Green Hydrogen Market Growth Driven by Clean Fuel Adoption and Market Players' Investments
Key Ideas
- The global green hydrogen market is projected to grow by USD 46.25 billion from 2024-2028, with a CAGR of 66.83% fueled by the increasing adoption of clean fuel and a focus on using clean hydrogen in refineries.
- Major market players include ACWA Power International, Air Liquide SA, Bloom Energy Corp., Cummins Inc., Siemens Energy AG, among others, contributing to market evolution with AI-powered analysis.
- Renewable energy sources like wind and solar are driving hydrogen production through electrolysis, with investments in renewable liquid hydrogen production and infrastructure development by companies like Engie and Hydrogenics.
- Challenges such as high initial costs for green hydrogen production and transportation, compared to grey hydrogen, are being addressed through investment plans and advancements in technology for a sustainable energy future.
The global green hydrogen market is set to experience significant growth, estimated at USD 46.25 billion from 2024 to 2028, with a remarkable CAGR of 66.83% during the forecast period. This growth is primarily attributed to the escalating adoption of clean fuel solutions across various industries and the increasing focus on utilizing clean hydrogen in refining processes. Notable market players such as ACWA Power International, Air Liquide SA, Bloom Energy Corp., and Siemens Energy AG are actively contributing to market evolution by leveraging AI-powered analysis tools to explore trends, segmentation, and growth drivers.
The market is witnessing a surge in demand as businesses and governments worldwide seek cleaner energy alternatives to meet their energy requirements. The production of hydrogen, particularly green hydrogen, is being driven by renewable energy sources like wind and solar power through electrolysis methods utilizing alkaline or Proton Exchange Membrane (PEM) electrolyzers. Companies like Air Liquide are making substantial investments in producing renewable liquid hydrogen from excess renewable energy resources.
Supportive policies, especially in regions like California with de-carbonization goals, are playing a crucial role in boosting the demand for clean hydrogen. The International Energy Agency forecasts a notable increase in hydrogen production as part of the transition towards a carbon-neutral economy, with companies like Engie and Hydrogenics leading strategic initiatives in hydrogen production and infrastructure development.
Despite the positive outlook for the green hydrogen market, challenges persist, particularly concerning the high initial costs associated with green hydrogen production and transportation compared to grey hydrogen. However, ongoing investment plans and technological advancements are aimed at overcoming these challenges and facilitating the shift towards a more sustainable and environmentally friendly energy landscape. The future of the hydrogen economy appears promising, with opportunities emerging across various sectors and applications, including transportation, power generation, heating, and even space applications.
Topics
Power
Renewable Energy
Sustainability
Business Growth
Energy Transition
Market Analysis
Clean Fuel
Investment Landscape
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