Global Hydrogen Energy Storage Market - 2022-2029

Global Hydrogen Energy Storage Market - 2022-2029

Market Overview

The global hydrogen storage market reached US$ XX million in 2021 and is expected to reach US$ XX million by 2029, growing at a CAGR of XX% during the forecast period 2022-2029.

Another type of chemical energy storage is hydrogen energy storage, which involves converting electrical energy into hydrogen. The produced gases can then be used as fuel in a combustion engine or a fuel cell to release the energy. Though the round-trip efficiency of today's storage technology is low, hydrogen energy storage is gaining popularity due to its substantially larger storage capacity than batteries (small scale), pumped hydro and CAES.

Market Dynamics

Growing environmental awareness, the positive impact of hydrogen as an energy source and high government investments are the pivotal drivers driving the market. However, the technological constraints associated with the hydrogen market tend to restrict the market's growth.

Growing environmental awareness and the positive environmental impact of hydrogen as an energy source, along with high government investments

As the effects of global climate change became obvious globally, more people took action and gained awareness about environmental conservation's importance. As the world achieves net-zero emission goals, it is preparing to change its habits. Hydrogen, one of the most easily accessible and abundant sustainable energy sources, has a pivotal role in the priority list in this paradigm shift as sustainable fuels play an increasingly essential role in keeping the world going. For instance, vehicles that use hydrogen directly in fuel cells or internal combustion engines are being developed in the mobility sector. Hydrogen-powered forklifts have already been manufactured and tested in several industries across Europe, Asia and North America.

Hydrogen can aid in decarbonizing industrial sectors such as steel and chemicals, where it is employed as raw material and fuel. Steel and iron, for example, one of the most polluting industries in the world, responsible for 7% of global greenhouse gas emissions, is currently switching to hydrogen. Hydrogen, a reducing agent and fuel in iron and steel manufacturing, is one of the most significant technological breakthroughs. In order to make the process sustainable and carbon-neutral, according to the International Energy Agency's 2020 report.

Hydrogen-based steel is being tested in countries worldwide, including Australia and European Union states. ArcelorMittal and Thyssenkrupp, two of the world's largest steelmakers, are in the process of transitioning to hydrogen-based green steel. In 2020, Growing government initiatives, promotions and investments were also important in supporting the change mentioned above. It draws additional manufacturers and motivates significant market participants to switch to hydrogen in various markets. In India, for example, the national government and some states have begun to promote hydrogen production and consumption. In August 2021, India's Prime Minister announced the Na

tional Hydrogen Mission to assist the country in achieving its energy transition goals. In September 2021, Kerala began talks with energy companies about producing hydrogen from a solar power facility at Cochin Airport.

Growing environmental consciousness and a movement in the industrial paradigm toward sustainable fuels and numerous assistance schemes and initiatives could improve hydrogen consumption, production and sales. Since the demand for global hydrogen energy storage products rises with the growing hydrogen consumption, the aforementioned factors could be recognized as a market driver.

The technological constraints associated with the hydrogen market

The main constraint for hydrogen energy storage is the slow pace of development of manufacturing technology and storage and transportation limits associated with the hydrogen market. The most difficult aspect of manufacturing is making the production process economically and commercially viable. Even though several countries, including India, have proclaimed national hydrogen projects, they have yet to determine how it would be sold on a large scale, as many manufacturing technologies, such as electrolysis, are still in the pilot stage.

The lack of infrastructure transit and contain hydrogen exacerbates the problem. While the fixed cost of the plant is only half the battle, transporting hydrogen has additional financial and safety challenges. Management encounters two sorts of uncertainties in the strategic transportation planning horizon. First and foremost, the value of the model's various parameters could not be properly predicted due to a lack of previous data.

Furthermore, due to the complexities of network design challenges, management and decision-makers cannot describe the exact constraints of model constraints. No researchers have examined how they affect model formulation despite the importance of the flexibility of limits in hydrogen supply chains. Such uncertainties could have a considerable impact on the reliability of the outcomes and can negatively impact transportation network responsiveness and contribute to client demand dissatisfaction.

COVID-19 Impact Analysis

COVID-19 had a negative impact on the global hydrogen energy storage market due to the following factors:

Demand for social isolation and industry lockdowns and a demand hampered a lack of raw supplies, skilled personnel and production disruptions in the manufacturing process.

The COVID-19 outbreak severely affected the supply of finished goods, significantly disrupting the market's supply-demand dyad.

Despite disruptions in the hydrogen energy storage market's production process and raw materials and finished product supply chain, demand for hydrogen in steel and iron manufacturing and the mobility sector is expected to grow in the post-COVID-19 era. Furthermore, in the post-COVID-19 era, environmental concerns, significant government initiatives and investment schemes such as the European Hydrogen Backbone project, which aims to build over 40,000 kilometers of dedicated hydrogen pipeline across Europe, are expected to propel the global hydrogen energy storage market forward.

Segment Analysis

The global hydrogen storage market is classified based on form, storage technology, end-user and region.

The capability of hydrogen gas to produce eco-friendly green steel allows the industrial segment to dominate the end-user segment of the respective market.

The global hydrogen energy storage market is divided into utilities, commercial and industrial based on end-user. Because steel is a necessary component of every segment of the global market, from bridges to automobiles and because steel and iron are some of the most polluting industries accounting for 7% of global greenhouse gas emissions, the demand for green steel is made with hydrogen is growing.

Further hydrogen-based steel is also being tested worldwide, including in Australia and European Union states. Two of the world's leading steelmakers, ArcelorMittal and Thyssenkrupp, are transitioning to green steel. Further, environmentally friendly hydrogen technologies are widely employed to power industrial spaces and manufacturing plants. As a result of the factors mentioned above, the industrial sector dominates the end-user segment of the global hydrogen energy storage market.

Geographical Analysis

Growth in crude oil explorations and refinery operations in Asia-pacific boosted by the demand for fuels capable of energy generation

Due to increased refinery operations to accommodate the large growth in demand for fuels from nations like China, India and South Korea, Asia-Pacific is expected to dominate the global hydrogen energy storage market.

According to Anadolu Agency, China is building a hydrogen metropolis in Hubei Province, central China, to boost its hydrogen sector. Between 2018 and 2020, the town plans to build up to 20 hydrogen fueling stations to support the operation of roughly 3,000 hydrogen fuel cell vehicles.

Furthermore, according to Gasworld, Japan plans to send 100 fuel cell buses to the country. Japan's Ministry of the Environment funds the development of fuel cell buses. For the first time, the subsidy covers half of the vehicle's cost and a third of the cost for enterprises that have already adopted fuel cell buses. In addition to rigorous research activities according to energy security concerns, the Japanese hydrogen storage industry shows strong growth.

North America's market is predicted to grow slower than Asia-Pacific's throughout the forecast period. North American countries are working to transition from fossil fuels to renewable energy sources. Furthermore, governments are working to reduce carbon emissions, boosting the region’s hydrogen storage market.

Competitive Landscape

The global hydrogen storage industry is still actively growing in terms of the number and size of global and local producers. Due to the existence of various producers such as Air Products and Chemicals, Inc., Chart Industries, Inc., FuelCell Energy, Inc., GRZ Technologies Ltd., H2GO Power, Linde PLC, McPhy Energy S.A., Nel ASA, Plug Power Inc. and Pragma Industries, the market has been described as fragmented. Mergers, acquisitions, product launches, investments and partnerships are all common market tactics used by significant market participants to gain a competitive advantage and notoriety in their respective industries.

On January 21, 2021, Engie and Neoen, a French utility and developer, are developing the world's largest solar and hydrogen park, with a 1GW array near Bordeaux, Europe, linked to battery storage, a hydrogen generator, a data center. As per the company, The project is a low-carbon energy platform that combines proven solar and hydrogen energy with cutting-edge technology advances like power storage batteries.

Linde PLC

Overview: Linde is a global leader in engineering and industrial gases, with sales of US$28 billion (€25 billion) in 2019. The company intends to make the world more productive by providing high-quality solutions, technologies and services that prioritize preserving and protecting our planet.

Chemicals and refining, healthcare, manufacturing, food and beverage, electronics and primary metals are among the end markets served by the company. Linde's industrial gases are utilized in a wide range of applications, including life-saving oxygen in hospitals, high-purity and specialty gases for electronics manufacturing, hydrogen for clean fuels and much more. Linde also offers cutting-edge gas processing solutions to help customers expand, enhance efficiency and reduce emissions.

Product Portfolio:

Project H2-BER: In the respective project, Linde PLC, in collaboration with Total, McPhy and Enertrag, completed a multifunctional hydrogen energy storage project at the new Berlin airport. The project consists of a 500 kW electrolyzer, where hydrogen is created, compressed and stored before being utilized for refueling at the Total Multifuel Station and electricity-generating in a combined heat and power plant. The hydrogen can also be loaded into trucks and transported to nearby fueling stations and consumers. The German Federal Ministry of Transport and Digital Infrastructure is funding the project.

Key Development:

Snam, a prominent energy infrastructure firm, on December 7, 2020, announced that it had signed a memorandum of understanding (MoU) with Linde PLC, a leading worldwide industrial gases and engineering company, to collaborate on clean hydrogen projects and related infrastructure across Europe. Both the companies will collaborate to promote important technologies along the hydrogen value chain and explore prospects for combined investments in commercial projects in the areas of production, distribution, compression and storage, according to the agreement.

Why Purchase the Report?

To visualize the global hydrogen storage market segmentation based on form, storage technology, end-user and region, as well as understand key commercial assets and players.

Identify commercial opportunities in the global hydrogen storage market by analyzing trends and co-development.

Excel data sheet with numerous data points of hydrogen storage market-level with four segments.

PDF report consisting of cogently put together market analysis after exhaustive qualitative interviews and in-depth market study.

Product mapping available as excel consisting of key products of all the major market players

The global hydrogen storage market report would provide approximately 56 tables, 62 figures and almost 182 pages.

Target Audience 2023

Manufacturers/ Buyers

Industry Investors/Investment Bankers

Research Professionals

Emerging Companies