Italy Transposes RED III with Green Hydrogen Mandates for Transport and Industry
Italy became one of the first major EU economies to fully transpose RED III, with binding green hydrogen mandates for transport and industry effective February 4, 2026. ETS revenue will fund RFNBO incentives.
Italy has transposed the EU's Renewable Energy Directive III into national law, with green hydrogen mandates for transport and industry effective February 4, 2026.
Key Details
Unlike many member states, Italy implemented RED III as written, creating binding targets for renewable hydrogen consumption. Fuel suppliers and industrial hydrogen users now face mandatory green hydrogen quotas.
Effective date: February 4, 2026
Sectors covered: Transport (refineries producing green jet fuel, marine fuels) and industry (steel, chemicals requiring green hydrogen feedstock)
Funding Mechanism
A notable feature of Italy's transposition is its funding approach. Article 8 links hydrogen incentives directly to ETS revenues: "from 2026, an annual share of the proceeds deriving from the auctioning of emission allowances" funds incentive measures for renewable fuels of non-biological origin, including renewable hydrogen.
This creates a self-reinforcing mechanism: carbon trading revenues fund the transition to green hydrogen.
Authorization Acceleration
From January 1, 2026, renewable energy projects, their associated networks, and storage facilities are granted national importance status in authorization procedures. They are legally considered to serve national security, public health, and safety — reinforcing their priority in permitting.
Implications for RFNBO Certification
Italy's early transposition creates immediate demand for RFNBO certification. Italian hydrogen producers and industrial consumers will need certified renewable hydrogen for mandate compliance. Companies serving the Italian market — either as domestic producers or exporters — must demonstrate RFNBO compliance.
For the broader EU landscape, Italy joins the growing list of member states where RFNBO certification transitions from voluntary to legally required. Watch for Germany, France, and Spain transposition timelines to follow.
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