The hydrogen generation market is projected to reach USD 201 billion by 2025 from an estimated USD 130 billion in 2020, at a CAGR of 9.2% during the forecast period. Rising obligations to reduce greenhouse gas emissions from traditional methods has driven the hydrogen generation market growth. Furthermore, increased demand for long-term storage of renewable energy are driving the hydrogen generation market. However, high energy consumption of hydrogen generation technologies is likely to hamper the growth of the hydrogen generation market.
“The power generation segment, by end user, is expected to be the largest and the fastest growing market from 2020 to 2030”
The end user segment is categorized as transportation, power generation, and industrial feedstock. The power generation segment is expected to grow at the highest CAGR during the forecast period, as electricity generated by using green ammonia is observed to be the cleaner version of gas. By using the electrolysis process, surplus renewable energy generated at isolated locations can be used to produce carbon-free ammonia, which can act as a sustainable fuel for power generation. Furthermore, the need for long term storage of renewable energy generated at isolated wind farms and solar panels drives the growth of green ammonia market. Europe is expected to hold the largest power generation market. This growth is owing to the favorable government initiatives and plans to produce green ammonia in Netherlands.
“The Electrolysis segment, by technology, is expected to be the fastest growing market from 2020 to 2025”
The electrolysis segment is expected to be the fastest growing technology subsegment during the forecast period, owing to the increasing use of fuel cells in power generation and transportation segment. Through electrolysis, the electrolyzer system creates hydrogen gas. The oxygen that is left over is released into the atmosphere or can be captured or stored. This stored hydrogen can be supplied for other industrial processes or even used for medical gases in some cases. The hydrogen gas can either be stored as a compressed gas or liquefied, and since hydrogen is an energy carrier, it can be used to power any hydrogen fuel cell electric application ? including trains, buses, trucks, or data centers. Measures have been taken by governments to boost the demand for water electrolysis. For instance, the US Department of Energy (DOE) has set technical targets and cost contributions for hydrogen production from water electrolysis.
“Asia Pacific: The largest and the fastest growing region in the hydrogen generation market.”
Asia Pacific is expected to dominate the global green hydrogen market between 2020 and 2025. Asia Pacific is one of the leading markets for adopting green technologies to meet the government targets for reducing GHG emissions. Japan and South Korea are heavily investing in fuel cell adoption since 2009 because of the commercial deployment of Japanese fuel cell micro-CHP products. Japan is the first nation to commercialize fuel cells and is supporting the projects related to the use of fuel cells in residential and automotive applications. It aims to deploy green hydrogen on a large scale. The country plans to have 200,00 green hydrogen fuel cell vehicles and 320 hydrogen refueling stations by 2025 to meet the global carbon emission standards. Singapore, India, and Malaysia are also showing interest and have just started or are expected to start exclusive programs to promote fuel cells in regional markets. These countries are initially focusing on backup power (stationary application) fuel cells.
Breakdown of Primaries:
In-depth interviews have been conducted with various key industry participants, subject-matter experts, C-level executives of key market players, and industry consultants, among other experts, to obtain and verify critical qualitative and quantitative information, as well as to assess future market prospects.
The distribution of primary interviews is as follows:
- By Company Type: Tier 1- 60%, Tier 2- 25%, and Tier 3- 15%
- By Designation: C-Level- 35%, Director Level- 25%, and Others- 40%
- By Region: Asia Pacific – 30%, North America – 25%, Europe – 25%, South America – 10%, Middle East– 8%, and Africa – 2%,
Note: Others includes sales managers, marketing managers, product managers, and product engineers.
The tier of the companies is defined based on their total revenue as of 2017. Tier 1: USD 1 billion and above, Tier 2: From USD 500 million to USD 1 billion, and Tier 3:
Study Coverage:
The report defines, describes, and forecasts the hydrogen generation market, by technology, application, source, generation & delivery mode and region. It also offers a detailed qualitative and quantitative analysis of the market. The report provides a comprehensive review of the major market drivers, restraints, opportunities, and challenges. It also includes technology analysis, patent analysis, and regulations & tariff. It also covers various important aspects of the market, which include the analysis of the competitive landscape, market dynamics, market estimates in terms of value, and future trends in the hydrogen generation market.
Key Benefits of Buying the Report
1. The report identifies and addresses the key markets for hydrogen generation and services, which would help equipment manufacturers and service providers review the growth in demand.
2. The report helps system providers understand the pulse of the market and provides insights into drivers, restraints, opportunities, and challenges.
3. The report will help key players understand the strategies of their competitors better and help them in making better strategic decisions.