Petroleum Refining Hydrogen Generation Market Size

Petroleum Refining Hydrogen Generation Market was valued USD 57.9 billion in 2023 and is anticipated to grow at a CAGR of 6.7% from 2024 to 2032. It is the process of producing hydrogen gas as a byproduct or through dedicated units within a petroleum refinery. The product released is primarily utilized for various purposes within the refinery, such as hydrotreating, hydrocracking, and desulfurization, to remove impurities and upgrade petroleum products. Additionally, hydrogen produced can also be used for other industrial applications or further processed to meet specific purity requirements.

Growing consumer demand for cleaner transportation fuels, such as low-sulfur gasoline and diesel, is driving refineries to invest in hydrogen generation technologies to enable the production of cleaner and higher quality fuels. Increasing reliance on hydrogen in processing units for upgrading crude oil and refining heavier fractions into high value products will augment the business statistics.

Growing emphasis on sustainability and decarbonization is prompting refineries to explore the production of renewable fuel from different sources thereby driving investments in hydrogen generation methods and technologies. Rising collaborations and partnerships between refining companies, technology providers, research institutions, and government agencies to advance clean energy generation technologies will boost the product penetration.