Our differentiation

EGHAC focusses on a value chain approach to derisking FOAK projects

1. A value chain approach to derisking FOAK projects:

one of the biggest hurdles facing FOAK projects today is signing bankable off-take agreements. Without a customer, there is no business case. EGHAC’s approach ensures all relevant stakeholders across the value chain are brought in from the start to jointly derisk the project concerning (offtake, financing, technology). This includes securing committed off-takers (strategic corporates) in new venture cap tables. Case studies: GravitHy, FertigHy (make link to initiatives).

2. We’re pan-European.

Many of the venture builders out there operate at national level with national partners available to them. FOAK projects require unique expertise which is why EGHAC builds projects for a pan-European market with a wider pool of partners from InnoEnergy’s network. This also makes project replication easier.

3. Focus on the best use cases:

EGHAC focuses on use cases where hydrogen can make a difference when electrification and other means cannot. Focus is required on use cases where hydrogen is most viable and most needed in hard-to-abate industries to increase chances of project bankability. EGHAC focuses on namely green steel, fertilisers, efuels for aviation and maritime sectors and to some extent the chemical industry.

4. Green premium:

The green premium isn’t as costly as it might seem for use of hydrogen in the right sectors when the cost is spread across the full value chain, from production to end product. EGHAC analysis:
  • Using green steel in cars would add around €200-500 per vehicle. For a car priced at €60,000, this increase is minor, lower than 1%of the total cost.
  • In the beverage sector, producing a beer with green hydrogen fertilisers translates to only an extra 2-3 cents per bottle, which is an easy adjustment for most consumers.
  • In aviation, where sustainable eFuels are more costly than conventional fuels, but the introduction of initially small percentages for blending mandates by the EU allows the sector to absorb costs gradually, reducing the immediate cost impact.