APPLICATIONS OF GREEN HYDROGEN

Green hydrogen has diverse applications across various sectors:

• Energy Storage: Green hydrogen can store excess renewable energy, which can be converted back to electricity when needed. This helps balance supply and demand, especially with intermittent renewable sources like wind and solar.

• Transportation: Hydrogen fuel cells power vehicles, including cars, buses, and trucks, offering a zero-emission alternative to traditional fossil fuels. Hydrogen-powered trains and ships are also being developed.

• Industrial Use: Green hydrogen is used in refining processes, ammonia production, and steel manufacturing. It helps decarbonize these energy-intensive industries by replacing fossil fuels.

• Power Generation: Hydrogen can be used in gas turbines to generate electricity, providing a clean backup power source. It can also be blended with natural gas to reduce emissions from existing power plants.

• Residential Heating: Hydrogen can be used for heating homes and buildings, either directly or by blending with natural gas.

MARKET DRIVERS

• Decarbonization Goals: Global commitments to reduce carbon emissions are driving demand for green hydrogen. Countries are setting ambitious targets for carbon neutrality, which require the adoption of clean energy technologies.

• Technological Advancements: Improvements in electrolyser efficiency and cost reductions are making green hydrogen more competitive. Innovations in hydrogen storage and transportation are also contributing to market growth.

• Government Support: Policies and subsidies are encouraging investment in green hydrogen infrastructure. Governments are providing funding for research and development, infrastructure projects, and market creation initiatives.

MARKET POTENTIAL:

GREEN HYDROGEN MARKET SIZE & FORECAST 

According to Market Research Universe's recent published report, The Global Green Hydrogen Market is expected to reach over $61 billion by 2030. The market is projected to grow at a compound annual growth rate (CAGR) of above 39% from 2024 to 2030,  driven by increasing demand for clean energy and supportive government policies.

MARKET CHALLENGES

• High Production Costs: Green hydrogen production is still more expensive than grey hydrogen. Reducing the cost of renewable energy and improving electrolyser efficiency are critical to making green hydrogen economically viable.

• Infrastructure Development: The lack of widespread hydrogen infrastructure limits its adoption. Developing a comprehensive hydrogen infrastructure, including production, storage, and distribution facilities, is essential for market growth.

• Energy Efficiency: The energy conversion efficiency of green hydrogen production and use needs improvement. Research and development efforts are focused on improving the efficiency of electrolysers and fuel cells.

RECENT DEVELOPMENTS

Recent advancements in green hydrogen technology and infrastructure include:

• Partnerships and Collaborations: Companies and governments are forming partnerships to accelerate the development of green hydrogen. For instance, the European Clean Hydrogen Alliance brings together industry, government, and research organizations to promote hydrogen technologies.

• Pilot Projects: Numerous pilot projects worldwide are demonstrating the feasibility of green hydrogen in various applications. For example, the HyDeploy project in the UK is blending hydrogen with natural gas to reduce emissions from heating.

• Hydrogen Refueling Stations: The expansion of hydrogen refueling infrastructure, particularly in Europe and Asia, is facilitating the adoption of hydrogen-powered vehicles. Countries like Japan and South Korea are leading in the deployment of hydrogen refueling stations.

• Electrolyser Technology: Innovations in electrolyser efficiency and cost reduction are making green hydrogen more economically viable. New materials and designs are improving the performance and durability of electrolysers.

GOVERNMENT POLICIES & REGULATIONS

Governments around the world are implementing policies to support the development and adoption of green hydrogen:

• European Union: The EU’s Hydrogen Strategy aims to install at least 40 GW of renewable hydrogen electrolysers by 2030. The strategy includes funding for research and development, infrastructure projects, and market creation initiatives.

• United States: The Department of Energy’s Hydrogen Program focuses on reducing the cost of hydrogen production, expanding its use in various sectors, and developing a robust hydrogen infrastructure. 

• India: The National Hydrogen Mission aims to make India a global hub for green hydrogen production and export. The mission includes targets for hydrogen production, incentives for industry, and support for research and development.

MAJOR PLAYERS INVESTING IN THE GREEN HYDROGEN MARKET

Key companies and organizations driving the green hydrogen market include:

• Siemens Energy: Developing advanced electrolyser technology and large-scale hydrogen projects. Siemens is involved in several green hydrogen projects across Europe and the Middle East.

• Air Liquide: Investing in hydrogen production and distribution infrastructure. Air Liquide is a leader in hydrogen production and is involved in numerous projects worldwide.

• Plug Power: Specializes in hydrogen fuel cell systems and green hydrogen production. Plug Power is expanding its green hydrogen production capacity in the United States and Europe.

• Linde: A leading provider of hydrogen production and storage solutions. Linde is involved in several green hydrogen projects and is developing new technologies for hydrogen production and storage.

MRU'S RECOMMENDATION

Green hydrogen holds immense potential to revolutionize the energy landscape, offering a sustainable and versatile solution to global energy challenges. Continued investment, technological innovation, and supportive policies will be crucial in unlocking its full potential and achieving a low-carbon future.

GREEN HYDROGEN MARKET TRENDS REPORT

Green hydrogen, produced through the electrolysis of water using renewable energy sources like wind, solar, and hydropower, is emerging as a cornerstone in the global shift towards sustainable energy. Unlike grey hydrogen, which is derived from natural gas and results in significant CO2 emissions, green hydrogen is virtually emission-free. This makes it a critical component in efforts to reduce global greenhouse gas emissions and combat climate change.