Green hydrogen to make up 83% of low-carbon capacity by 2030

The hydrogen market is set to occupy a critical role in decarbonisation.

Around 83% of the low carbon hydrogen capacity set to go online in 2030 is expected to come from green hydrogen plants, according to GlobalData.

In its new report, GlobalData said the remainder will come from blue hydrogen, whilst purple and turquoise hydrogen capacities are anticipated to be miniscule.

Only about 2% of the total expected capacity by 2030 is currently operational.

“Low-carbon hydrogen is set to occupy a crucial role in the decarbonization efforts of several energy-intensive industry verticals,” said Ravindra Puranik, Oil and Gas Analyst at GlobalData.

“Switching to low-carbon hydrogen would help companies reduce their emissions footprint. It also has massive potential in the transportation sector, especially in marine and heavy vehicle applications, due to its energy density properties,”  the expert added.

Puranik said there has been a jump in low-carbon hydrogen project announcements in the last few years, with nearly 75% in the feasibility stage of development. Several oil and gas companies have also announced new blue and green hydrogen plants, which are expected to be operational by 2030.

“Nevertheless, there is a need for the hydrogen distribution network to expand at scale, which includes the addition of new pipelines. The current scenario signals a critical phase for the development of the global hydrogen economy,” said Puranik.