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Global Hydrogen Review 2022 | IEA

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Charley Rattan's picture
World Hydrogen Leader , Charley Rattan Associates

UK based offshore wind & hydrogen corporate advisor and trainer; Faculty member World Hydrogen Leaders. Delivering global hydrogen and offshore wind corporate investment advice, business...

  • Member since 2019
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  • Sep 22, 2022

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Hydrogen demand is growing, with positive signals in key applications Hydrogen demand reached 94 million tonnes (Mt) in 2021, recovering to above pre-pandemic levels (91 Mt in 2019), and containing energy equal to about 2.5% of global final energy consumption. Most of the increase came from traditional uses in refining and industry, though demand for new applications grew to about 40 thousand tonnes (up 60% from 2020, albeit from a low base). Some key new applications for hydrogen are showing signs of progress.

Announcements for new steel projects are growing fast just one year after the start-up of the first demonstration project for using pure hydrogen in direct reduction of iron. The first fleet of hydrogen fuel cell trains started operating in Germany. There are also more than 100 pilot and demonstration projects for using hydrogen and its derivatives in shipping, and major companies are already signing strategic partnerships to secure the supply of these fuels.

In the power sector, the use of hydrogen and ammonia is attracting more attention; announced projects stack up to almost 3.5 GW of potential capacity by 2030. Considering policies and measures that governments around the world have already put in place, we estimate that hydrogen demand could reach 115 Mt by 2030, although less than 2 Mt would come from new uses.

This compares with the 130 Mt (25% from new uses) that would be needed to meet existing climate pledges put forward by governments around the world so far, and with nearly 200 Mt needed by 2030 to be on track for net zero emissions by 2050



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