Hydrogen market growth to surge in 2023 despite slowing global economy: GlobalData

Global hydrogen production capacity is estimated to see a year-on-year rise of 165% to 4.5 million tons per annum (mtpa) by the end of the year, according to a recent statement from leading data and analytics company, GlobalData.

According to GlobalData, hydrogen development is critical for achieving an energy transition, meeting decarbonization targets, and positioning leading companies as market experts.

The company’s recent publication, Hydrogen Transition Outlook and Trends: Q1 2023, showed that merger and acquisition (M&A) deals last year reached $24.4 billion in monetary value, representing a 288% increase compared to 2021 levels.

‘Venture finance deal values also grew from $595.23 million to over $3,001.1 million,’ the statement read.

Andres Angulo, an energy analyst at GlobalData, commented on the report, saying that over 393 hydrogen-related deals were closed last year, a significant increase from the 277 deals registered in 2021.

Angulo said that this upward trend in the hydrogen market’s development could be decisive in achieving over 71 mtpa of capacity worldwide by 2030.

The report shows that companies like GHI, the Suez Canal Economic Zone, the New and Renewable Energy Authority, the Sovereign Fund of Egypt, and Egyptian Electricity Transmission Co. are the global leaders in low-carbon hydrogen capacity, with 56.3 mtpa of active capacity combined.

Electrolysis capacity of over 1,065 GW is now in the pipeline as part of the development of low-carbon hydrogen, with electrolysis being a key technology to produce green.

‘This is mainly being produced by manufacturing companies such as Hydrogenics, Nel ASA, ThyssenKrupp, ITM Power, HydrogenPro, Enapter and Plug Power,’ the statement read.

Furthermore, with the hydrogen economy expanding last year, companies like Globeleq Africa, Linde, John Wood Group, ThyssenKrupp, H2-Industries, Alcazar Energy, and Samsung Engineering took advantage of the growing hydrogen demand and became the engineering, procurement, and construction (EPC) leaders for green projects.

• Global hydrogen production