The number of operational wipe hydrogen production projects worldwide is set to at least double in the next five years, equal to research published on 23 October by law firm Pillsbury, with 108 set to start producing the gas by the end of 2028. This will equate to an spare 48GW coming online in the next five years, as the group reports.

Pillsbury has ripened a Hydrogen Map ­– an interactive global tracker of hydrogen projects – which shows that the number of global zero and low-carbon hydrogen production projects has grown significantly, with 94 projects once producing hydrogen. Since 2021, when the map was first published, the number of tracked production projects at any stage of minutiae has increased by scrutinizingly 50%.

According to the research, Europe is leading the tuition in the minutiae of wipe hydrogen, with Germany home to 25 of the total once operational projects (equal to 27%); the U.S. home to 7 (7%); the UK home to 7 (7%); and Japan home to 7 (7%).

Key findings include:

  • Globally, 326 wipe hydrogen production projects have been spoken and are at various stages of development. This includes 310 untried hydrogen projects and 16 undecorous hydrogen projects
  • Of the 108 projects set to start producing hydrogen in the next 5 years, Europe is leading the tuition with 64 new projects set to come online; Asia 18; Australasia 14; and North America 10; with 1 project for each South America and Africa
  • In terms of GW electricity produced from hydrogen energy in the next 5 years, Australia is front of the pack with scrutinizingly 28GW due to come online. The Netherlands comes in second with nearly 7GW; Ireland nearly 4GW; and China and Spain with 2GW each

The recent growth in hydrogen projects follows significant efforts by governments wideness the world to promote the hydrogen industry. The EU led the tuition globally with its strategy on hydrogen stuff unexplored in 2020. The U.S. followed suit through the introduction of a wipe hydrogen production tax credit through the Inflation Reduction Act and a hydrogen hubs program through the Infrastructure Investment and Jobs Act (IIJA) whilst moreover introducing its National Wipe Hydrogen Strategy and Roadmap. Meanwhile, the UK launched its hydrogen strategy in 2021. Separately, data from Pitchbook reveals that, in 2022, private probity firms spent $3.1 billion on hydrogen-related companies wideness 37 deals, while venture firms invested $2.6 billion in 192 startups.

The Hydrogen Map divides wipe hydrogen production projects into two categories on the understructure of production method: undecorous denoting steam reforming of natural gas with stat capture; and untried denoting hydrogen produced via electrolysis of zero-carbon energy sources, such as renewables and nuclear.

Elina Teplinsky, Pillsbury’s Global Energy Industry Leader, commented: “The EU was the first to roll out measures to support the minutiae of hydrogen, so we’re ultimately seeing the market reap what it sowed. The US has thrown its full weight overdue transmissible up with the EU, so it’s not surprising we’ve seen strong recent growth, something that will likely protract in the years ahead. The hydrogen hubs program will be a significant moment in the hydrogen race.

“Hydrogen is multifaceted in applications and worthiness to decarbonize many sectors, but some hurdles still need to be cleared surpassing we have a viable global wipe hydrogen market. One of which is the elementary question of how hydrogen will be transported in a cost-effective manner – whether via pipelines, conversion into ammonia or using new liquefaction technologies. Continued innovation and investment will see this hurdle cleared in time.

“Given the magnitude of the wipe hydrogen needed to meet decarbonization goals, the signs are pointing to a significant growth in nuclear hydrogen in the years ahead. There’s once been some promising movement in procuring hydrogen from upper baseload-level nuclear in existing plants in both France and the U.S.”

“At present, North America and the UK are certainly playing catch-up to Europe, given Europe had started well superiority of the pack with policies supporting the megacosm of a hydrogen economy. Thoughtful implementation of existing hydrogen incentives, however, could see the gap sealed quickly. For example, the U.S. Department of Energy’s utterance this past Friday of the selection of seven hydrogen hubs for its $7B H2Hubs program, will likely see increasingly projects spoken in the coming months. However, this is largely predicated on the implementation of the 45V hydrogen production tax credit provided by the IRA, which is pensile the issuance of rules by the U.S. Department of Treasury, expected by the end of this year; without eligibility for this credit, many projects may not proceed.

“Similarly, the Canadian government has proposed a hydrogen investment tax credit in its 2023 Budget Proposal, but the details of that credit remain confirmed. The UK government is moreover in the process of selecting projects for grant funding and finalising both production and demand-side incentives. All of this creates a potentially very heady landscape for hydrogen minutiae on a global scale, and while the EU may have been fastest out of the gate, North America and the UK has certainly set its sights on latter the distance.”

Gavin Watson, Partner in Pillsbury’s London office, commented: “It’s two years since the UK unveiled its hydrogen strategy, but we still lack a coherent regulatory framework to requite the sector much needed certainty. In its recent report to the UK Parliament, the Climate Transpiration Committee noted that the UK has lost its global leadership position on climate action. It has been slow to react to the U.S.’ Inflation Reduction Act as well as the EU’s proposed Untried Deal Industrial Plan. Both these initiatives will protract to pull investment yonder from hydrogen in the UK.

“Despite stuff replete with eloquent warranty of unconfined ambition, good intention, and transferral to work with industry and consult stakeholders, the “Hydrogen Strategy Update” issued by the Dept for Energy Security & Net Zero this month does little to suggest the UK will be a front-runner in the global pursuit of a hydrogen economy. In March, it was spoken that 15 applicants would share £37.9m under the UK’s first hydrogen funding support. The utterance is embarrassingly unambitious expressly without Germany spoken it would spend over $20bn to develop its hydrogen industry between 2024 to 2027 – with over $4bn allocated for next year alone.

“Unless things change, which doesn’t squint likely in the firsthand term given the divided political landscape, the UK will protract dropping lanugo the pecking order, and possibly quite quickly.”