United
Kingdom Green Hydrogen Market is
anticipated to grow at a significant rate in the forecast period, 2024- 2028. Hydrogen
is produced through electrolysis, where electricity is used to split water into
hydrogen and oxygen - gas from this process is often referred to as green
hydrogen or zero carbon hydrogen when the electricity comes from renewable
sources. According to the United Kingdom Government, the UK reduced its
power sector emissions by over 70 percent between 1990 and 2019 and generates
more electricity from offshore wind than any other country. The most promising
approach, "green hydrogen," electrolyzes water to separate its
molecules into hydrogen and oxygen using renewable energy. This type of
hydrogen is considered "green" because its energy is derived from
less expensive renewable resources. There are three main electrolysis
technologies, each of which is at a distinct stage of development. Alkaline
water (ALK) is the most fundamental and established technology with a market
share of roughly 70% of the currently extremely modest green hydrogen market in
the United Kingdom. It features cheap operating costs and long operational
life. However, ALK processes must be continuously active to prevent damage to
the manufacturing machinery. As per the Energy White Paper released by the Government
of the United Kingdom, the UK will deploy and support CCUS technology and
infrastructure, with USD 1 billion of support allocated up to 2025 and a
commitment to set out details of a revenue mechanism to bring through
early-stage private investment in industrial carbon capture and hydrogen
projects. The United Kingdom is actively
seeking to collaborate with international partners to develop the green
hydrogen market. The government has signed agreements with several European
countries to explore cross-border hydrogen cooperation, which could lead to
increased demand for United Kingdom Green Hydrogen.
The
United Kingdom (U.K.) is set to become a global leader in the production and
use of green hydrogen, with the government aiming to reach net-zero carbon
emissions by 2050. Green hydrogen is a clean fuel source that can be produced
using renewable energy sources, such as wind and solar power. The U.K. Green
Hydrogen Market is projected to grow significantly over the next decade, with
numerous initiatives and investments already underway to promote the adoption
of this sustainable energy source. Moreover, The U.K. is actively seeking to
collaborate with international partners to develop the green hydrogen market.
The government has signed agreements with several European countries to explore
cross-border hydrogen cooperation, which could lead to increased demand for
U.K. green hydrogen.
The
government's Ten Point Plan for a Green Industrial Revolution, released in
November 2020, identified hydrogen as a key component of the country's
decarbonization strategy. The plan sets out a target of 5 GW of low-carbon
hydrogen production capacity by 2030, which would be enough to power over 3
million homes, as well as heavy-duty transport, industry, and power generation. To achieve this goal, the U.K. government has
committed to investing USD 500 million in the development and deployment of
low-carbon hydrogen production, transportation, and storage infrastructure.
The funding will support the construction of new facilities and the repurposing
of existing infrastructure, such as natural gas pipelines, for the transport of
hydrogen. The U.K. has already made significant progress in the deployment of
hydrogen technologies. In 2019, the world's first hydrogen-powered double-decker
buses were launched in London, and the first hydrogen trains began operating in
the country in 2020. The government has also announced plans to pilot hydrogen
heating systems in homes and businesses.
Growing
demand for clean energy
Clean
energy is becoming an increasingly important part of the global energy mix, as
countries around the world seek to reduce their carbon emissions and mitigate the
impacts of climate change. Green hydrogen, a fuel source produced using
renewable energy, is emerging as a key solution to help meet this growing demand
for clean energy. Green hydrogen is produced by using renewable energy sources,
such as wind, solar, and hydroelectric power, to split water molecules into
hydrogen and oxygen. The resulting hydrogen can be used as a fuel source in a
variety of applications, including transportation, heating, and electricity
generation, without producing any harmful emissions. The demand for green
hydrogen is growing rapidly, as more and more countries set ambitious targets
for reducing their carbon emissions. The European Union, for example, has set a
goal of becoming climate neutral by 2050, with hydrogen playing a key role in
achieving this target.
Rising
Use of Green Hydrogen in the Automotive Sector
The
automotive sector is one of the key areas where green hydrogen is expected to
play a significant role in the coming years. Green hydrogen, produced using
renewable energy sources, can be used as a fuel for fuel cell electric vehicles
(FCEVs), which offer several benefits over traditional combustion engine
vehicles. One of the main benefits of FCEVs is that they produce zero emissions
when powered by green hydrogen. This contrasts with traditional combustion
engine vehicles, which emit harmful pollutants into the atmosphere,
contributing to air pollution and climate change. As governments around the
world set increasingly ambitious targets for reducing carbon emissions, FCEVs
are emerging as a key solution for reducing emissions in the transportation
sector. In addition to their environmental benefits, FCEVs also offer several
advantages over battery electric vehicles (BEVs). FCEVs have a longer range and
can be refueled more quickly than BEVs, which require longer charging times.
This makes FCEVs a more practical option for applications such as long-haul
transportation, where range and refueling times are critical.
Mergers
& Acquisition’s
To
scale its green hydrogen business, which is replacing diesel-fueled generators
and enabling zero-emissions energy for all purposes to create a more sustainable
world, UK-based GeoPura has received USD39.53 million in investment from
leading global industry players. The funding initiative was led by General
Motors Ventures, the investment arm of the automaker, and co-led by Barclays
Sustainable Impact Capital with participation from SWEN CP and Siemens Energy
Ventures.
Policy
& Regulatory Landscape
The
European Hydrogen Backbone initiative is made up of 31 energy infrastructure
operators, including Fluxys (Belgium), ONTRAS and OGE (Germany), National Grid
(UK), and Gasunie (Netherlands). The vision of the EHB is for a climate-neutral
Europe enabled by a competitive, liquid, pan-European renewable and low-carbon
hydrogen market.
In
Furtherance of the European Commission's objective to establish a 20.6 Mt
renewable and low-carbon hydrogen market in Europe, the EHB envisions five
pan-European hydrogen supply and import corridors emerging by 2030, connecting
industrial clusters, ports, and hydrogen valleys to regions of abundant
hydrogen supply. By 2040, this infrastructure would expand to roughly 53,000 km
across all of Europe and be mostly based on repurposed natural gas
infrastructure.
According
to the Energy Security Strategy, which was published in April 2022, the UK has
committed to using a twin-track approach to develop hydrogen, meaning both
green and blue hydrogen will be pursued. However, there is growing emphasis on
the former, as evidenced by its new 10GW low carbon hydrogen production
capacity target for 2030, with "at least" half coming from green
hydrogen.
Recent
Developments
The proposed United Kingdom project for 5 GW of
low-carbon hydrogen production capacity by 2030 will position the UK hydrogen
economy for the scale-up needed to support CB6 in the mid-2030s and net zero by
2050 and to deliver clean growth opportunities across the UK. This 2030
ambition by the government of the United Kingdom will yield significant
emissions savings. As per the United Kingdom Hydrogen Strategy, the use of
low carbon hydrogen enabled by 5 GW of production capacity could deliver total
emissions savings of around 41 MtCO2 between 2023 and 2032, equivalent to the
carbon captured by 700 million trees over the same period. Moreover, the
5GW ambition would also mean the creation of a thriving new hydrogen industry,
which could support over 9,000 jobs and USD 900 million in GVA by 2030.
Furthermore, some of the proposed key projects released
by the government of the United Kingdom include the ambition for 5 GW of low
carbon hydrogen production capacity by 2030, the launch of the USD 240 million
Net Zero Hydrogen Fund in early 2022 for co-investment in early hydrogen
production projects, and the design of UK standard for low carbon hydrogen.
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Market Segmentation
United Kingdom (U.K.) Green
Hydrogen Market is segmented into Production Method Renewable Source, End-Use, Region, and Company.
Based on Production Method , the market is divided into Alkaline Water
Electrolysis, Proton Exchange Membrane, and Solid Oxide Electrolysis. Based on Renewable
Source, the market is divided into Wind, Solar PV, and Others. Based on End-Use,
the market is divided into Power Generation, Automotive, Chemicals &
Petrochemicals, and Others. Based on Region, the market is segmented into Scotland,
South-East, London, South-West, East-Anglia, Yorkshire & Humberside, and
East Midlands and Rest of the United Kingdom.
Company Profiles
Geopura
Ltd, Siemens Energy Limited, Statkraft UK Ltd, Levidian Nanosystems Limited,
Octopus Energy Group Ltd., HIIROC Limited, ITM Power plc, Tevva Motors Ltd,
Ballard Power Systems Europe A/S and Linde plc are some of the key players of United
Kingdom Green Hydrogen Market.
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Attribute
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Details
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Base Year
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2022
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Historic Data
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2018 – 2021
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Estimated Year
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2023
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Forecast Period
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2024 – 2028
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Quantitative Units
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Revenue in USD Million and CAGR for 2018-2022 and 2023-2028
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Report coverage
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Revenue forecast,
Company shares, competitive landscape,
growth factors, and trends
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Segments covered
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Production Method
Renewable Source
End Use
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Regional scope
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Scotland,
South-East, London, South-West, East-Anglia, Yorkshire & Humberside, East
Midlands and Rest of United Kingdom.
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Key companies profiled
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Geopura
Ltd, Siemens Energy Limited, Statkraft UK Ltd, Levidian Nanosystems Limited,
Octopus Energy Group Ltd., HIIROC Limited, ITM Power plc, Tevva Motors Ltd, Ballard
Power Systems Europe A/S and Linde plc
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Customization scope
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10% free report customization with purchase.
Addition or alteration to country, regional & segment scope.
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Pricing and purchase options
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Avail customized
purchase options to meet your exact research needs.
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Delivery Format
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PDF
and Excel through Email (We can also provide the editable version of the
report in PPT/Word format on special request)
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Report Scope:
In this report, United Kingdom Green Hydrogen Market has
been segmented into the following categories, in addition to the industry trends,
which have also been detailed below:
·
United Kingdom Green Hydrogen
Market, By Product Method:
o Alkaline Water Electrolysis
o Proton Exchange Membrane
o Solid Oxide Electrolysis
·
United Kingdom Green Hydrogen Market, By Renewable Source:
o Wind
o Solar PV
o Others
·
United Kingdom Green Hydrogen Market, By End-Use:
o Power Generation
o Automotive
o Chemicals & Petrochemicals
o Others
·
United Kingdom Green Hydrogen Market, By Region:
o Scotland
o South-East
o London
o South-West
o East-Anglia
o Yorkshire & Humberside
o East Midlands
o Rest of United Kingdom
Competitive landscape
Company Profiles: Detailed analysis of the major companies in United
Kingdom Green Hydrogen Market.
Available Customizations:
With the given market data, TechSci Research offers customizations
according to a company’s specific needs. The following customization options are
available for the report:
Company
Information
·
Detailed analysis and profiling
of additional market players (up to five).
United Kingdom Green Hydrogen Market is
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or want to confirm the date of release, please contact us at [email protected]