Hydrogen has long been overshadowed by the more popular renewable energy sectors such as wind and solar, with nuclear energy even making a triumphant comeback in recent years. However, a new report from the Hydrogen Council paints a pretty picture for the hydrogen sector. Since 2020, over 1,500 projects have been announced, with several of those poised to make key breakthroughs this year. Clean hydrogen can drastically reduce emissions and accelerate the transition away from fossil fuel-based energy generation.
The Hydrogen Council has released its first Global Hydrogen Compass report
The council notes the rapid progress of the hydrogen sector over the past few years, and predicts that the same level of growth will occur this year as several projects around the world enter key phases. The report states that over 1,572 clean-hydrogen projects have been announced across more than 70 countries, which is drastically more than the 228 in 2020.
These thousands of projects represent over half a terawatt of planned electrolyser capacity valued at around $680 billion, while it should be mentioned that only $75 billion has reached a final investment decision. Despite that, the report from the Hydrogen Council predicts more substantial growth over the next decade or so. New flagship projects are popping up around the global energy market, with new emerging projects in Namibia and Chile signalling the diversity of the global hydrogen market.
While the progress has been commendable, some nations still experience issues
While the progress has been amazing, cancellations of hydrogen projects in Australia and delays across Europe have stagnated the growth, which has been a major driver in a litany of nations’ clean energy goals as well as plans to reduce emissions from the energy industry. The confirmed projects mark a new era of clean energy production in a world that has become heavily reliant on oil and gas.
The hydrogen renaissance is a global one, affecting many nations across the world
Among the most advanced projects is the NEOM Green Hydrogen Project in Saudi Arabia. Being developed by Air Products, ACWA Power, and the Saudi state-owned NEOM company, the project will feature state-of-the-art electrolysers, producing roughly 600 tonnes of hydrogen daily. China is among the nations of the world advancing the hydrogen sector drastically; in fact, it is the world’s largest electrolyser market.
The US, while experiencing some permitting issues recently under the current administration, has the ACES Delta in Delta, Utah. This hydrogen project is coming to us from Mitsubishi Power, Chevron, and Magnum Development, and combines 220 MW of electrolysers with an underground salt-cavern storage system. Europe has the Holland Hydrogen I in Rotterdam, being developed by Shell.
Even Africa has expressed its own hydrogen production ambitions recently
Namibia’s Hyphen Hydrogen Energy project stands as one of the continent’s most ambitious renewable-hydrogen projects, and will cover up to 4,000 km² of desert land leased from the Namibian government in the Tsau Khaeb National Park near Lüderitz. Even regions of the world known for their oil and gas refineries are developing plans for hydrogen projects, such as China’s plans for Inner Mongolia.
The unstoppable progress of the hydrogen sector has reshaped the global energy market, some say for good
The inevitable transition away from fossil fuel-based energy production has been a long time coming, and the Global Hydrogen Compass report from the Hydrogen Council predicts that substantial growth to continue this year. With the hydrogen market encompassing the entire world, the predictions for the future are looking good. Europe has seen several new hydrogen projects aiming for a 2026 commissioning date, such as the Plug Power-led 100 MW green hydrogen development at the Sines refinery in Portugal. Hydrogen is the fuel of tomorrow, and there’s no point in fighting it.
