Clean Hydrogen Market By Type (Blue Hydrogen, Green Hydrogen), By Method (Electrolysis, Carbon Capture), By Application (Industrial, Transportation, Power, Others): Global Opportunity Analysis and Industry Forecast, 2022-2032
The global clean hydrogen market was valued at $3.8 billion in 2022 and is projected to reach $18.3 billion by 2032, growing at a CAGR of 14.8% from 2023 to 2032.
Clean hydrogen is both green and blue hydrogen. Green hydrogen is made by using clean electricity from surplus renewable energy sources, such as solar or wind power, to electrolyze water. Electrolyzers use an electrochemical reaction to split water into its components of hydrogen and oxygen, emitting zero-carbon dioxide in the process. Solid oxide electrolyzers (SOE) use solid ceramics for the purpose of electrolytes. The most common electrolyte for the SOE is a solid oxide fuel cell. The electrolysis in SOEs takes place when electrons from the external circuit combine with the water. At the cathode, hydrogen gas and negative ions are formed.
The oxygen is passed from solid ceramics membranes, which further reacts at the anode end and thus generates clean hydrogen. The SOEs operate at higher temperatures such as above 500°C. A proton exchange membrane (PEM) electrolyzer uses a solid polymer electrolyte. PEM electrolyzers were introduced in 1960 and were developed to replace alkaline electrolyzers. The electrolysis in a PEM takes place in a cell equipped with solid polymer electrolytes. The solid polymer electrolyte is responsible for proton conduction, gas separation, and electrical insulation for electrodes. They can overcome low current density, low-pressure operations, and partial loads.
Blue hydrogen is produced mainly from natural gas, using a process called steam reforming, which brings together natural gas and heated water in the form of steam. The output is hydrogen, but carbon dioxide is also produced as a by-product. So, the definition of blue hydrogen includes the use of carbon capture and storage (CCS) to trap and store this carbon. Blue hydrogen is sometimes described as ‘low-carbon hydrogen’, as the steam reforming process does not actually avoid the creation of greenhouse gases.
Liquid hydrogen is used in aviation and especially aerospace sectors. Moreover, large-scale production of synthetic fuels derived from hydrocarbons and electric vehicles operating on fuel cells contributes to rising demand for the product. Such demand potential needs to be met and thus speeding up the production of clean hydrogen. However, the cost of production of hydrogen involving electrolyzers and carbon capture technology is very high. It brings out the final product to cost around $2-2.5/kg. This cost is not on par with conventional fuels and thus there is reduced interest from customers. Moreover, the production process also incurs efficiency losses. The energy efficiency of hydrogen fuels is much lower in comparison with other sources of energy and thus the market growth suffers for the product.
The clean hydrogen market size is studied by type, method, application, and region. Based on type, the clean hydrogen market is bifurcated into blue hydrogen and green hydrogen. Blue hydrogen dominated the market share revenue for clean hydrogen. However, green hydrogen is projected to grow at a higher CAGR during the clean hydrogen market forecast period. This is owed to boosted search for alternative fuels to transition from conventional fuels to a carbon-free economy. Depending on the method, the market is further classified into electrolysis and carbon capture. Carbon capture dominated the market share revenue for clean hydrogen. However, electrolysis is projected to grow at a higher CAGR during the clean hydrogen market forecast period. This was owed to increased investment in advancing electrolyzers technology for improving efficiency. The electrolysis segment is further divided into alkaline electrolyzers, polymer electrolyte membrane electrolyzers (PEM), and solid oxide electrolyzers (SOE).
By application, the market is divided into industrial, transportation, power, and others. The industrial segment dominated the market share revenue for clean hydrogen. The same is expected to maintain its lead position during the forecast period for the clean hydrogen market. By region, the clean hydrogen market analysis is done across North America, Europe, Asia-Pacific, and LAMEA (Latin America, the Middle East, and Africa). North Amercia dominated the clean hydrogen market share revenue for 2022. The same is expected to grow at a higher CAGR during the forecast period of the clean hydrogen market. Europe follows closely to North America followed by Asia-Pacific.
The major players operating in the clean hydrogen industry are Saudi ARAMCO, Iberdrola, S.A., China Petroleum & Chemical Corporation (Sinopec), Linde plc, Exxon Mobil Corporation, FuelCell Energy, Inc., Air Products and Chemicals, Inc., Plug Power Inc., Orsted A/S, and Enel Green Power Spa. The other market players are NEL ASA, Air Liquide SA, Siemens Energy, Oil & Natural Gas Corporation, and Adani Green Energy.
The drivers, restraints, and opportunities are explained in the report to better understand the market dynamics. This report further highlights the key areas of investment. In addition, it includes Porter’s five forces analysis to understand the competitive scenario of the industry and the role of each stakeholder. The report features strategies adopted by key market players to maintain their foothold in the market. Furthermore, it highlights the competitive landscape of key players to increase their market share and sustain the intense competition in the industry.
Key Benefits For StakeholdersThis report provides a quantitative analysis of the market segments, current trends, estimations, and dynamics of the clean hydrogen market analysis from 2022 to 2032 to identify the prevailing clean hydrogen market opportunities.
The market research is offered along with information related to key drivers, restraints, and opportunities.
Porter's five forces analysis highlights the potency of buyers and suppliers to enable stakeholders make profit-oriented business decisions and strengthen their supplier-buyer network.
In-depth analysis of the clean hydrogen market segmentation assists to determine the prevailing market opportunities.
Major countries in each region are mapped according to their revenue contribution to the global market.
Market player positioning facilitates benchmarking and provides a clear understanding of the present position of the market players.
The report includes the analysis of the regional as well as global clean hydrogen market trends, key players, market segments, application areas, and market growth strategies.
Key Market SegmentsBy TypeBlue Hydrogen
Green Hydrogen
By MethodElectrolysis
Alkaline Electrolyzers
Polymer Electrolyte Membrane Electrolyzers
Solid Oxide Electrolyzers
Carbon Capture
By ApplicationOthers
Industrial
Transportation
Power
By RegionNorth America
U.S.
Canada
Mexico
Europe
Germany
UK
France
Italy
Spain
Rest of Europe
Asia-Pacific
China
Japan
India
South Korea
Australia
Rest of Asia-Pacific
LAMEA
Brazil
South Africa,
Saudi Arabia
Rest of LAMEA
Key Market Players
Saudi Aramco
Linde plc
Air Products & Chemicals Inc.
Iberdrola SA
Orsted A/S
China Petroleum & Chemical Corporation
Plug Power Inc.
Enel Green Power Spa
ExxonMobil
FuelCell Energy Inc
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