The Insight Partners: Green hydrogen market to grow to $88 billion by 2030
According to the “Green hydrogen market forecast to 2030 – COVID-19 impact and global analysis – technology (alkaline electrolysis and PEM electrolysis), renewable source (wind energy, solar energy and others), end-use industry (chemical, power, food & beverages, medical, petrochemicals and others) and geography,” by research and consultancy company The Insight Partners, green hydrogen market size is expected to grow globally from $4.06 billion in 2022 to $88.05 billion by 2030.
The company reported that the establishment of large-scale green hydrogen plants attracts significant investments from both the public and private sectors, mentioning projects such as the hydrogen production facility and a hydrogen liquefaction facility in Queensland, Australia.
The Insight Partners highlighted that many countries have plans to produce green hydrogen to achieve their respective zero-emission targets which is said to be a major factor likely to provide future growth opportunities for green hydrogen market players across different regions.
In addition, the green hydrogen market is likely to witness new players coming forward to compete and make their contributions towards a sustainable future, the company noted.
A rise in infrastructure development is also expected to create a favorable environment for the adoption of green hydrogen in different sectors, which according to The Insight Partners, is likely to offer growth opportunities to the green hydrogen market players during the forecast period.
The company listed Air Liquide and Siemens Energy, Cummins, Linde, NEL ASA, Ørsted, Toshiba Energy Systems and Solutions Corporation, Uniper, Engie and Air Products and Chemicals as some of the key players operating in the green hydrogen market, highlighting a few of the important market initiatives and product developments from the industry:
- In 2023, Air Liquide sold its 19% stake in the fuel cell and hydrogen production technologies provider Hydrogenics Corporation to Cummins, who owns the remaining 81% of the company, The Insight Partners noted, adding that Air Liquide is more than ever committed to the development of hydrogen.
- In 2023, Linde announced a plan to increase its green hydrogen production capacity in Ontario, California, U.S., with the company also expected to build, own and operate the first of several planned five-megawatt PEM (proton exchange membrane) electrolyzers to increase its hydrogen capacity.
With the expansion of offshore wind and other renewables, the opportunities to produce and store clean hydrogen are also expected to grow in the coming years, The Insight Partners claimed, noting that green hydrogen can potentially contribute to decarbonizing various sectors and play a significant role in transitioning to a low-carbon economy.
The company also remarked that the U.S. Department of Energy (DOE) is actively involved in promoting research and development across various technologies aimed at achieving economically viable and net-zero-carbon pathways for hydrogen production.
In January 2023, the U.S. DOE announced a “Funding Opportunity Announcement (FOA)” in response to the “Infrastructure Investment and Jobs Act (IIJA),” commonly known as the “Bipartisan Infrastructure Law (BIL).”
This initiative involves an investment of $8 billion to facilitate the establishment of “Regional Clean Hydrogen Hubs (H2Hubs),” which are expected to serve as critical centers for showcasing the entire clean hydrogen value chain, encompassing production, processing, delivery, storage and end-use applications.
Through this funding, the DOE aims to accelerate advancements in hydrogen technology and infrastructure, driving toward a more sustainable environment.
According to The Insight Partners, such initiatives are likely to catalyze the green hydrogen market size in the near future.
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