Norway Greenlights Major Hydrogen Plant for Ferry Fleet

One of Norway's first large-scale green hydrogen plants is officially moving forward after securing $11 million in government funding and final investment approval.

The Bodø Hydrogen Project will produce up to 3,100 tons of clean hydrogen annually when it opens in 2026. Located in northern Norway's Bodø municipality, the facility will directly fuel ferries operating the Vestfjorden route, becoming the first plant in its region to deliver pressurized hydrogen straight to maritime vessels.

German asset manager Luxcara partnered with Norwegian developer GreenH to bring the project to life. The two companies received crucial backing from Enova, Norway's state-run climate enterprise, in December 2024. Preparatory construction has already begun on site.

The plant's first phase includes a 20-megawatt electrolyzer. A second phase could add another 10 megawatts, boosting total production to 4,800 tons of hydrogen per year. Ferry operator Torghatten Nord has committed to using the fuel for its passenger services starting in 2026.

The Ripple Effect

This project represents more than cleaner ferries. It's a blueprint for how Europe can transition heavy transportation away from fossil fuels without waiting for perfect conditions.

The Bodø facility benefits from Norway's abundant renewable electricity, keeping hydrogen production costs manageable. Its proximity to the ferry route eliminates expensive long-distance transportation. The plant will even monetize byproducts like residual heat and oxygen, creating additional revenue streams that make the economics work.

Luxcara's investment manager Halvor Nessen says the project contains all the elements needed for hydrogen success: committed partners, local demand, cheap renewable power, and value from byproducts. These practical ingredients could guide the next wave of hydrogen developments across Europe.

For Luxcara, Bodø is their second major hydrogen venture after investing in Hamburg's 100-megawatt facility built on a former coal plant site. GreenH is simultaneously developing five other hydrogen projects across Norway, from Rogaland to Tønsberg.

The timing matters too. As Europe races to meet climate goals, maritime transport remains one of the hardest sectors to decarbonize. Ships and ferries can't run on batteries alone for longer routes. This makes green hydrogen one of the few viable paths forward for ocean-going vessels.

Northern Europe now has a working model to follow.