Plug Power Implements Groundbreaking Spot Price Programme for Green Hydrogen in the US
Key Ideas
- Plug Power introduces spot pricing for liquid green hydrogen, breaking away from traditional long-term contracts.
- This move aims to stimulate the development of a traded commodity market for green hydrogen energy.
- Buyers can purchase on-demand from any of Plug's US plants at a weekly spot price, enhancing market trust and transparency.
US-based company Plug Power has announced a groundbreaking shift in its hydrogen supply framework by offering liquid green hydrogen on a spot basis rather than through long-term contracts. This innovative move allows buyers to purchase hydrogen on-demand from any of Plug's operational plants in the US, with pricing based on supply and demand dynamics each week. Plug Power, a major player in the green hydrogen sector, produces approximately 45 tonnes of liquid green hydrogen daily. By implementing this first-of-its-kind spot pricing system, Plug aims to foster trust and transparency in the industrial hydrogen market, thereby potentially paving the way for the establishment of a commodity market for green hydrogen. Participating buyers will engage in the spot pricing system, representing a shift towards a more dynamic and flexible approach to acquiring green hydrogen within the energy supply chain.