The production of green hydrogen is accelerating and, according to the IEEFA, is approaching the speed of light.
“Australia clearly shows the future of the global electricity market. On sunny days – from 10 a.m. to 3:30 p.m. daily – electricity prices are now negative. Electric vehicles, batteries, and pumped hydro can absorb some of this negative-cost electricity, but low-capacity GH2 installations will benefit from the dumped electricity, as electrifying everything drives decarbonization.
The elements that make up the manufacturing supply chain are changing. “Nel increased from 40 megawatts (MW) to 500 MW in 2021; ITM Power from 100 MW to 1000 MW in 2021. In October 2021, Thyssenkrupp aimed for a five-fold increase in online manufacturing capacity to 5 GW by 2025 and in the same month FFI and Plug offered 2 GW of in-line manufacturing capacity. manufacturing in Gladstone, Australia.
Capital costs for electrolysers are expected to decline by 50-80% by 2030, with a tenfold increase every two years. In 2020, electrolyzer production was double that of 2019. BloombergNEF estimates global electrolyzer capacity at 15 GW by 2024.
In February 2020, Japan had the largest operational GH2 facility (10 MW), but in January 2021 Air Liquide opened a 20 MW facility in Canada. Then Shell launched the construction of a 100 MW site in Germany. The records continue to tumble, just like for the batteries. The title of the largest battery in the world was not held for long. Here are more IEEFA:
“Thyssenkrupp and Shell announced a 200 MW unit in Rotterdam last month which will be commissioned by 2024/25. New Zealand is even more ambitious, with Meridian and Contact Energy offering a 600MW facility for a 2025/26 start-up.
China has committed to having 50% of its production capacity run on renewable energy within 3 years. Australia’s biggest export markets are making CO2 energy promises that will be impossible to deliver without green hydrogen.
“In his 2022 letter, BlackRock CEO Larry Fink talks about a tectonic shift in capital. More than $130 trillion in collective finance capital has been pledged globally to achieve net zero emissions by 2050 . »
It’s not just a moral choice; it’s about considering the risk posed to the global economy by fossil fuels and figuring out where to create wealth for your customers.
The demand for green energy is growing exponentially. Green hydrogen finds its place in the ecosystem and the means to achieve this are rapidly being put in place. At the same time, funding is flowing into the sector and profits are being made. Government policies, especially after COP26 pledges, are facilitating the transition.
Do you appreciate the originality of CleanTechnica? Consider becoming a member, supporter, technician or ambassador of CleanTechnica – or a patron on Patreon.