Hydrogen Storage Market is Anticipated to Witness High Growth Owing to Rising Demand for Clean Energy Solutions

 

Hydrogen Storage Market 

The hydrogen storage market involves technologies and infrastructure required for storing and transporting hydrogen. It plays a vital role in the hydrogen economy and allows hydrogen to be used as an energy carrier. There are various methods of storing hydrogen like compressed gas storage, liquefied hydrogen storage, and solid-state storage. Compressed gas storage is the most widely used method for storing hydrogen. Hydrogen can be compressed up to 70MPa and stored in high-strength composite or metal cylinders for transportation and utilization. Liquefaction process is carried out at cryogenic temperatures to convert hydrogen into liquid form for storage. Solid-state storage involves storing hydrogen in solid materials like carbon nanotubes, metal hydrides, etc. This helps achieve high storage densities and prevents hydrogen from leaking.

The global hydrogen storage market is estimated to be valued at US$ 1.6 Bn in 2024 and is expected to exhibit a CAGR of 23% over the forecast period 2024 To 2031. Rising environmental concerns and stringent emission norms are driving the demand for clean energy solutions like hydrogen. Hydrogen can be produced from renewable energy sources and used in FCEVs and portable power applications with zero emissions. This is fueling investments in building hydrogen infrastructure including storage, transportation and refueling stations.

Key Takeaways

Key players operating in the Hydrogen Storage Market Demand are Air Liquide, Air Products and Chemicals, Inc., Hexagon Purus, Worthington Industries, Inc., Linde plc, Luxfer Holdings PLC, Chart Industries , INOXCVA, HBank Technologies Inc., Pragma Industries.

The key opportunities in the hydrogen storage market include increasing adoption of hydrogen powered vehicles and establishment of hydrogen refueling infrastructure. Several automobile manufacturers are launching FCEV models and collaborating with gas companies to develop the hydrogen economy.

Major players are undertaking initiatives for global expansion to gain a larger share of the hydrogen storage market. They are investing in building production plants, partnering with local players and signing government contracts across regions like Europe, North America, Asia Pacific. This is helping them access new markets and better serve the growing hydrogen demand.

Market Drivers:

Strict emission regulations: Regulations mandating zero or low emission vehicles and fuel cell technologies are driving the use of hydrogen as a clean fuel. This is significantly boosting demand for hydrogen storage systems.

Increasing renewable energy integration: As the share of solar and wind energy increases globally, excess renewable electricity is being used to produce hydrogen via electrolysis. This acts as a driver for hydrogen storage tanks and infrastructure.

Market Restraints:

High cost of infrastructure: Developing large-scale hydrogen production, transportation, and refueling facilities requires massive capital investments. This high upfront cost poses a major challenge for widespread commercialization of hydrogen technologies.

Safety concerns: Hydrogen is a highly flammable gas and storing or transporting it requires special safety protocols and equipment like venting systems. This results in increased costs and regulatory compliance issues.

Segment Analysis

The hydrogen storage market comprises gas phase, solid state, and liquid phase segments. The gas phase segment dominates the market currently with a share of over 50%. Hydrogen can be stored as a compressed gas in high-pressure cylindrical tanks made of either aluminum or composite fiber. This technology is cheaper and widely used in transportation and portable applications.

The solid state segment is the fastest growing segment and is expected to gain significant share in the coming years. In solid state storage, hydrogen is stored in solid materials through adsorption or absorption. It offers higher gravimetric and volumetric density compared to gas phase storage. Materials such as metal hydrides, chemical hydrides, and sorbents are widely used for solid state hydrogen storage.

Global Analysis

Europe dominates the global hydrogen storage market currently with a share of over 35%, followed by North America. Stringent emissions norms and growing focus on alternative fuels for transportation in countries like Germany, France and UK are driving the demand for hydrogen storage in the region.

The Asia Pacific region is expected to exhibit the fastest growth during the forecast period. Presence of emerging economies like China and India with rising energy demand along with government support for clean energy are fueling the hydrogen storage market in Asia Pacific. Countries in the region are investing heavily in building hydrogen fueling infrastructure to promote fuel cell vehicles and other applications.

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