The development of green hydrogen as an energy source of the future offers numerous investment opportunities linked to the energy transition. While still a young industry, hydrogen was the fastest growing sector globally in 2022 among those contributing to this transition, with investment more than tripling from 2021[1].
Support from the private sector, a growing list of legislative initiatives and many countries’ net zero commitments presage a vast amount of activities across industries in which hydrogen has a major role to play. Many observers see green hydrogen as a necessary pillar to achieve net zero: it has the potential to help many countries drop fossil fuels and embrace renewable energy. Green hydrogen´s market worth could reach USD 11 trillion by 2050[2].
In this video, Edward Lees, co-head of our Environmental Strategies Group, explains the basics, the challenges hydrogen faces as well as the investment opportunities it could bring across sectors.
References
1 Source: BloombergNEF. “Energy Transition Investment Trends”, Jan 2023
2 Source: Goldman Sachs, Feb 2022
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