MIBGAS Partners with Pexapark to Support Iberia’s Green Hydrogen Market
- MIBGAS selects Pexapark as provider of renewable energy PPA benchmark prices to support MIBGAS IBHYX, Iberia’s first green hydrogen price index, launched in December 2024.
- Spain’s €1.2 billion ‘Hydrogen Valleys’ program accelerates green hydrogen initiatives, increasing the need for reliable pricing data.
MIBGAS, the Iberian Gas Market, has partnered with Pexapark, Europe’s leading provider of benchmark renewable energy power purchase agreement (PPA) pricing data, to power Iberia’s first renewable hydrogen price index, MIBGAS IBHYX. This collaboration marks a significant early milestone in the development of a transparent and sustainable market for green hydrogen in Spain and Portugal.
The cost of ‘green electrons’ – whether generated on-site or purchased via a PPA – is a core component of the price of green hydrogen and its derivatives to the end user. By selecting Pexapark as its trusted source of market-based benchmark prices for Iberian solar and wind PPAs for use in the index, MIBGAS is reinforcing the critical role of renewable energy pricing in determining fair and competitive hydrogen prices.
This partnership highlights the growing importance of renewable energy PPAs in enabling the European green hydrogen economy, with the number of PPA deals linked to hydrogen production rising significantly in recent years, as tracked by Pexapark’s market analyst team.
The Iberian Peninsula in particular has emerged as a key growth market for green hydrogen, underscored by the strong performance of Iberian projects. It is a technology that can help Spain manage its abundant solar resources, making the country a prime location for cost-effective hydrogen production.
However, to unlock its full potential, the market increasingly requires transparent price signals that allow both developers and offtakers to make informed decisions. The new index by MIBGAS, underpinned by Pexapark’s renewable energy price data, aims to address this need. Pexapark’s market-based data is informed by over 1,000 pricing data points, collected monthly in PPA price polls from utilities, trading houses and corporates.
MIBGAS IBHYX is updated weekly and published on www.greenenergy.mibgas.es. It reflects the levelized production cost of renewable hydrogen, or the minimum price at which a producer is willing to sell to achieve the expected profitability in a model electrolysis plant in the Iberian Peninsula. IBHYX is compliant with the criteria established in the European Union’s delegated acts for the production of RFNBO (Renewable Fuel of Non Biological Origin) hydrogen.
“While offtake deals for green hydrogen, methanol, and other derivatives remain rare across Europe, these fuels will ultimately need to compete for renewable power in an already active PPA market. By launching its new price index, MIBGAS is taking an important step toward increasing price transparency for green hydrogen as the company responsible for the Gas Market in Iberia, reinforcing its position as a market leader,” said Jacob Roberts, Director of Business Development & Partnerships at Pexapark.
“At Pexapark, we understand the critical role of transparency in valuing renewable electricity. We are proud to support MIBGAS with reliable market-based solar and wind PPA price data, helping to drive transparency and accelerate the energy transition.”
Raúl Santamaría, Managing Director at MIBGAS, highlighted that MIBGAS is firmly committed to advancing the development of the renewable gas market and, specifically, renewable hydrogen: “MIBGAS IBHYX is a reference price for renewable hydrogen that reflects a reliable, robust, non-manipulable and representative cost-based signal”.
Spain’s push for green hydrogen is also closely tied to its broader renewable energy strategy. The Spanish National Integrated Energy and Climate Plan (PNIEC) has increased its electrolyser capacity target to 12 GW, with the aim of expanding the use of green hydrogen across industrial sectors to 74%. Additionally, initiatives such as the H2MED pipeline, connecting Iberia to France by 2030, are expected to boost the region’s role as a key supplier of affordable green hydrogen to mainland Europe.
Pexapark has been supporting both developers and offtakers in the emerging European Power-to-X market for over 5 years, through a combination of benchmark prices, market intelligence, and advisory services.