The growth in green hydrogen is gaining momentum globally, with recent months seeing a rise in interest and investment, according to GlobalData’s Technology Foresights, a key factor being several significant innovations in green hydrogen technology
The data and analytics company notes that in India, projects valued at US$2bn have been given the go-ahead, with plans to invest up to US$12bn in the coming years dedicated to green hydrogen production; Italy has established a substantial US$1.1bn fund for the establishment of electrolyzer factories crucial to green hydrogen processes, while Morocco is allocating 1mn hectares of land for green hydrogen production. Substantial venture capital investments have been made in green hydrogen startups, from leading investors such as TPG Capital and Temasek. These developments illustrate a growing global interest in green hydrogen, boosted by both governmental initiatives and private sector investments.
Sourabh Nyalkalkar, practice head of Innovation Products at GlobalData, commented, “The evolution of hydrogen production technologies reflects a significant shift from carbon-positive to net-zero carbon solutions. The industry has transitioned from conventional syngas or methane reforming methods, associated with carbon emissions, to advanced technologies leveraging renewable sources like solar and hydro for hydrogen production. Notably, the innovation radar for green hydrogen highlights emerging technologies such as photocatalyst electrodes and electrochemical water splitting, anticipated to be impactful innovations in the long run. This progression underscores a concerted effort towards sustainable and environmentally friendly hydrogen production methods.”
Winning contracts
Key players in green hydrogen production technology, such as Toshiba, Panasonic, and Topsoe, are aiming to develop highly efficient electrodes capable of facilitating electrochemical reactions for hydrogen production and are winning contracts from public entities to establish hydrogen production facilities. For instance, Topsoe has won projects from the Australian government to supply technology for green hydrogen production.
Nyalkalkar concluded, “The green hydrogen startup landscape is currently ablaze with innovation, attracting substantial investments from prominent stakeholders worldwide. In the first quarter of 2024 alone, leaders in the photocatalyst electrode startup landscape monitored on Technology Foresights, including Sunfire, Ohmium, and Verdagy, have collectively raised nearly USS$500mn from top-tier venture investors. This surge in investment and innovation activities suggests a promising future for the industry, prompting stakeholders in the energy sector to stay vigilant.
“To capitalise on this growing momentum, strategic pivots and exploration of new growth opportunities through collaborations and acquisitions are essential for securing a foothold in this rapidly evolving and promising space.”
