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Hydrogen Fueling Infrastructure Market size is set to exhibit a significant growth rate from 2023 to 2032 attributed to the ongoing shift towards renewable energy sources globally.
Clean hydrogen fuel is currently witnessing positive governmental and commercial adoption, with the number of regulations and initiatives expanding rapidly throughout the world. As a result, several organizations are scaling up the technology and lowering costs to allow hydrogen to be employed by governments and industries to capitalize on this growing momentum, which is a major factor projected to augment industry revenues through the forecast timeline.
The Russia-Ukraine war has led to a key socioeconomic crisis, which has hampered the growth of the hydrogen fueling infrastructure market due to global supply chain disruptions and a spike in energy prices. Furthermore, Russia’s long-term hydrogen export position is now anticipated to be hampered, hindering product uptake.
Natural gas reforming (thermal process), electrolysis, solar-driven and biological processes are the various technologies used to produce hydrogen. The solar-driven hydrogen fuel production technology is gaining traction as governments are concentrating on creating technologies that could generate hydrogen fuels using clean electricity from renewable sources, such as solar energy, wind, and nuclear power, contributing to the segment growth.
Based on end-use, the hydrogen fueling infrastructure market is classified into power generation, ammonia production, methanol production, steel manufacturing, automotive & transportation, and building & construction. The transportation segment is poised to record exponential growth through 2032 owing to the growing inclination toward electric-powered plug-in vehicles and hydrogen-powered fuel cell electric vehicles. Public and private corporations’ efforts to develop optimal future vehicle technology by combining personal mobility and transport with zero-emission are driving massive investments in the development of hydrogen fueling infrastructure, which will propel segment expansion.
For instance, the California Energy Commission (CEC) is encouraging the use of electric vehicles powered with hydrogen fuel cells by expanding the state's network of hydrogen recharging stations. In December 2022, the CEC authorized a $2.9 billion investment plan to accelerate the state's 2025 targets for hydrogen fueling and electric vehicle (EV) charging. With the help of this transformative investment, charging and refueling infrastructure will be deployed rapidly to provide access to charging points for zero-emission cars and trucks.
North America is slated to account for a sizable share of the hydrogen fueling infrastructure market by 2032. In the U.S., the demand for hydrogen will reach 14 million metric tons by 2030. Hydrogen's primary application is predicted to remain as a feedstock in industrial operations, with considerable usage as a transportation fuel in buses, vehicles, and forklifts. Additionally, the mounting demand for clean fuel, coupled with favorable government initiatives, is expected to augment regional revenue growth during the forecast period.
In April 2022, the U.S. Department of Energy established H2USA, a public-private partnership including government organizations, automakers, hydrogen suppliers, fuel cell innovators, national labs, and other stakeholders, to solve this issue. H2USA is focused on developing the hydrogen infrastructure to provide American customers with more transportation energy alternatives.
Top companies operating in the global hydrogen fueling infrastructure market are Reliance Industries Ltd., Shell Plc., Sinopec, Air Liquide International S.A., Linde Plc., Bloom Energy, FuelCell Energy, and Air Products and Chemicals, among others.
These firms are investing in projects that offer direct access and adopting strategic efforts to establish new energy ecosystems. To cite an instance, in July 2022, Airbus joined the world's largest clean hydrogen infrastructure investment fund, Hy24, a joint venture between Ardian, a major private investment company, and FiveTHydrogen, an investment manager specializing in clean hydrogen investments. Through this funding, Hy24 agreed to assist to identify and expedite the development of clean-hydrogen infrastructure companies.