Green hydrogen has emerged as a cornerstone in the global push for decarbonisation. Produced exclusively using renewable energy, this energy vector offers a viable solution for sectors where direct electrification is either impractical or impossible.

Projections from IRENA and the World Trade Organisation are striking: by 2050, green hydrogen and its derivatives are expected to meet 14% of global energy demand, playing a significant role in keeping the global temperature rise below 1.5°C.

From Theory to Practice

The process of producing green hydrogen is theoretically straightforward but practically challenging. 

Electrolysis, the method used, splits water into hydrogen and oxygen using electricity generated from renewable sources such as solar or wind power.

This approach stands in stark contrast to the conventional production of grey hydrogen, which relies on fossil fuels and emits substantial amounts of CO₂.

From Laboratory to Industry

Green hydrogen's versatility makes it a strategic asset across various industries. In the steel sector, it replaces coal in production processes, enabling significant decarbonisation of one of the most polluting industries. 

Traditional blast furnaces are being replaced by facilities that utilise green hydrogen as a reducing agent, thereby eliminating CO₂ emissions entirely.

In maritime transport, green hydrogen and its derivatives, such as green ammonia, provide a cleaner alternative to highly polluting bunker fuel.

Leading shipping companies are already trialling hydrogen-powered vessels, anticipating stricter maritime emission regulations. Commercial aviation is also exploring synthetic fuels derived from green hydrogen.

These sustainable alternatives have the potential to dramatically reduce the sector's carbon footprint without requiring substantial modifications to existing airport infrastructure.

Barriers to Overcome

The cost of production is a major barrier to widespread adoption. Green hydrogen currently costs between $3 and $6 per kilogramme, compared to $1 to $2 for grey hydrogen. 

However, its cost trajectory mirrors the trend seen with solar energy: economies of scale and technological advancements are expected to significantly reduce costs over the coming decade.

Analysts project cost parity with grey hydrogen by 2030 in regions rich in renewable resources.

Infrastructure represents another critical challenge. Transporting and storing hydrogen requires specialised facilities, demanding considerable investment.

While adapting existing natural gas infrastructure offers a partial solution, extensive technical modifications are necessary to accommodate hydrogen's unique properties.

A shortage of skilled professionals is also a pressing concern. The green hydrogen industry demands expertise in electrochemistry, process engineering, and renewable energy systems.

Universities and technical training centres are beginning to adjust their curricula to address this growing demand.

Catalysts for Change

Public policy plays a pivotal role in the development of the green hydrogen market. The European Union leads the charge with its green hydrogen strategy, which envisions 40 GW of electrolysis capacity by 2030. 

Through its "Important Projects of Common European Interest" (IPCEI) programme, the EU is funnelling billions of euros into strategic projects.

The United States is supporting the sector through tax incentives embedded in the Inflation Reduction Act, including tax credits of up to $3 per kilogramme of green hydrogen produced. These incentives are catalysing private investment.

Meanwhile, China has incorporated green hydrogen into its five-year plans, signalling long-term commitment. The country already dominates electrolyser manufacturing, replicating its success in the solar photovoltaic industry.

Horizon 2050

The maturation of the green hydrogen market is poised to redefine the global energy landscape. 

Countries abundant in renewable resources, such as North Africa, Australia, and Latin America, could emerge as major energy exporters, altering current geopolitical dynamics.

Integration with other clean technologies will enhance the resilience and sustainability of energy systems. Green hydrogen serves as a critical bridge, enabling the long-term storage of renewable energy and facilitating the decarbonisation of industrial processes.

The establishment of industrial clusters around green hydrogen presents new economic opportunities. "Hydrogen valleys," where producers, consumers, and technology providers coexist, accelerate innovation while reducing logistical costs.

A Necessary Transformation

Green hydrogen is not a silver bullet but an integral part of the broader decarbonisation toolkit. Its development complements direct electrification and other renewable technologies. 

Achieving its full potential will require international collaboration, continuous innovation, and sustained commitment from both governments and the private sector.

In the race against climate change, green hydrogen represents a bet on a cleaner, more sustainable energy future.

Its development not only addresses the urgent need to cut emissions but also catalyses an industrial transformation that will shape the economy of the 21st century.

While the transition to a green hydrogen economy demands substantial investments and structural changes, the environmental and economic benefits make the effort unequivocally worthwhile.