Chicago, Nov. 29, 2023 (GLOBE NEWSWIRE) — A recently published report by MarketsandMarkets™ projects that the Hydrogen Generation Market is set to expand from USD 158.8 billion in 2023 to USD 257.9 billion by 2028, reflecting a Compound Annual Growth Rate (CAGR) of 10.2%. The surge is attributed to the escalating focus on environmental sustainability, increased adoption of fuel cell vehicles, and the integration of intermittent renewable energy.
The Hydrogen Generation Market is categorized based on applications into six segments: petroleum refinery, transportation, ammonia production, methanol production, power generation, and others. Notably, the petroleum refinery sector is anticipated to dominate, given the rising demand for hydrogen in refining processes crucial for hydrocarbon processing units.
The Source segment classifies the industry into blue hydrogen, gray hydrogen, and green hydrogen. Green hydrogen, recognized as an eco-friendly energy source, is expected to lead the market due to its inherent alignment with sustainability principles. By utilizing renewable energy sources like wind and solar power, green hydrogen contributes significantly to reducing carbon emissions, fostering a shift towards cleaner energy.
In terms of technology, the Hydrogen Generation Market is segmented into steam methane reforming, partial oxidation, coal gasification, auto thermal reforming, and electrolysis. The electrolysis segment is projected to witness the highest growth during the forecast period, driven by its lower carbon emissions compared to other methods and high purity.
Geographically, the report segments the market into North America, Europe, Asia Pacific, South America, the Middle East, and Africa. Europe holds the second-highest CAGR, with a notable adoption of hydrogen fuel cell vehicles. The fastest-growing region is projected to be the Asia Pacific, driven by major economies such as China, Japan, India, Australia, and South Korea. The region’s emphasis on green technologies to meet emission reduction targets contributes significantly to the market’s growth.
Key players in the Hydrogen Generation Market include Linde plc, Air Liquide, Air Products and Chemicals, Inc., Saudi Arabian Oil Co., and Shell plc. These companies, with robust supply networks, dominate the market.
Recent developments in the sector include Linde plc signing a long-term agreement with Evonik for green hydrogen, Air Liquide’s $433 million investment in the Normand ’Hyelectrolyzer, and Air Products and Chemicals, Inc.’s agreement with Edmonton International Airport to provide hydrogen for Alberta’s first hydrogen fuel cell passenger vehicle fleet. In 2022, Air Liquide invested $140.15 million to construct a hydrogen production unit at the Grandpuits site.
As the Hydrogen Generation Market continues to evolve, these developments signify a notable stride towards a more sustainable and innovative energy landscape.