Political momentum behind low-emission hydrogen remained strong in 2023, with the IEA estimating 41 governments have now put a hydrogen strategy in place, with some already lifting ambitions. Policymaking, financing and regulation are key to transforming such momentum into faster FIDs and hydrogen deployment. The role hydrogen has to play in industry decarbonisation, particularly in iron and steelmaking, is undeniable and should grab your attention.
The Kallanish Power Materials team have been busy reporting on the most relevant developments in new energy sectors including hydrogen, batteries and e-mobility.
We’ve reviewed the key hydrogen news we covered in 2023. If you missed them the first time around, now is the time to check out our top-10 picks.
European Hydrogen Bank to subsidise production through auctions
16th March - The bank should facilitate and support the production and uptake of renewable hydrogen within the EU, as well as imports from international partners to European consumers. Its main aim is to unlock private investments in the H2 value chain both domestically and abroad.
World’s largest green H2 project reaches financial close at $8.4 billion
23rd May - The NEOM Green Hydrogen Company (NGHC) joint venture is building the project at Oxagon, in Saudi Arabia’s region of NEOM. Powered by 4 gigawatts of renewable energy, the plant will produce up to 600 tonnes/day of green hydrogen in the form of green ammonia starting in late 2026.
US targets a 50m t/y clean hydrogen market by 2050
06th Jun - According to the National Clean Hydrogen Strategy and Roadmap, the opportunity isn’t limited to production. It is based on forecast demand from different sectors. The country is targeting a 10m t/y clean hydrogen market by 2030, doubling to 20m t/y by 2040.
BNEF forecasts tipping point for green hydrogen production costs by 2030
10th Aug - New green hydrogen production costs are set to be up to 18% cheaper than running existing grey hydrogen production by decade-end, according to BloombergNEF.
Scotland proposes £2.7 billion new green hydrogen pipeline to Europe
31st Aug - With a £2.7 billion ($3.4 billion) capex, the pipeline could supply 10% of the projected European demand by the mid-2030s. The study modelled a 10-GW pipeline capacity, suggesting transportation costs of €0.32/kg or €0.36/kg, compared to over €1/kg from other routes.
China’s electrolyser efforts driving hydrogen target goals: IEA
22nd Sep - China is leading the way in electrolyser investments and plans, but a large international gap between current output and manufacturing capacities could hamper future clean energy goals.
Germany outlines plan for €20 billion hydrogen network
16th Nov - The German government has released a plan for developing a 9,700-kilometre core hydrogen network across the country, connecting industrial centres, storage facilities, power plants and import corridors.
Half of global clean H2 costs to be under $2.5/kg by 2030
17th Nov - In the US, for instance, the cost of renewable hydrogen could be as low as $0.25/kg, thanks to massive subsidies for renewable hydrogen. The cost for regions such as Canada and the Middle East is predicted to be under $1.5/kg.
France authorises natural hydrogen exploration
04th Dec - France’s energy transition ministry has authorised drilling and mining operations in a specific area of the Pyrénées-Atlantiques department to explore the so-called natural or white hydrogen.
US Treasury reveals proposed rules on 45V hydrogen credit
22nd Dec - For H2 production facilities which meet prevailing wage and registered apprenticeship requirements, the credit can range from $0.60/kilogram of hydrogen produced to $3/kg, depending on the lifecycle emissions of the hydrogen production.