Plagazi receives €29.5M EU grant for its waste-to-circular hydrogen project

Sweden’s cleantech company Plagazi has received a €29.5 million grant from the EU Innovation Fund for ‘Gävle Circular Park,’ its flagship project described as a key part of efforts to advance the development of local value chains across several sectors, including hydrogen transport, CO2 transport and storage, and renewable energy integration.

The grant has been signed and officially allocated to Plagazi following the nomination in October 2024, when the project was chosen as one out of 85 projects to receive funding among 337 applications.

According to Plagazi, this project, which is powered by the company’s patented process and InEnTec-supplied plasma gasification technology, will transform non-recyclable waste into circular hydrogen and captured, liquid CO2, driving decarbonization in both industry and transport sectors.

As disclosed, the pilot plant is expected to process 22.000 tons of waste annually, producing up to 4.000 tons of sustainable hydrogen. The project will reportedly lead to a relative greenhouse gas (GHG) emission avoidance of 206% compared to the hydrogen production from fossil fuels.

Soran Shwan, CEO of Plagazi, said: “The grant signature is very rewarding following a very collaborative grant preparation process with the European Climate Agency [CINEA]. This non-dilutive funding agreement will be a great asset to attract private funding now. We are proud that the EU has now put us on the map among other low-carbon hydrogen projects in Europe and that there is growing recognition that technology openness is the right approach to promote a strong climate tech sector in Europe.”

It is understood that this funding supports Plagazi’s efforts in waste gasification-enabled circular economy solutions and contributes to the EU’s broader mission for an energy-secure, sustainable, and zero-emissions future.

In other news, in 2024, Plagazi revealed that the European Investment Bank (EIB) will provide financial advisory for its Köping Hydrogen Park, expected to annually produce 12,000 tonnes of green hydrogen from 66,000 tonnes of non-recyclable waste.

Earlier, Plagazi announced a project with compatriot Gotlandsbolaget for the supply of hydrogen for the next-generation Gotland Horizon fleet, and Plagazi and Norway’s Litra stated the intent for a commercial agreement between the two companies, which would enable Litra to undertake the transport of circular hydrogen.