Transition Plans (TJTPs), identifying barriers and success strategies for implementation.

Four main challenges were identified and explored further:

• Tight timelines: approximately 60% of the JTF allocation must be contracted by the end of 2023, and those projects need to be implemented (with the budget spent) by the end of 2026;
• Adapting to new regulations: developing calls for proposals according to new regulations and rules associated with the JTF is time-consuming, and there are few examples on which to base the documents. Furthermore, region-specific interpretation of regulations is needed;
• Defining the eligibility criteria: regions face difficulties determining the criteria for fund eligibility, and ensuring that there is no overlap with other funding sources;
• Procedural barriers: Coordination with multiple regulating entities at local, national, and EU levels have led to project delays.

Discussing these challenges and barriers openly with peer regions helps distill key learnings, and possible sollutions to implement moving forward. In particular, Ústí, Asturias and Upper Nitra observed:

• Direct communication with the European Commission helps to speed up criteria development and calls for proposals.
• Establishing regional green hydrogen associations, such as the Czech Platform or Asturian H2 Roundtable, proved vital for scaling-up projects and working collectively on proposals to meet regional hydrogen demands.
• Addressing the full value chain of hydrogen, and developing integrated hydrogen projects (that consider energy, production, transportation, and end use), is crucial!
• Exploring diverse funding tools like the JTF, Innovation Fund, and European Hydrogen Bank is advisable for capital-intensive projects like green hydrogen.

Exchange among these regions provided fresh ideas, inspiration, and the determination to persist in implementing green hydrogen projects, despite encountering bottlenecks.