Green Hydrogen Market – By Technology , By Renewable Source , By Application , By End-Use Industry , By Geography - Global Opportunity Analysis & Industry Forecast, 2024-2030

Green Hydrogen Market Overview:

The Green Hydrogen Market size is estimated to reach $3.6 Billion by 2030, growing at a CAGR of 14.1% during the forecast period 2024-2030. Green Hydrogen is produced using low-carbon or renewable energy sources. As green hydrogen has significantly lower carbon emissions, it is in high demand. As a source of renewable energy source, the demand for the green hydrogen industry is expected to grow. Additionally, growing awareness of hydrogen's potential as an energy source is expected to boost the market demand. Additionally, hydrogen is highly combustible and can be used as a source of carbon-free or low-carbon energy instead of fossil fuels. 

A major trend in the market is the increasing focus on hydrogen-powered trains globally.  Instead of traditional diesel or electric propulsion, the train uses hydrogen fuel cells to create the electricity needed to drive its engines. With only steam and water as by products, the fuel cells generate energy through a chemical reaction between hydrogen and oxygen, producing no harmful emissions. For instance, Indian Railways partnered with Germany's TUV-SUD in October 2024, to conduct a safety audit for the India’s first hydrogen train and trial operations are expected to begin in December 2024. Additionally, integrating green hydrogen in steel production globally to fully decarbonize steel production producing only water vapor as a byproduct when used in place of coal is propelling the growth of green hydrogen market globally. This represents the Green Hydrogen Market Outlook.

Market Snapshot: 

Green Hydrogen Market - Report Coverage:

The “Green Hydrogen Market Report - Forecast (2024-2030)” by IndustryARC, covers an in-depth analysis of the following segments in the Green Hydrogen Market.

COVID-19 / Ukraine Crisis - Impact Analysis:  

• The COVID-19 pandemic had a mixed impact on the global green hydrogen market. Green hydrogen and other clean energy technologies saw a decline in investment as a result of the pandemic's economic downturn. This impacted the market's overall growth and slowed down the creation of new initiatives. Despite initial delays, the pandemic exposed the necessity of strong and clean energy systems, which helped the demand for green hydrogen.
• The Ukraine crisis had a significant impact on the global green hydrogen market. The conflict has led to supply chain disruptions affecting the availability of critical components and materials needed for hydrogen production and infrastructure. Additionally, the inflation led to uncertainties in hydrogen production due to rising energy prices. 

Key Takeaways:

Europe Leads the Market

Europe is the dominant region in the Green Hydrogen market. Over the forecast period, the growth of the green hydrogen industry in Europe is being directly supported by the rising production of chemicals and petrochemicals. For instance, according to Northwest European Hydrogen Monitor Report 2024, numerous green hydrogen projects are also expected to start in Europe. For instance, a 500MW green hydrogen facility, one of Europe's largest single-site renewable H2 projects, is planned for construction at the Portuguese port of Sines by 2025. Additionally, according to European Commission, In April 2024, seven European projects were selected for EU financial support in the Innovation Fund’s pilot hydrogen auction (IF23 Auction). The total amount of support comes to about $731.2 million and will be disbursed over a timespan of ten years. Such green hydrogen projects in the area are projected to further support the European green hydrogen market size over the forecast period.

Alkaline Electrolyzer is the Largest Segment

In the Green Hydrogen market, the alkaline electrolyzer is expected to dominate and hold the largest market share. Alkaline electrolyzers work by generating hydrogen on the cathode side and transporting hydroxide ions (OH-) through the electrolyte from the cathode to the anode. The alkaline electrolyzer primarily benefits from three factors. As it produces hydrogen with relatively high purity and emits no pollutants during the production process, it is firstly a green and environmentally friendly device. Secondly, flexibility in production. The production of hydrogen by alkaline water electrolysis has greater advantages in large-scale applications with solar power and wind power converted into hydrogen energy storage. It is available for large-scale distributed generation applications, in particular in the current large-scale productions with alkaline electrolytic water. Thirdly, alkaline electrolyzer electrodes, cells and membranes are comparatively inexpensive with high efficiency and long-term stability. These characteristics and precious metal-free electrodes enable the green hydrogen production by alkaline water electrolysis a promising technology for green hydrogen production, thereby significantly contributing to segment growth. In October 2024,  India’s Greenzo Energy launched its 1 MW alkaline electrolyzer stack called the Un Wheel, a 100% indigenous green hydrogen production technology designed specifically to operate optimally under Indian environmental conditions.

Chemical & Petrochemical is the Largest Segment

Hydrogen is crucial in the production of several chemicals such as ammonia, methanol, cyclohexane, hydrogen peroxide, among others. The chemical industry is booming globally and this will contribute to the growth of the market in the forecast period. For instance, according to the American Chemistry Council, basic chemicals in the U.S. to rise 2.5% in 2024 with gains in petrochemicals and organic intermediates, inorganic chemicals, and plastic resins. Plastic resins output will continue to grow, up 2.9% in 2024, in part due to stronger exports. Output of agricultural chemicals is expected to rise 2.6% with gains in both fertilizers and crop protection chemicals. This huge growth in the global chemical industry will increase the higher uses of merchant hydrogen and this, in turn, will contribute to the market’s growth in the forecast period.

Growing Demand for Green Hydrogen from Transportation Industry to Boost the Market

The transportation sector is a major contributor to greenhouse gas emissions. Green hydrogen produced using renewable energy sources offers a promising solution to decarbonize this sector. Its zero-emission combustion and high energy density make it suitable for various applications. Heavy-duty vehicles, such as trucks and buses are particularly well-suited for hydrogen fuel cell technology due to their long-haul capabilities and high energy demands. Additionally, hydrogen can be used to power trains and aircraft further reducing emissions. For instance, according to data from World Economic Forum, in August 2024, The United States launched its first zero-emission passenger train, the Zero Emission Multiple Unit (ZEMU). The Zero Emission Multiple Unit (ZEMU) made its debut in San Bernardino, California. The train carries 108 passengers and is scheduled to go into full service in early 2025. The ZEMU offers a real-world test of the potential of hydrogen technology in everyday public transport. As governments and industries worldwide strive to achieve net-zero targets, the demand for green hydrogen in the transportation sector is expected to grow significantly.

 Concerns over Safety to Hamper the growth

Green hydrogen presents significant safety concerns. As a highly flammable gas it can easily ignite, especially in enclosed spaces. High flammability range (4% to 75%), with abnormally high upper flammable limit resulting in releases that will likely be flammable. Its low molecular weight allows it to leak through materials more readily than other gases increasing the risk of explosions. Additionally, Certain materials, like metals, can react with green hydrogen and cause embrittlement. The integrity of storage systems and transfer equipment may be harmed, which could result in leaks or even failure.  Hydrogen can also displace oxygen in confined spaces leading to asphyxiation.  While green hydrogen is not harmful, it can replace oxygen in small areas, resulting in atmospheres that are oxygen-deficient. Thus, there may be a risk of asphyxiation if the oxygen content falls below acceptable ranges. 

For more details on this report - Request for Sample

Key Market Players: 

Product/Service launches, approvals, patents and events, acquisitions, partnerships, and collaborations are key strategies adopted by players in the Green Hydrogen Market. The top 10 companies in this industry are listed below:

1. Siemens Energy AG 
2. Linde Plc 
3. Toshiba Energy Systems & Solutions Corporation
4. Air Liquide
5. Nel ASA
6. Air Products and Chemicals, Inc.
7. H&R Olwerke Schindler GmbH
8. Wind to Gas Energy GmbH & Co. KG
9. Guangdong Nation-Synergy Hydrogen Power Technologies Co., Ltd 
10. Cummins Inc

Scope of the Report: 

For more Chemicals and Materials Market reports, please click here