Hydrogen: The Key to Carbon-Neutral Industry and Efficient Energy Storage

Hydrogen is crucial for achieving carbon neutrality. With the EU’s goal of producing 10 million tons of hydrogen by 2030, hydrogen is emerging as a central solution for decarbonizing energy-intensive industries, heavy transport, and addressing the intermittency of renewable energy. Many players are now transitioning from conceptual studies to practical construction projects, indicating an upcoming hydrogen boom, says CEO Axel Alm.

Hydrogen can significantly reduce CO2 emissions in industries like steel, chemicals, cement, and fertilizers as fossil fuels are phased out. In heavy transport, where electrification is not always practical, hydrogen and its derivatives, such as ammonia and e-methanol, are excellent alternatives for long-haul trucking and maritime transport.

A report from the energy think tank Ember reveals that solar and wind power accounted for 30% of Europe’s electricity production in the first half of 2024, an 8% increase from 2022. This rapid development continues. On sunny and windy days, production is high, leading to low or negative electricity prices. Hydrogen offers a solution for storing excess energy from these sources and smoothing out production patterns, which is crucial for managing the intermittency of renewable energy sources.