Europe Small Capacity Electrolyzer Market - By Product (Alkaline, PEM, Solid Oxide), By Capacity (≤ 100 kW, > 100 kW – 300 kW, > 300 kW – 500 kW), By Application (Power Generation, Transportation, Industry Energy, Industry Feedstock), 2024 – 2032

Europe Small Capacity Electrolyzer Market

Europe Small Capacity Electrolyzer Market size was valued at USD 44.4 Million in 2023 and is anticipated to grow at a CAGR of 9.3% between 2024 and 2032. An electrolyzer refers to an electrolysis device used to split water into hydrogen and oxygen using electricity. They typically have a capacity ranging from a few kilowatts to a few hundred kilowatts, making them suitable for small-scale hydrogen production applications.
 

Growing demand for hydrogen as a clean fuel along with continuous advancements in the electrolyzer technology including improvements in efficiency, durability, and cost-effectiveness will enhance the business dynamics. For instance, in February 2023, Cipher Neutron and dynaCERT collaborated for the development & commercialization of AEM electrolyzer technology in the market. Further, rising research & development activities across the technologies will fuel the market expansion.
 

Europe Small Capacity Electrolyzer Market Trends

Large scale investments in clean energy technologies including electrolyzers in line with gaining traction for decentralized solutions for hydrogen production will increase the product demand. Additionally, ongoing governmental plans and targets to promote the adoption of hydrogen technologies to decarbonize the energy systems will boost the business statistics. For instance, in May 2022, the European Commission along with the electrolyzer manufacturers set a target for a tenfold increase in electrolyzer manufacturing capacities by 2025.
 

Europe Small Capacity Electrolyzer Market Analysis

Based on product, the market is segmented into alkaline, PEM, solid oxide and others. The PEM small capacity electrolyzer is projected to grow over USD 75.5 million by 2032 owing to their high current densities, compact system design, and rapid response toward current fluctuations. Upsurge in the adoption of hydrogen in energy generation plants and as a fuel across transportation applications will enhance the product deployment. Moreover, high partial load range, dynamic operations, and ability to provide high gas purity are some major factors driving the product deployment.
 

Based on capacity, the Europe small capacity electrolyzer market is segmented into ≤ 100 kW, > 100 kW - 300 kW, and > 300 kW - 500 kW. The > 300 kW - 500 kW market is set to grow at a rate of more than 9.5% by the year 2032. Sustainable building development initiatives by respective government authorities in conjunction with rapid urbanization across the developing and underdeveloped economies will propel the business dynamics. Key features including low cost, limited area requirements, and reduced weight will further complement the industry potential.
 

Based on application, the Europe small capacity electrolyzer market is segmented into Transportation, Power generation, Industry feedstock, Industry energy, and Others. Industry feedstock witnessed a market share of over 35.5% in 2023. Growing awareness of the environmental impact of traditional hydrogen production methods combined with surging development in electrolyzer stack design, membrane materials, and system integration capabilities will foster the business landscape.
 

Germany small capacity electrolyzer market is projected to grow over USD 42 million by 2032. Growing collaboration of research institutions, universities, and companies to produce green hydrogen along with rising investments in renewable energy infrastructure will influence the product penetration over the forecasted timeline. Large scale development of advanced electrolyzer technologies that are more efficient, cost-effective, and scalable will further stimulate the industry outlook. For instance, in September 2023, Enapter AG unveiled AEM Flex 120, a 120kW anion exchange membrane electrolyzer to fuel the green hydrogen projects across the country.
 

Europe Small Capacity Electrolyzer Market Share

Bloom Energy, Corsica Solar, Enapter S.r.l, Green Hydrogen Systems, ITM Power PLC, and LARSEN & TOUBRO LIMITED holds majority of the industry share. Strategic partnerships enable manufacturers to access new markets and mitigate the risks associated with developing and commercializing modern technologies. Furthermore, collaborations between manufacturers, system integrators, and end-users enable the development of comprehensive solutions tailored to specific applications and operational requirements, thereby overcoming the integration challenges, and enhancing system performance.
 

Europe Small Capacity Electrolyzer Market Companies

Key market players operating across the Europe small capacity electrolyzer industry include:

• Bloom Energy
• Corsica Solar
• Enapter S.r.l
• Green Hydrogen Systems
• ITM Power PLC
• LARSEN & TOUBRO LIMITED
• McPhy Energy S.A.
• ostermeier H2ydrogen Solutions GmbH
• Plug power Inc.
• Sunfire GmbH
   

Europe Small Capacity Electrolyzer Industry News:

• In February 2024, Corsica Solar constructed its first green hydrogen production unit in Folelli, France. The project is anticipated to be operation by 2025 and will be connected to an existing solar power plant which will be utilized to power 150kW electrolyzer. These electrolyzers can generate two tons of hydrogen annually. Therefore, this significant development will expand the company’s market presence.
   
• In December 2022, Sunfire GmbH delivered a 250kW high temperature electrolyzer system to RWE’s Lingen plant as a part of the TansHyDE project GET H2 Nucleus. The product utilizes solid oxide electrolysis technology, which will support the green hydrogen production for RWE’s test pipeline. The supply order accelerated the company’s presence across the country.
   

Europe small capacity electrolyzer market research report includes an in–depth coverage of the industry with estimates & forecast in terms of revenue in ‘kW & USD Million’ from 2019 to 2032, for the following segments:

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Market, By Product (kW & USD Million)

• Alkaline
• PEM
• Solid Oxide
• Others

Market, By Capacity (kW & USD Million)

• ≤ 100 kW
• > 100 kW – 300 kW
• > 300 kW – 500 kW

Market, By Application (kW & USD Million)

• Power generation
• Transportation
• Industry energy
• Industry feedstock
• Others

The above information has been provided for the following countries:

• Germany
• UK
• France
• Italy
• Netherlands
• Denmark
• Rest of Europe