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How to Bridge the 190 billion Investment Gap in Hydrogen Infrastructure?

In its recent report, H2Global Foundation addressed the challenges faced by securing investment for hydrogen infrastructure.

Hydrogen infrastructure includes midstream facilities related to transportation (e.g., pipelines), conversion and reconversion (e.g., ammonia synthesis plants and crackers), and storage of hydrogen from production sites to end-use location.

The demand for hydrogen infrastructure depends on producers signing capacity booking agreements to transport green molecules to customers. However, this depends on producers securing binding offtake agreements with end users and having a clear need for infrastructure. Additionally, it assumes that the required hydrogen infrastructure is available when needed.

Such interdependence showcases the complexities within the emerging hydrogen market. Addressing these challenges requires targeted measures, such as designing financial support mechanisms to reduce market risks and encourage investment in hydrogen infrastructure.

Here are some publications that may interest you

On September 27, 2024, the European Commission opened a 4-week consultation on a draft delegated act outlining the methodology for calculating the emission savings from low-carbon hydrogen and synthetic fuels. Under the newly adopted the EU Gas Package, hydrogen is considered "low-carbon" if it has at least 70% emissions reduction (or
EU launches consultation on low-carbon hydrogen

On September 27, 2024, the European Commission opened a 4-week consultation on a draft delegated act outlining the methodology for…

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The Green Ammonia case

Ammonia, an important feedstock to our economy as it is the 2nd most produced chemical by mass, after sulphuric acid…

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Green Ammonia for co-firing in power plants; A promising use case to decarbonise power generation

Thermal generation is the largest source of power and heat today with around 60% of the energy mix dominated by…

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The Green Steel case: A deeper dive into the economics of imports into the EU

The global steel industry is set to grow by 36% by 2050 and contributes to 7% of the global GHG…

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Norway announces competitive bidding process for the use of ammonia in vessels

Norway, through ENOVA, will provide investment support via a competitive bidding process for projects that will use ammonia as fuel…

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Germany Approves to Build its Hydrogen Core Network

The German Federal Network Agency, Bundesnetzagentur, has approved the proposal for Germany’s hydrogen core network. This ambitious network will span…

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