hydrogen generation Market –Favorable Government Policies and Initiatives to Drive the Market Growth– Growing at a Compound Annual Growth Rate (CAGR) 10.10% from 2022 to 2028

Hydrogen Generation
  • Hydrogen Generation Market

As stated in our extensive report; the Global hydrogen generation Market accounted forUSD 158.4 Billionin the year 2021.

The need for cleaner fuel and the expansion of regulatory rules requiring the desulfurization of petroleum products is projected to be the main drivers of the global market for hydrogen generation. Since hydrogen is a powerful energy transporter, its continued expansion into additional markets is anticipated to benefit greatly from this property. During the projected period, an increase in the worldwide electricity consumption of about two-thirds of the current demand is anticipated. Pay attention to the distributed power & utility projects that are anticipated to boost the need for the expansion of the hydrogen generation industry throughout the forecast period.

Market Dynamics:

The creation and use of clean and green energy have become necessary due to the growing concerns about global warming as well as the worsening climatic and environmental circumstances brought on by excessive pollution. Thus, hydrogen is a source of clean and renewable energy and is anticipated to experience rapid growth throughout the course of the projection period. Rising government measures to lessen carbon emissions are promoting the production and consumption of hydrogen, which is driving up the market for hydrogen generation globally. Since 1975, the demand for hydrogen has increased thrice. The global hydrogen generation market is expanding due to the increasing need for green energy across numerous industries. Coal and natural gas are now the two main sources of producing hydrogen. Hydrogen production uses about 6% of natural gas and 2% of coal. A typical substitute for electric energy is hydrogen. In fuel cell technology, hydrogen fuel is widely used. This is a significant driver of the global market for hydrogen generation expansion.

The market players are adopting a variety of development tactics, including partnerships and agreements, to produce hydrogen energy using zero-emission technologies. For instance, a collaboration deal was made to build a hydrogen plant in the US by Brookfield Renewable Partners and Plug Power, Inc. To lessen its carbon impact, this plant plans to produce about 15 metric tonnes of liquid hydrogen every day from 100 percent renewable resources. These kinds of development techniques are anticipated to open up new potential opportunities in the near future and accelerate the expansion of the market for hydrogen generation worldwide. Furthermore, the market's development is greatly influenced by government regulations supporting hydrogen production. Governments in both developed and emerging markets are introducing a variety of policies to support the reduction of carbon emissions and promote the use of renewable energy. For instance, the US and India opted to integrate low-carbon technology into their strategic energy partnership.

Asia Pacific Region to Dominate the Market

The biggest revenue share was contributed by the Asia Pacific region, which dominated the global market in 2021. In terms of revenue, China was the largest country in the Asia Pacific area in 2021. The use of hydrogen generation has increased in the Asia Pacific region as a result of the existence of more refineries in important nations like China and India. Governments in certain Asia-Pacific nations, like Australia and Japan, are also researching cleaner, greener methods of producing hydrogen.

Key Developments in the Industry

The growth of the hydrogen generation global market can be attributable to the following:-

· For its 200-turbine floating wind-to-hydrogen project headquartered in the North Sea, Cerulean Winds, in collaboration with px Group, announced a contract to help onshore green hydrogen plants and accompanying industrial infrastructure in England and Scotland in July 2021. The deal states that px Group will manage the onshore infrastructure, including the onshore substations and grid connections, as well as the hydrogen producing facilities.

· A 345 MW wind power purchase deal will be entered into by Plug Power, one of the top hydrogen technology companies, and Apex Clean Energy in July 2021. (PPA). According to estimates, this project will be the largest wind-powered hydrogen project in the United States. A series of liquid hydrogen reactors will be driven by the energy produced by the wind farm. By 2025, according to Plug Power's forecast, daily demand for hydrogen would exceed 100 tonnes, necessitating the development of hydrogen generation capacity.

· A contract for the development of an 8.75 megawatt hydrogen producing facility in Wunsiedel, Germany, was announced by Siemens Smart Infrastructure in July 2021. Once in service in 2022, the facility is anticipated to produce up to 1,350 tonnes of hydrogen annually using renewable energy sources.

· A shared market development agreement for the rollout of hydrogen fueling infrastructure and hydrogen vehicles was announced by Loop Energy and BayoTech in April 2021. In accordance with the contract, Loop and BayoTech will collaborate on market development for the use of automobiles made by Loop with on-site hydrogen generation infrastructure provided by BayoTech.

Conclusion

As per Vantage Market Research, the collaboration activities among industry players and favorable government policies and initiatives to drive the market growth across the globe is anticipated to flourish the overall hydrogen generation market.

Some of the key players in the Global hydrogen generation Market include- Linde plc, Air Liquide International S.A., Hydrogenics, Inox, Messer Group GmbH Air Products and Chemicals Inc., Weldstar Inc., Praxair Inc., McPhy, LNI Swissgas and others.