Europe Hydrogen Energy Storage Market Size - By State (Liquid, Gas, Solid), By Method (Compression, Liquefaction, Material-Based), By Application (Industrial, Transportation, Stationary) & Forecast, 2024 – 2032

Europe Hydrogen Energy Storage Market Size

Europe Hydrogen Energy Storage Market size was valued at USD 4 billion in 2023 and is anticipated to grow at a CAGR of 8.8% between 2024 and 2032. Increasing concerns about climate change are driving the transition towards renewable energy sources, such as wind and solar, which often produce surplus energy that needs to be stored efficiently. Hydrogen, particularly green hydrogen produced from renewable sources, is emerging as a promising solution for long-term energy storage. Additionally, supportive government policies and incentives aimed at promoting clean energy technologies are fostering the development of hydrogen infrastructure across Europe.
 

Various geopolitical factors are also fostering the need for the use of hydrogen. For instance, in May 2022, in response to the commencement of the Russian military intervention in Ukraine, the European Union (EU) has acted through the implementation of the REPowerEU plan. This plan aims to reduce the EU's reliance on Russian gas imports. A significant component of this strategy is the 'hydrogen accelerator' initiative, which aims to produce 10 million tonnes of renewable hydrogen within the EU and import an additional 10 million tonnes by the year 2030.
 

Europe Hydrogen Energy Storage Market Trends

In the hydrogen energy storage industry, there is a growing emphasis on green hydrogen production, driven by environmental concerns and supportive government policies promoting renewable energy sources. Additionally, there's a surge in projects focusing on hydrogen storage infrastructure development, including underground caverns and salt domes, to store large quantities of hydrogen for grid-scale applications.
 

Furthermore, the integration of hydrogen storage systems with existing renewable energy installations is gaining traction, enabling better grid stability and energy management. Partnerships between energy companies, technology providers, and research institutions are fostering innovation and driving down costs in the hydrogen storage sector, paving the way for its wider adoption across Europe's energy landscape.
 

Europe Hydrogen Energy Storage Market Analysis

Based on state, the market is segmented into liquid, gas, and solid. Amongst them, the gas segment is anticipated to exceed USD 6.4 billion by 2032, due to the rising demand for clean and sustainable energy solutions. Gas-based hydrogen energy storage offers advantages such as high energy density and relatively lower cost compared to other forms of hydrogen storage.
 

Additionally, advancements in gas storage technologies, such as salt caverns and depleted gas reservoirs, are further driving the growth of the gas segment in the European market. These factors collectively contribute to the projected growth of the gas segment, making it a prominent player in the market by 2032.
 

Based on method, the Europe hydrogen energy storage market is segmented into compression, liquefaction, and material based. Amongst them, the compression segment is anticipated to expand at a CAGR of 8.4% through 2032, due to the increasing adoption of hydrogen compression technologies in various applications such as transportation, power generation, and industrial processes.
 

Compression is a crucial step in storing hydrogen as it reduces its volume for efficient storage and transportation, making it a key segment in the European market. Additionally, advancements in compression technology are enhancing efficiency and reliability, further driving the growth of the industry.
 

Germany hydrogen energy storage market is projected to surpass USD 2.9 billion by 2032, attributed to its robust renewable energy sector that generates excess electricity, which can be harnessed for hydrogen production through electrolysis. The country's strong commitment to decarbonization and ambitious climate goals drives investment and innovation in hydrogen technologies. For instance, in January 2022, the German Economy Ministry unveiled a goal to boost the current domestic production capacity of green hydrogen, which stands at 70 MW, by a factor of 150, with the aim to reach 10 GW by 2030.
 

Additionally, including the UK, France, and the Netherlands are also expanding in this market in through investments in infrastructure, research, and policy support. They are leveraging renewable energy sources to produce hydrogen, establishing storage facilities, to achieve energy transition goals.
 

Europe Hydrogen Energy Storage Market Share

ENGIE, Air Liquide, and Linde PLC are at the forefront of the Europe hydrogen energy storage industry. Their deep industry knowledge and proficiency in industrial automation and smart technology provide them with a competitive advantage. Moreover, they provide holistic solutions customized to the specific requirements of commercial clients, incorporating advanced metering functionalities, data analysis, and seamless integration with current infrastructure.
 

Europe Hydrogen Energy Storage Market Companies

Major players operating in the Europe hydrogen energy storage industry are:

• Air Products and Chemicals, Inc.
• Air Liquide
• Cockerill Jingli Hydrogen
• ENGIE
• Fuel Cell Energy, Inc.
• GKN Hydrogen
• Gravitricity Ltd
• HYDROGEN IN MOTION
• ITM Power PLC
• Linde plc
• McPhy Energy S.A.
• Nel ASA
• SSE
   

Europe Hydrogen Energy Storage Industry News

• In March 2023, GKN Hydrogen revealed the introduction of a new initiative focused on metal hydride hydrogen storage microgrids. This project showcases the implementation of GKN Hydrogen's HY2MEDI energy storage system, seamlessly integrated into the Technical Park Circle Green.
   
• In December 2022, Air Products and Chemicals, Inc. and The AES Corporation announced a joint investment of approximately USD 4 billion towards the development of the largest green hydrogen production facility in the United States. Operations are expected to commence in 2027.
   

The market research report for hydrogen energy storage in Europe includes in-depth coverage of the industry with estimates & forecast in terms of “USD Million” from 2021 to 2032, for the following segments:

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Market, By State

• Liquid
• Gas
• Solid

Market, By Method

• Compression
• Liquefaction
• Material-Based

Market, By Application

• Industrial
• Transportation
• Stationary
• Others

The above information has been provided for the following countries across the regions:

• Germany
• UK
• France
• Italy
• Netherlands
• Russia