Clean hydrogen is experiencing an unprecedented economic and political acceleration, with a myriad of green initiatives and policies growing across the globe. According to the report from the International Energy Agency it is now the right time to lower costs and expand the use of technology that can make hydrogen more widely utilized and to take advantage of the rising energy and momentum.
“Hydrogen is now experiencing unprecedented growth. We should not let this chance to make hydrogen a crucial component of our secure and clean the future of energy.”
Hydrogen’s future: affordable and clean energy
Over 200 years ago, hydrogen was the fuel for the first engine that burned fuel. It is now an integral component of the refinery industry. Hydrogen is a crucial element in the green energy revolution – it is energy-dense, light and easily storable, and does not cause direct greenhouse gases and emissions.
To contribute meaningfully to the transition to clean energy hydrogen needs to be utilized in a variety of sectors, including transportation as well as power generation, building and construction to fully realize the potential of hydrogen.
In the years since 1975, need for hydrogen has increased nearly three times over and is expected to continue to grow. In the last few years, the worldwide investment in hydrogen research and development practices has increased to around 50 targeted sectors (the majority of which are focused on transportation).
Green hydrogen economy
Hydrogen can be obtained from water, biomass and fossil fuels or from a combination of both. Today, natural gas is the main source for hydrogen production and accounts for six percent of the world’s natural gas use. Coal is the second most popular source of hydrogen due to the popularity of coal in China and India, while a lesser portion is generated from oil and electricity.
Hydrogen generated from renewable energy could play an important part in the transition towards an eco-friendly economy. At present just less than 0.1 percent of the hydrogen production comes from electrolysis of water. The lower costs of renewable energy, particularly solar PV and wind power, could alter this and increase the demand for electrolytic hydrogen.
Cost reductions for solar and wind PV, as well as the development of electrolysers at areas with renewable energy sources can be a low-cost source alternative for hydrogen, even taking into account distribution and transportation cost.
Where can hydrogen be used? Major hydrogen applications
Hydrogen is widely used in certain industries, but it is still a vast untapped potential to help support green energy transitions. It is essential to take new and ambitious steps to lower costs and accelerate the expansion of hydrogen further.
Hydrogen is a solution to many of the energy-related challenges that are critical to humanity and significantly reduce emissions. It is a great way to reduce carbon emissions in many industries, such as long-haul transport, chemicals and steel production. It could be converted into methane and electric power to power the feed industry as well as homes, or into fuel for planes, ships and automobiles.
The four most important hydrogen applications
Hydrogen is primarily utilized for industrial use such as ammonia production, refining oil production, steel production and the production of methanol. Clean hydrogen is a great option to reduce emissions.
The competitiveness for hydrogen-powered vehicles depends on the price of fuel cells as well as fueling stations. It is important to lower the price of hydrogen. Hydrogen-based fuels offer a huge potential for aviation and shipping since there aren’t any low-carbon fuel alternatives readily available.
Hydrogen could be incorporated into natural gas systems already in use which are used in commercial and residential structures in cities with dense populations. In the future fuel cells or hydrogen boilers could be utilized directly.
- Power generation
Hydrogen is among the most popular options to store renewable energy for power generation. Hydrogen can be utilized in gas turbines in order to boost the flexibility of power systems.
Although hydrogen appears to be an excellent source of clean energy however, there are some practical issues to resolve. The main obstacles that hinder the growth of the hydrogen economy are as follows:
- Renewable energy production is expensive. Hydrogen is not naturally present as fuel. It is expensive to create it from solar energy and water. Costs for consumers remain too excessive. For instance an engine that uses fuel cells can cost 10 times more than an engine that is conventional.
- The progress in the development of infrastructure for hydrogen is limited. This hinders an increase in adoption. The cost of consumer products is based on the quantity of fueling stations and the quantity of hydrogen delivered each day.
The sustainable use of hydrogen can assist in fostering innovative technological and industrial developments all over the world. According to the report of the EIA, the price of hydrogen production through renewable energy is predicted to drop by 30 percent by 2030 , as a result of reduced costs for renewable energy and the expansion of hydrogen production.
Hydrogen stock market: investing in alternative energy stocks
Alternative fuels are gaining traction as investors debate the most effective way to earn money from the switch to green energy. Hydrogen is an extremely efficient source of energy, which burns the purest of fuels and emits only water vapour hydrogen is among the top renewable energy sources.
A rising demand for clean fuels makes hydrogen stock appealing, but not the most straightforward investment choice. However, international cooperation in the area of hydrogen production could assist in accelerating the infrastructure development process, cut down on costs , and increase confidence of investors.
Hydrogen stocks: the best alternatives to energy companies that you should be watching
Going green is a trillion dollar business. From self-regulating structures to electric vehicles as well as renewable energy and recycling companies Green economy provides numerous investment opportunities and hydrogen shares are one of them.
It is believed that the Green economy has turned into an enormous trend, as evidenced through $1.3trn in sales revenue that the green economy generated just within the United States in 2019 according to a study conducted by University College London (UCL). University College London (UCL).
In the meantime, if you’re searching for the best alternative energy stocks to follow look at the two hydrogen energy stocks which are worthy of your pay attention to:
NEL is the most reputable Norwegian company that provides optimal solutions for the production, storage and distribute hydrogen from renewable energy sources. NEL is determined to “empower generations with clean energy forever”. They offer hydrogen solutions that span all aspects of the value chain, from hydrogen production technology to the creation for hydrogen-fueled fuelling facilities. Based on Invesrorwallet.com, NEL hydrogen stocks are a great long-term investment. They anticipate an 77.14 percent revenue from the five-year NEL investment.
Air Products and Chemicals (APD)
Air Products and Chemicals (APD) is the largest industrial producer in the world. gases. The company provides liquid hydrogen and compressed hydrogen to many industries, including electricals refining, chemicals and food. Air Products collaborates with NASA and is the primary provider of liquid hydrogen.