According to a joint statement from the two companies, the project will receive a 15-million-euro subsidy from the EU. This initiative is intended to assist BP in reducing the carbon footprint of its oil refinery in Castellon.

Iberdrola and BP will each provide half of the funding for the project, though they did not reveal the total cost of constructing the plant.

The production of green hydrogen involves using electricity from renewable sources, such as wind and solar power, to separate hydrogen from water through electrolysis. This process is a component of Europe's strategy to address carbon emissions and enhance energy security.