HYDROGEN ENERGY STORAGE MARKET SIZE AND SHARE ANALYSIS - GROWTH TRENDS AND FORECASTS (2024-2031)

Market Concentration and Competitive Landscape

Close-monitor your Competitor's Move, Request sample copy

Transition from Non-Renewable to Renewable Energy Sources

Energy systems around the world have long relied heavily on fossil fuels, particularly coal, oil and natural gas. While abundant and established options, these non-renewable sources contribute significantly to greenhouse gas emissions driving climate change. At the same time, a transition to renewable sources of energy is urgently needed but faces challenges related to how to effectively store and transport energy from these intermittent generators. This is driving interest in hydrogen as an integral part of future energy systems.

Most scenarios for deep decarbonization include hydrogen playing an important role, whether for carbon-intensive industries, transportation or balancing renewables. Developing ‘clean hydrogen’ produced from renewable electricity could significantly curb emissions if combined with fuel cells or replaced natural gas. While hydrogen production is currently fossil-based, it offers a pathway to transition established infrastructure to renewable alternatives. Projects combining offshore wind with hydrogen or using solar and wind to power electrolyzers show hydrogen’s potential to transfer renewable energy across sectors and seasons. Recent policy actions from the European Union, Japan, and others signal their view that hydrogen enables viable renewable energy economies.

The public sentiment is also propelling this transition as climate concerns push many nations to reform energy policies and decarbonize more rapidly. Citizens increasingly demand lower emissions and support clean technologies. Younger demographics especially note climate impacts and want greener solutions. As technologies progress to integrate high levels of wind and solar, these intermittent sources will require cost-effective long-term storage like hydrogen to reliably balance supply and demand. This transition will drive steady investment and innovation in large-scale renewable hydrogen projects. Established gas pipeline operators similarly see hydrogen blending or conversion as integral to sustaining their infrastructure role long-term. As more governments, companies and publics commit to clean energy and view hydrogen as crucial, global markets will respond accordingly.