Europe Hydrogen Generation Market Size - By Delivery Mode (Captive and Merchant), By Process (Steam Reformer, Electrolysis and Others), By Application (Petroleum Refinery, Chemical, Metal and Others), 2024 – 2032

Europe Hydrogen Generation Market Size

Europe Hydrogen Generation Market was valued at USD 30.7 Billion in 2023 and is anticipated to grow at a CAGR of 7.1% from 2024 to 2032. It is the process of producing hydrogen gas from various feedstocks or sources. This can involve several methods, including electrolysis of water, steam reforming of natural gas or other hydrocarbons, biomass gasification, and thermochemical processes.
 

The European Union's ambitious climate targets, including the goal of becoming carbon-neutral by 2050 will fuel the market growth. The integration of renewable energy sources, into the energy mix coupled with supportive government policies and incentives aimed at promoting hydrogen infrastructure development and research initiatives, will augment the industry growth. Further, rising advancements in hydrogen production technologies, coupled with increasing demand for clean energy solutions, particularly in transportation, industry, and power generation will stimulate the growth trajectory.
 

Europe Hydrogen Generation Market Trends

Implementation of supportive government policies, incentives, funding mechanisms and public private partnerships will fuel the market growth. Growing collaboration between governments, industry players, and research institutions is fostering innovation and technological advancements in electrolysis and hydrogen production processes thereby accelerating the market growth. Furthermore, growing efforts to integrate hydrogen into existing energy systems, including the blending of hydrogen with natural gas in existing pipelines will create opportunities for industry growth.
 

Europe Hydrogen Generation Market Analysis

Based on delivery mode, the captive segment is anticipated to reach more than USD 46.6 billion by 2032. This offers greater energy independence and security for industrial facilities, particularly in sectors with high energy requirements including refineries, petrochemical plants, and manufacturing facilities will augment the market penetration. Regulatory incentives, government support, tax credits, and grants on decarbonization initiatives will encourage industrial facilities to invest in these systems.
 

Based on process, the electrolysis segment is set to grow at a CAGR of over 8% through 2032. Rising demand for clean and sustainable energy solutions to address climate change and reduce greenhouse gas emissions will drive the process statistics. It offers flexibility and scalability, making it suitable for a wide range of applications and can be deployed at various scales, from small-scale units for decentralized production to large-scale industrial installations, to meet diverse hydrogen demand scenarios will stimulate the process adoption.
 

Germany hydrogen generation market size surpass USD 8 billion by 2032. The country aims to achieve a low-carbon, sustainable energy system by transitioning away from fossil fuels and nuclear power towards renewable energy sources will foster the market growth. Germany's National Hydrogen Strategy, unveiled in 2020, further outlines a comprehensive roadmap for the development of a hydrogen economy in the country. Furthermore, robust industrial base and technological expertise in sectors relevant to hydrogen production, will create growth prospects.

Europe Hydrogen Generation Market Share

Eminent players are prioritizing R&D initiatives to develop innovative hydrogen generation technologies, improve efficiency, and reduce costs. Collaboration and strategic partnerships are becoming increasingly common as companies seek to leverage complementary strengths, expertise, and resources. Some companies are also pursuing vertical integration strategies by expanding their operations across the hydrogen value chain which involves investing in upstream activities including renewable energy generation, electrolysis technology, hydrogen production, storage, and distribution infrastructure.
 

Europe Hydrogen Generation Market Companies

Eminent players operating in the Europe hydrogen generation industry are:

• Air Products and Chemicals, Inc.
• Ally Hi-Tech Co., Ltd.
• CALORIC
• Cummins Inc.
• Hexagon Composites ASA
• ITM Power plc
• Iwatani Corporation
• Linde plc
• McPhy Energy
• Messer
• Nel ASA
• NUVERA FUEL CELLS, LLC
• Plug Power Inc.
• RESONAC HOLDINGS CORPORATION
• Siemens Energy AG
   

Europe Hydrogen Generation Industry News

• In December 2023, H2 Energy Europe secures government funding for a 20MW electrolytic hydrogen production facility at Milford Haven port, the first project in South Wales. By 2030, the UK aims to produce 10 gigawatts of low-carbon hydrogen, most of which will come from electrolysis, which will take advantage of the growth in offshore wind, renewable energy, and nuclear power.
   
• In September 2021, Masdar and VERBUND Green Hydrogen GmbH signed a deal to establish a green hydrogen plant in central Spain, aimed at decarbonizing Europe's challenging sectors. This venture announced at COP28 in Expo City Dubai, follows an earlier pact to explore green hydrogen opportunities to meet European demand.
   

This Europe hydrogen generation market research report includes an in-depth coverage of the industry with estimates & forecast in terms of volume and revenue in “USD Billion” from 2019 to 2032, for the following segments:

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Market, By Delivery Mode

• Captive
• Merchant

Market, By Process

• Steam Reformer
• Electrolysis
• Others

Market, By Application

• Petroleum Refinery 
• Chemical
• Metal
• Others

The above information has been provided for the following countries:

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