Green Hydrogen Market by Renewable Source (Solar Energy, Wind Energy), Technology, End User, and Geography - Global Industry Analysis, Opportunities and Forecast up to 2030

Share

Green Hydrogen Market Size

The global green hydrogen market size was valued at $1.76 billion in 2024 and is projected to reach $29.53 billion by 2030, growing at a CAGR of 60.0% during the forecast period.

Green Hydrogen Market Overview

Green hydrogen is hydrogen gas produced using renewable energy sources, such as wind, solar, or hydroelectric power, through a process called electrolysis. Electrolysis involves using an electric current to split water molecules into hydrogen and oxygen. Unlike conventional hydrogen production methods, which typically rely on fossil fuels and result in significant carbon emissions, green hydrogen production emits no greenhouse gases, making it a cleaner and more sustainable energy source.

This environmentally friendly hydrogen can be used in various applications, including fuel cells for transportation, industrial processes, and energy storage, offering a pathway to reducing the carbon footprint of several sectors and contributing to the global transition towards a more sustainable energy system.

Green Hydrogen Market Dynamics

• The green hydrogen market is expected to witness significant growth in the future due to growing government policies and incentives, advancements in electrolysis technology, and the increasing demand for clean energy.
• Additionally, the corporate commitments to carbon neutrality and expansion in transportation sector (fuel cells) are the prominent factors driving the growth of the green hydrogen market.
• However, the high production costs and competition from other renewable energy sources are restraining the market growth.
• On the contrary, the industrial decarbonisation, energy storage solutions, and the growth in the international export markets are creating opportunities for market growth.

By Technology, the Proton Exchange Membrane (PEM) Electrolysis Segment is anticipated to Exhibit Significant Growth Rate in the Green Hydrogen Market

The proton exchange membrane (PEM) electrolysis segment is expected to grow at a high growth rate in the green hydrogen market during the forecast period owing to its high efficiency, scalability, and flexibility in operations. PEM electrolysis offers several advantages, including the ability to operate at lower temperatures and higher current densities, which translates to faster hydrogen production and better integration with intermittent renewable energy sources like wind and solar power. This technology's compact design and rapid responsiveness make it particularly suitable for decentralized and on-site hydrogen production, which is critical for industries looking to reduce transportation costs and carbon emissions. Moreover, advancements in PEM materials and manufacturing processes have significantly lowered costs and improved durability, further enhancing the economic feasibility of green hydrogen production through this method. As industries and governments worldwide push for cleaner energy solutions, the superior performance and adaptability of PEM electrolysis position it as a key technology in meeting the growing demand for sustainable hydrogen.

By Geography, North America Constitutes Immense Share with the Green Hydrogen Market

North America holds a prominent share of the green hydrogen market during the forecast period due to a combination of strong governmental support, substantial investments in renewable energy infrastructure, and the region's commitment to reducing carbon emissions. The United States and Canada have both set ambitious climate goals and implemented policies that promote clean energy technologies, including substantial subsidies, tax incentives, and grants for green hydrogen projects. Furthermore, there is a growing interest from major industries, such as transportation, manufacturing, and energy, to adopt green hydrogen as a means to decarbonize operations and enhance energy security. This regional momentum is bolstered by strategic partnerships and collaborations among governments, research institutions, and private companies, which are collectively driving innovation and accelerating the deployment of green hydrogen technologies across North America.

Key Target Audience:

• Government Agencies and Regulators

• Renewable Energy Producers

• Hydrogen Production and Technology Companies

• Energy Storage Companies

• Research and Academic Institutions

• Investors and Financial Institutions

List of the Key Players Profiled in the Report Includes:

• Air Liquide

• Air Products Inc.

• Bloom Energy

• Cummins Inc.

• Engie

• H&R Groups

• Linde plc.

• Nel ASA

• Siemens Energy

• Toshiba Energy Systems & Solutions Corporation

• Uniper SE

Recent Developments:

• In May 2024, Air Liquide successfully issued a new o500 million green bond, demonstrating its commitment to growth and sustainable development. The proceeds from this issuance are earmarked for financing or refinancing major energy transition and sustainable projects, with a focus on low-carbon hydrogen, carbon capture, and low-carbon air gases. This issuance reinforces Air Liquide's position as a consistent ESG (Environmental, Social, and Governance) issuer, following its initial green bond issue in 2021.

• In November 2023, Siemens Energy and Air Liquide announced the development of a new gigawatt factory for electrolyzers, marking a significant step towards scaling the hydrogen economy. This new facility aims to mass-produce electrolyzers, thereby facilitating the widespread adoption of hydrogen. To put this into perspective, an installed electrolysis capacity of three gigawatts can produce an average of 300,000 metric tons of green hydrogen per year when powered by renewable energy. Using this green hydrogen as a substitute for fossil fuels would result in CO2 emission reductions equivalent to those produced by a major German city like Aachen, with around 260,000 inhabitants.

Market Segmentation:

The research report includes in-depth coverage of the industry analysis with size, share, and forecast for the below segments:

Market by, Renewable Source:

• Solar Energy

• Wind Energy

• Other Renewable Sources

Market by, Technology:

• Proton Exchange Membrane (PEM) Electrolysis

• Alkaline Electrolysis

Market by, End User:

• Chemical

• CHP+Domestic Heat

• Grid Injection

• Industrial

• Mobility

• Power

Market by, Geography:

The green hydrogen market report also analyzes the major geographic regions and countries of the market. The regions and countries covered in the study include:

• North America (The United States, Canada, Mexico), Market Estimates, Forecast & Opportunity Analysis

• Europe (Germany, France, UK, Italy, Spain, Rest of Europe), Market Estimates, Forecast & Opportunity Analysis

• Asia Pacific (China, Japan, India, South Korea, Australia, New Zealand, Rest of Asia Pacific), Market Estimates, Forecast & Opportunity Analysis

• South America (Brazil, Argentina, Chile, Rest of South America), Market Estimates, Forecast & Opportunity Analysis

• Middle East & Africa (UAE, Saudi Arabia, Qatar, Iran, South Africa, Rest of Middle East & Africa), Market Estimates, Forecast & Opportunity Analysis

The report offers insights into the following aspects:

• Analysis of major market trends, factors driving, restraining, threatening, and providing opportunities for the market.

• Analysis of the market structure by identifying various segments and sub-segments of the market.

• Understand the revenue forecast of the market for North America, Europe, Asia-Pacific, South America, and Middle East & Africa.

• Analysis of opportunities by identification of high-growth segments/revenue pockets in the market.

• Understand major player profiles in the market and analyze their business strategies.

• Understand competitive developments such as joint ventures, alliances, mergers and acquisitions, and new product launches in the market.