Hydrogen’s worldwide economic explosion will prompt one of the largest shakedowns in energy history and will provide a last-gasp opportunity to decarbonize 25% of all energy consumption.
As more taxation is applied to carbon emissions, the rise in hydrogen production capacity will see it become the most cost-effective means of energy supply to sectors in all corners of demand.
These are some of the findings in Rethink’s major new study, Hydrogen to clean up energy with $10 trillion spend which provides a global forecast of hydrogen, by demand through to 2050, with figures and pricing models across 21 key countries and 14 different industry sectors across the economy.
By the middle of the century, total investment of $10 trillion will have seen the cost of hydrogen fall by over 95% from levels seen in 2020, spurring a 10-fold increase in global demand. In total, 771 million tons of hydrogen will be required per year as the world heads towards net zero emissions on this timeline.
The journey has already started, with the report pointing to the massive acceleration in market activity over the past year alone, with new gigawatt scale projects and electrolyzer production facilities being announced week-on-week.
In just two years time, green hydrogen – produced by electrolyzers driven by renewable electricity – will undercut the cost of existing (and polluting) grey hydrogen supplies. By 2026, this will be the case worldwide, even in countries scrambling to make ends-meet from the last of their stranded oil and gas assets. This timeline is also neglecting any sudden breakthroughs that should come to lowering the cost of green hydrogen, which we expect may see costs fall significantly faster than those forecast.
As exposed through Rethink Energy’s continuous coverage of the energy transition, no industry – from cement makers to hedge funds – will remain untouched.
Readers will learn that as the inherent cost advantages of a technology falling so rapidly in cost, as green hydrogen replaces oil and gas, it will create a new landscape for geopolitics and clean commodities trading. It will overthrow industries that have been built on corruption and open up swathes of opportunities for developing countries to sustainably capitalize on their (often vast) natural resources.
Who should read this report?
Understanding the fledgling hydrogen market is vital for anyone in a multitude of industries, including oil refining, ammonia production, heavy duty transport, steel production, road transport, aviation, home heating, and cement production. This forecast is also relevant to organizations investing in any area of the energy market such as renewable energy developers, existing oil suppliers, investors, traders, energy equipment manufacturers, grid-scale energy storage, government regulators, lobbying firms and strategic decision makers and the utility and power sector.
For $4,600, you get access to every report, webinar and podcast produced by Rethink Energy in the next 12 months, as well as from the last 12. included in the annual subscription is delivery of Weekly Analysis updates.
For more information contact:
Dt Tel: +44 (0)1280 820560
E-mail: [email protected]