The global green hydrogen market is poised for solid growth over the next five years with its market projected to hit $30.6 billion by 2030 growing at a CAGR of 61.1%, according to a new report by leading consultancy Markets and Markets.

The market is experiencing rapid growth, driven by global efforts to reduce carbon emissions and advancements in electrolysis and renewables. 

Government support through policies and investments is also boosting growth. Its versatility and scalability make green hydrogen a key player in the transition to sustainable energy, said the report. 

The market is even being propelled by its increasing use in fuel cell electric vehicles (FCEVs) and high-energy-intensive industries like steel and ammonia production, further driving demand and market expansion, it stated.

Over the last three years, some of the major deals were inked in the global green hydrogen market, said the report by Markets and Markets.

In April 2024, Oman’s Hydrom signed agreement worth $11 billion with Electricité de France (EDF Group) to develop two green hydrogen production projects.

In June 2022, Siemens Energy and Air Liquide had signed a joint venture to manufacture industrial-scale large quantities renewable hydrogen electrolyzers. This collaboration aims to facilitate the development of a sustainable hydrogen economy in Europe. 

The joint venture will promote the growth of a European ecosystem for hydrogen technology and electrolysis. Projected capacity of three gigatons per year by 2025.

In May 2022, Air Liquide, Toyota Motor, and CaetarioBus had announced a collaboration to advance integrated hydrogen solutions. 

They will focus on the deployment of hydrogen-powered vehicle fleets, aiming to accelerate the adoption of hydrogen mobility for both light- and heavy-duty vehicles and infrastructure development.

According to Markets and Markets, hydrogen's versatility has expanded beyond its traditional role in fuel cells for electric vehicles, now encompassing the production of alternative fuels like ammonia, methanol, and synthetic liquids. 

These energy carriers are gaining prominence and are poised to drive future demand. In developing economies, green hydrogen presents a pathway to a low-carbon future, offering a nearly carbon-free fuel option for marine transportation, hydrogen fuel cells in electric vehicles (EVs), and industrial backup power. 

The diverse array of applications positions the green hydrogen sector as a lucrative venture with significant growth potential. 

The market for green hydrogen in vehicle fuel cells is rapidly evolving, providing the convenience of fossil fuels without the associated emissions.

Some of the biggest global players are Linde (Ireland); Guangdong Synergy Hydrogen Power Technology (China); Siemens Energy AG (Germany); H&R Olwerke Schindler (Germany); Cummins and Enbridge Gas (Canada) and Wind to Gas Energy GmbH & Co. KG (Germany).-TradeArabia News Service