The green hydrogen drive is losing momentum as start-ups face rising costs and uncertain demand while energy majors back out of multi-billion-dollar projects as they return to their core oil and gas business.
Low-emissions hydrogen, including the “green” variety produced with electrolysis using renewable energy, remains a small portion of global hydrogen use, which currently is mostly of the type using fossil fuels to make.
Despite the promises of zero emissions in green hydrogen use and the environmentally-friendly way of producing green hydrogen, the market has faced up to the fact that the low-carbon type of hydrogen made from renewables remains very expensive and needs a lot of subsidies, incentives, and government support to exist.
The promise of green hydrogen is enormous—low-carbon fuels that can help decarbonize heavy industries, including refining and chemicals.
But the reality on the ground is quite…
