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Hydrogen Storage Market size is projected to record commendable proceeds between 2023 to 2032 as a result of a rapid increase in the demand for hydrogen in oil refineries, metal refining, and fuel cell. According to a World Bank report, the demand for hydrogen is expected to grow to 500–680 million MT by the year 2050. The deployment of effective hydrogen storage technology will be a key enabler for the advancement of fuel cell technologies in stationary power, portable power, and transportation applications.
Increasing initiatives by government bodies to establish energy-saving hydrogen infrastructure will drive the growth of the hydrogen energy storage market at a lucrative rate. Government agencies and energy firms are also highly investing in R&D activities for the development of efficient storage infrastructure. For instance, in 2022, UK-based renewable energy firm, Hive Energy invested A$1.6 million in Carbon280 and Woodside Energy and raised a total of A$7.6 million during its funding round to pilot the Hydrilyte® hydrogen storage technology.
Due to global warming, the government of all regions and countries are focusing on the installation of grid power stations. Hydrogen energy is widely used in stationary power. This is owing to the mounting demand for clean energy that does not emit toxic gases.
However, challenges associated with the storage of high-density hydrogen for portable applications could create some hindrances to market development. Moreover, stringent government regulations regarding the production of hydrogen through the process of electrolysis are hampering the growth of the global hydrogen energy storage market.
Regionally, the North America hydrogen storage market is estimated to register expansive growth between 2023 to 2032 in view of new measures and initiatives for the conservation of energy. Governments across the region are collaborating with major market players for the development of hydrogen storage infrastructure. They are also providing incentives and subsidies for the installation and maintenance of hydrogen energy storage plants.
Growing demand for hydrogen and green energy in a myriad of industries and stringent government regulations will drive the growth of the hydrogen energy storage market in North America. In addition, heavy investments by governments across the U.S., and Canada in the development of new hydrogen projects will complement the market outlook.
Based on technology, the market share from the compression storage segment is anticipated to accrue massive growth through 2032. Compression storage technology is one of the most widely used technologies for hydrogen energy storage. It helps to store huge amounts of energy in cylinders which are later used in various industries.
In terms of end-user, the hydrogen storage market from the industrial segment is projected to garner substantial revenue growth until 2032. Hydrogen is used in industries for various processes such as refining petroleum, producing fertilizer, treating metals, and processing foods. Stored hydrogen is also used for the generation of electricity.
Some of the prominent players in the hydrogen storage market include Air Liquide, Steelhead Composites Inc., Air Products Inc., ITM Power, Iwatani Corp., Cummins Inc., Nedstack Fuel Cell Technology BV, Nel ASA, Engie and Linde PLC. In June 2020, NPROXX and Cummins Inc. signed an agreement for the development of hydrogen storage tanks.
The Russia-Ukraine war is expected to have a positive impact on hydrogen storage industry. The war led to severe damages to energy systems in Ukraine. Consolidated efforts by government agencies world toward promoting renewable energy generation and adoption of hydrogen will support hydrogen storage market growth. In January 2023, the European Union and Ukraine devised plans to increase cooperation in hydrogen and renewable energy production to foster the development of the latter’s energy system which was severely damaged by Russian attacks.