PUBLISHER: Stratistics Market Research Consulting | PRODUCT CODE: 1308736
PUBLISHER: Stratistics Market Research Consulting | PRODUCT CODE: 1308736
According to Stratistics MRC, the Global Hydrogen Generation Market is accounted for $172.9 billion in 2023 and is expected to reach $365.8 billion by 2030 growing at a CAGR of 11.2% during the forecast period. A plentiful and flavourless element, hydrogen, often known as H2, can be found in nature in a variety of forms. The chemical element can be created as a result of several processes and is typically present in the environment in a gaseous state. Additionally, hydrogen is widely used to power automobiles and as a clean fuel option for the production of electricity, and also several techniques, including electrolysis and steam methane reforming, are used throughout the sector to produce H2 in order to meet the rising demand for it in a variety of applications.
According to IEA, in January 2022, there were at least 50 blue hydrogen projects in the works around the world, with capacity expected to grow more than tenfold by 2030.
About 95% of the total hydrogen produced is produced primarily by the gasification of coal and the steam reforming of natural gas. Electrolysis and carbon capture and storage (CCS) technologies are some of these hydrogen production processes. The carbon dioxide that is captured and stored in the blue hydrogen produced by CCS technology is released during the production process. As a result, these hydrogen technologies are projected to contribute to the market's expansion.
A synthetic energy carrier is hydrogen. Energy generated by numerous other processes is transported by it. Hydrogen must be produced using energy. The energy input and the energy content of the synthetic gas should ideally match. Energy transformation occurs throughout any process, including electrolysis and reforming, that produces hydrogen. Unfortunately, the production of hydrogen always involves energy losses. Every stage of the value chain for producing hydrogen results in energy loss. As a result, these elements are limiting the market's expansion.
The governments of various industrialised and rising nations have expressed a strong interest in reaching carbon neutrality. As transportation is the main source of air pollution, governments in various countries have been compelled to enact strict emission restrictions for passenger cars, light and heavy trucks, and other types of vehicles. Additionally, to support the growth of the industry, the administrations have modified their strategies to incorporate clean energy sectors in their future prospects.
The most popular way to store hydrogen for small-scale mobile and stationary applications is as a gas or liquid in tanks. Hydrogen storage and transit both require compression and cooling systems. Hydrogen should be adsorbable quickly and reversibly in non-reactive media at low temperatures in storage tanks without the use of thermal energy. As a result, the hydrogen storage for the customised tanks comes at a high cost. This is the main issue impeding the market's expansion.
The financial stability of nations has been harmed by tight government laws designed to contain the virus, such as lockdowns at the national and state levels, restrictions on international travel, and social segregation practises. Due to declining demand and cash-deficit issues among small operators and clients, the global market for hydrogen generation has consequently been affected by the pandemic. However, various governments have revealed their plans to take advantage of the low carbon pollution conditions brought on by the shutdown of the industrial and transportation sectors, hence boosting demand for clean fuel alternatives.
The ammonia production segment is estimated to have a lucrative growth, due to the rising government regulations in order to encourage desulphurization of fuels to conserve the environment. The largest users of hydrogen energy are the factories that make ammonia. Hydrogen usage in the ammonia factories has increased as a result of the on-site production of the gas. On the other hand, the industries with the most profitable prospects for expansion are transportation and electricity generating.
The steam methane reforming segment is anticipated to witness the fastest CAGR growth during the forecast period, due to the extensive use of the steam methane reforming technology in the hydrogen generation process. Globally, this market had been expanding exponentially due to the constantly expanding need for hydrogen energy. Because hydrogen is a versatile commodity with a wide range of applications, steam reforming has become increasingly popular to satisfy rising consumer demand in a variety of industry sectors.
Asia Pacific is projected to hold the largest market share during the forecast period owing to the rising demand for hydrogen for power generation in countries. A strong economic development that fuelled the expansion of the market in this area was demonstrated by the swift growth of numerous industries in the varied. The increasing demand for fuel cell-powered electric vehicles in the area is primarily responsible for the region's favourable growth.
Europe is projected to have the highest CAGR over the forecast period, owing to the increased research and deployment of fuel cell systems. The market is expanding as a result of the increasing use of hydrogen-powered vehicles in the area. Demand in the area is expected to increase due to the region's rising emphasis on using cleaner fuel and adopting sustainable power generation methods. Additionally, the region's acceptance of R&D initiatives will probably increase market demand.
Some of the key players profiled in the Hydrogen Generation Market include Cummins Inc., Linde plc, Nel ASA, Uniper SE, Messer Group, Air Liquide S.A., Xebec Adsorption Inc., Engie, Ballard Power systems, Air Products and Chemicals Inc., Hydrogenics,m Fuelcell Energy, Siemens, Praxair Inc., ITM Power, Plug Power and Hiringa Energy Limited.
In March 2022, Air Products Inc. announced constructing and operating the new green liquid hydrogen production plant in Casa Grande, Arizona. It will be zero-carbon liquid hydrogen facility and will stream in the market by 2023.
In January 2022, Linde plc signed an agreement with Yara to construct and deliver a 24 MW green hydrogen plant.
Note: Tables for North America, Europe, APAC, South America, and Middle East & Africa Regions are also represented in the same manner as above.