BAKU, Azerbaijan, Aug.14
By Leman Zeynalova – Trend:
The global green hydrogen market is expected to reach $4,455.8 million by 2031, with a CAGR of 5.13 percent during the forecast period 2021-2031, Trend reports with reference to the "Green Hydrogen Market - A Global and Regional Analysis: Focus on Application, Technology - Analysis and Forecast, 2021-2031" report.
The increasing use of green hydrogen for applications such as oil & gas, petrochemical, electric vehicle, power generation is expected to be the major driving factor for the market.
The development of national and international ""net zero"" objectives has been one of the most noteworthy characteristics of climate policy in recent years. Europe, the U. K., China, South Korea, Japan, Canada, South Africa, and the U.S. have all adopted these objectives. While these are long-term goals, the impacts are far-reaching, far more so than, for example, an 80 percent decarbonization objective.
Increasing green hydrogen production is expected to have a multiplier impact on present renewables predictions, which are usually focused on direct electrification and decarbonization rather than 'indirect' electrification and decarbonization via hydrogen.
By 2040, hydrogen demand in fuel/HVC production, iron & steel, ammonia and industrial process heat is expected to grow exponentially to 836 TWh per year, according to the European Hydrogen Backbone report.
“Northwest Europe and parts of Southern Spain, Italy and France continue be the largest demand region. There is also a growing hydrogen demand in Eastern Europe, e.g., in Romania. By 2050, hydrogen demand in industry grows further and is expected to be spread across Europe and total demand is estimated to reach 1,200 TWh per year.
Today, industry is the largest user of hydrogen, in particular in the chemical (e.g. ammonia) and petrochemical sectors. However, almost all of it is grey hydrogen leading to substantial GHG emissions. Green and blue hydrogen can replace the existing use of grey hydrogen and be a promising enabler of decarbonisation in other industry sectors. The steel industry could significantly reduce emissions by switching to hydrogen-based steelmaking. Hydrogen can also replace the existing use of fossil energy carriers in medium- and high-temperature processes (e.g. in glass, cement and pulp and paper) and replace fossil feedstocks in the chemical sector (e.g. high value chemicals),” reads the report.
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