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Europe Captive Hydrogen Generation Market Size - By Process (Steam Reformer, Electrolysis and Others), By Application (Petroleum Refining, Chemical, Metal) & Forecast, 2024 – 2032

  • Report ID: GMI9977
  • Published Date: Jun 2024
  • Report Format: PDF

Europe Captive Hydrogen Generation Market Size

Europe Captive Hydrogen Generation Market size was valued at USD 26 billion in 2023 and is anticipated to grow at a CAGR of 6.9% between 2024 and 2032. It refers to the production of hydrogen in a specific location or facility where it is needed, rather than transporting or importing it from external sources. This method often involves generating hydrogen through on-site processes such as water electrolysis or reforming hydrocarbons. The method is advantageous for industries or applications requiring a steady supply of hydrogen, as it can reduce logistical complexities and costs associated with transporting hydrogen over long distances.


Increasing emphasis on decarbonization and sustainability across Europe has propelled interest in hydrogen as a clean energy carrier, thereby creating demand for on-site production methods. Rising technological advancements in electrolysis and other clean fuel production methods to improve product efficiency and reduce cost are set to propel the process adoption.

Rising supportive policies regulations, and funding by the European Union to promote hydrogen technologies and infrastructure development in line with increasing initiatives such as the European Clean Hydrogen Alliance and funding programs will stimulate the industry growth. Increasing demand for energy security and resilience to reduce dependence on external suppliers and mitigate risks associated with supply chain disruptions will propel the business statistics.

Europe Captive Hydrogen Generation Market Trends

Growing focus on developing hydrogen infrastructure including investments in refueling stations for fuel cell vehicles, pipelines for industrial use, and storage facilities to ensure reliable supply and distribution of clean fuel are driving the business statistics. Growing strategic partnerships and alliances within and outside the traditional energy sector will accelerate the deployment of captive technologies. Furthermore, increasing demand for production methods by industries comprising chemicals, steel, refining, and transportation to meet their decarbonization targets and regulatory requirements is set to augment the process penetration.

Europe Captive Hydrogen Generation Market Analysis

Europe Captive Hydrogen Generation Market Size, By Process, 2022-2032 (USD Billion)

Based on process, the market is segmented into electrolysis, steam reformer, and others. Steam reformer is projected to grow by more than USD 39.7 billion by 2032, on account of its high efficiency, and capability of converting hydrocarbons into high yield hydrogen. Its economic benefits and infrastructure compatibility make it attractive for industries requiring large volumes of hydrogen, such as refineries, ammonia production, and petrochemicals. Furthermore, rising demand for processes that can utilize various feedstocks, including natural gas, methane, and even biogas or waste-derived gases will complement the process demand.

Europe Captive Hydrogen Generation Market Share, By Application, 2023

Based on application, the Europe captive hydrogen generation market is segmented into petroleum refinery, chemical, metal and others. The chemical segment is projected to witness over 6.8% CAGR through 2032. Rising demand for hydrogen as a crucial feedstock in the chemical industry, particularly for processes including ammonia production, methanol synthesis, and hydrogenation reactions is set to propel the process adoption.

Increasing pressure on chemical sector to reduce its carbon footprint and comply with stringent environmental regulations in line with rising sustainability goals under initiatives such as the European Green Deal, which promotes the use of low carbon and renewable hydrogen in industrial applications will complement the business growth.

Germany Captive Hydrogen Generation Market Size, 2022-2032 (USD Billion)

Germany captive hydrogen generation market is anticipated to cross USD 6.5 billion by 2032. Presence of strong industrial based including chemicals, automotive, and steel industries coupled with rising investments in hydrogen technology development, particularly in electrolysis and fuel cells will foster the process demand. For instance, adoption of policies such as National Hydrogen Strategy, launched in 2020, outlines the measures to promote hydrogen production, infrastructure development, and international cooperation bolstering the process penetration.

In the U.S. abundance of natural gas reserves and established infrastructure coupled with growing innovation, including advancements in electrolysis, hydrogen storage, and fuel cell technologies will impact the industry landscape. Increasing investments from private sector players, government agencies, and research institutions along with rising collaboration between industry stakeholders and academic institutions will accelerate the process commercialization.

Europe Captive Hydrogen Generation Market Share

Europe Captive Hydrogen Generation Company Market Share

Eminent players are increasingly focusing on advancing green hydrogen solutions through the integration of renewable energy sources into captive hydrogen generation systems to meet sustainability goals and regulatory requirements. Furthermore, new entrants are improving strategic partnerships and alliances to capitalize on synergies, and abundant resources, and boost the development and deployment of captive hydrogen generation technologies. These collaborations enable them to leverage complementary strengths and accelerate innovation in the market.

Europe Captive Hydrogen Generation Market Companies

Eminent players operating in the Europe captive hydrogen generation industry are:

  • Air Products and Chemicals, Inc
  • Air Liquide
  • Cummins Inc
  • ENGIE Solutions
  • HoSt Group
  • Linde plc
  • Messer Group GmbH
  • McPhy Energy S.A
  • NEL Hydrogen
  • Roland Berger
  • Siemens Energy
  • Thyssenkrupp AG
  • Teledyne Energy Systems, Inc

Europe Captive Hydrogen Generation Industry News

  • In February 2024, French company Lhyfe commenced construction on a new hydrogen production plant in Brake, located on land owned by Niedersachsen Ports, Germany’s largest public seaport operator. The plant will generate up to 1,150 tonnes of green hydrogen annually, with a 10 MW electrolysis capacity. The electricity will be sourced from wind and photovoltaic plants in Germany through corporate PPAs, with potential offtakers including various industrial and mobility sectors.
  • In September 2023, HYPORT, a collaboration between ENGIE Solutions and the Occitanie region's Energy and Climate Agency, introduced the Europe's first green hydrogen station at an airport. It is powered entirely by local renewable energy, focusing on decarbonizing the airport ground operations.

The Europe captive hydrogen generation market research report includes an in-depth coverage of the industry with estimates & forecast in terms of revenue in “(USD Billion)” from 2021 to 2032, for the following segments:

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Market, By Process

  • Steam Reformer
  • Electrolysis
  • Other

Market, By Application

  • Petroleum Refinery 
  • Chemical
  • Metal
  • Others

The above information has been provided for the following countries:

  • Germany
  • UK
  • France
  • Italy
  • Netherland
  • Russia


Authors: Ankit Gupta, Pooja Shukla

Frequently Asked Questions (FAQ) :

The market size for captive hydrogen generation in Europe reached USD 26 billion in 2023 and is set to witness 6.9% CAGR through 2032, owing to the technological advancements and innovation.

The chemical segment in the Europe captive hydrogen generation industry is poised to record over 6.8% CAGR during 2024- 2032, driven by the rising demand for hydrogen as a crucial feedstock in the chemical industry.

Germany market is anticipated to exceed USD 6.5 billion by 2032, attributed to the presence of strong industrial based including chemicals, automotive, and steel industries.

Air Products and Chemicals, Inc, Air Liquide, BASF SE, Cummins Inc, ENGIE Solutions, HoSt Group, Linde plc, Messer Group GmbH, and McPhy Energy S.A among others.

Europe Captive Hydrogen Generation Market Scope

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Premium Report Details

  • Base Year: 2023
  • Companies covered: 14
  • Tables & Figures: 20
  • Countries covered: 6
  • Pages: 95
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