The development of green hydrogen as an energy of the future is now undoubted and offers numerous investment opportunities linked to the energy transition. While still a young industry, Hydrogen was the fastest growing sector globally in 2022 amongst those contributing towards the energy transition, with investment more than tripling over the year before[1].
Support from the private sector and a growing list of legislative initiatives and countries’ net zero 2030 and 2050 commitments imply a vast amount of activities across industries in which hydrogen, has a major role to play. This does not come as a surprise, green hydrogen is a necessary pillar to any aspiring net zero path, it has the potential to help countries around the world break their addictions to fossil fuels and embrace renewable energy. Green hydrogen´s market worth could reach USD 11 trillion by 2050, split between Asia, the US and Europe[2].
In this video Edward Lees, co-head of our Environmental Strategies Group, explains the basics of Hydrogen, the challenges it faces as well as the investment opportunities it could bring in multiple sectors that could be decarbonised, in part, through hydrogen.
References
1 Source: BloombergNEF. January 2023. “Energy Transition Investment Trends” report.
2 Source: Goldman Sachs. February 2022.
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