全球氫能洞察2023

Hydrogen

HydrogenInsights2023

Thestateoftheglobalhydrogeneconomy,

withadeepdiveintorenewablehydrogen

costevolution

December2023

2

PublishedinDecember2023bytheHydrogenCouncil.Copiesofthisdocument

areavailableuponrequestorcanbedownloadedfromourwebsite:

ThisreportwasauthoredbytheHydrogenCouncilincollaborationwithMcKinsey

&Company.Thereproductionofthiswork,savewhereotherwisestated,is

authorised,providedthesourceisacknowledged.Allrightsareotherwisereserved.

Theauthorsofthereportconirmthat:

1.Therearenorecommendationsand/oranymeasuresand/ortrajectories

withinthereportthatcouldbeinterpretedasstandardsorasanyotherform

of(suggested)coordinationbetweentheparticipantsofthestudyreferredto

withinthereportthatwouldinfringetheEUcompetitionlaw;

and

2.Itisnottheirintentionthatanysuchformofcoordinationwillbeadopted.

Whilstthecontentsofthereportanditsabstractimplicationsfortheindustry

generallycanbediscussedoncetheyhavebeenprepared,individualstrategies

remainproprietary,conidential,andtheresponsibilityofeachparticipant.

Participantsareremindedthat,aspartoftheinvariablepracticeoftheHydrogen

CouncilandtheEUcompetitionlawobligationstowhichmembershipactivities

aresubject,suchstrategicandconidentialinformationmustnotbesharedor

coordinated–includingaspartofthisreport.

HydrogenInsightsDecember2023

HydrogenCouncil,McKinsey&Company

3

TheHydrogenCouncilhas145+membersandisaglobalCEO-ledinitiative

withaunitedvisionandlong-termambitionforhydrogentofosterthecleanenergytransition

Steeringmembers

chemours

AIRBUS

Honeywel

Microsoft

AsahikASEI

EonMobil

(》TCEnergy

TOPSOE

Supportingmembers

3MadaniADWROAFCEnergy

BakerHughesBALLARD

CRYOGENMASH

R==R=

Investors

nel

￥BARCLAYS

HydrogenInsightsistheHydrogenCouncil’sperspectiveonthehydrogenindustry’sevolution.Itsummarizesthecurrentstateoftheglobalhydrogensectorandactualhydrogendeployment.TheHydrogenCouncilandMcKinsey&Companyco-authorthispublication.Itrepresentsacollaborativeefforttoshareanobjective,holistic,andquantitativeperspectiveonthestatusoftheglobalhydrogenecosystem.1

1.Detailedmethodologyexplainedin

HydrogenInsights2021

HydrogenInsightsDecember2023

HydrogenCouncil,McKinsey&Company

Executivesummary

1

Hydrogenwillplayacrucialroleindecarbonizinghard-to-abatesectors,enabletheat-scaletransportofenergytoresource-

constrainedregions,andenableacleanandresilientenergy

system.Itsdeploymentisataninflectionpoint–ononehandtherearetailwindssuchasagrowingandgraduallymaturingpipelineofprojectsandsupportivedecarbonizationregulation.Ontheotherhand,there

areheadwinds:costincreases,projectdelays,continuedregulatoryuncertainty,andhigherfinancingcosts.

announcedacrossallregions(upfromabout1,040inthe

previouspublication),equalingUSD570billioninvestments

2

Theprojectpipelineisgrowing,withover1,400projects

(previouslyUSD435billion2)and45milliontonsperannum(Mtp.a.)ofcleanhydrogen3supplyannouncedthrough2030(previously

38Mtp.a.).Europeshowsthelargestnumberofprojects(540),

followedbyNorthAmerica(248).Aquarterofprojectswithknowncommissioningdatehasprogressedpastfinalinvestmentdecision

(FID),representing7%ofthetotalannouncedinvestments.Investments

arematuring,withUSD110billioninfront-endengineeringanddesign(FEED)andbeyond(upfromUSD75billion),with60%growthin

investmentsundergoingFEED.Electrolysisdeploymentgloballyhasshownsimilargrowth,passingthe1gigawatt(GW)mark(upfrom

0.7GWpreviously),withabout12GWcapacityhavingpassedFID.

4

costexpectationshaverisensubstantially,particularlyfor

Thecleanhydrogenindustryisfacingheadwinds.Costsand

renewablehydrogen.Theestimatedlevelizedcostofproducingrenewablehydrogen(LCOH)isabout4.5to6.5USDperkilogram(USD/kg)ifbuilttoday,4upby30%to65%.Multiplefactorshavecausedthis

increase-higherlaborandmaterialcosts,highercostforbuildingthebalanceofelectrolyzerplants,3to5percentagepointshighercost

ofcapital,andanincreaseofrenewablepowercostbymorethan30%.However,thecostofproducingrenewablehydrogenisexpectedto

declineto2.5to4.0USD/kgtowards2030,drivenbyadvancementsinelectrolyzertechnology,manufacturingeconomiesofscale,designimprovements,andreductioninrenewablepowercost.

globalhydrogenindustrythanhadbeenpreviouslyexpected.Suchhurdlesarereflectedin,forinstance,a10%dropin

5

Theheadwindshavecausedaslowerdevelopmentofthe

announcedcleanhydrogensupplythrough2025.Concertedactionofindustriesandgovernmentswilllikelybeneededtofurtherglobalcleanhydrogengrowth,facilitatingadditionaldecarbonization.

3

Theregulatorylandscapeoverallisevolving.Forinstance,

supportismaterializingviaproductiontaxcredits(PTC)and

financialsupportforhydrogenhubsintheUS,renewable

hydrogenmandatesintheRenewableEnergyDirective(REDIII)in

Europe,orcontractsfordifference(CfD)inJapan.However,regulatory

uncertaintiesremain,suchasthedefinitionofrequirementstoreceive

theUSInflationReductionAct(IRA)PTCandtheimplementation

ofREDIIIinEUmemberstates,implyingthesepolicieshavenotyetfully

impactedthemarket.

2.Anincreaseintotaldirectinvestmentreflectsrefinedestimatesofcapitalexpendituresrequired(primarilyforrenewablehydrogensupply)resultinginthepreviouslyestimatedUSD320billionincreasingtoUSD435billion.

3.Seecleanhydrogendefinitionin‘

HydrogenforNet-Zero

’reportonpage52.

4.ExamplefromtheUSGulfCoast.

HydrogenInsightsDecember2023

HydrogenCouncil,McKinsey&Company

4

HydrogenInsightsDecember2023

HydrogenCouncil,McKinsey&Company

01

Hydrogenmomentum

continuestoaccelerate,butinvestmentdecisionsarelagging

1,418

hydrogenprojectsannouncedglobally,

1,011ofwhichplanfullorpartialdeploymentby2030

USD570billion

directinvestmentsinhydrogenprojectsannouncedthrough2030(+30%)–USD39billion(+26%)havepassedFID

45Mtp.a.

ofcleanhydrogensupplyannouncedby2030,

ofwhich70%isrenewableand30%islow-carbon

5

Europe

193

LatinAmerica

Oceania

NorthAmerica

MiddleEast

China

Africa

investmentsrequiredtodevelop

projectsannouncedthrough2030

India

Exhibit1

Hydrogenmomentumisstrong:1,418

projectshavebeenannouncedglobally–

USD570billioninvestmentsannounced

Globally,theindustryhasannounced1,418clean

hydrogenprojectsasofOctober2023.Sincethe

previouspublication,5372newprojectshavebeen

announced.ofthetotal,morethan1,000aimtobefully

orpartiallycommissionedthrough2030,representing

investmentsofaboutUSD570billioninhydrogenvalue

chains(upfromUSD435billion).Giga-scaleprojects

(over1GWofelectrolysisforrenewablehydrogen

supplyormorethan200,000Mtp.a.oflow-carbon

hydrogen)accountforoverUSD330billion.

Growthisapparentacrossmostregionsinterms

ofbothinvestmentsandthenumberofprojects.Europe

continuestohavethelargestnumberofprojects(540),

followedbyNorthAmerica(248).Europealsohasthe

highesttotalinvestmentsannounced(USD193billion)

aswellasthehighestabsoluteinvestmentgrowth

(USD32billion).LatinAmericahasthesecondlargest

volumeofinvestmentsannounced(USD85billion),even

thoughithasannouncedfewerthanhalfthenumber

ofprojectsofNorthAmerica(120),duetolargerproject

sizesandahighershareofgiga-scalerenewable

hydrogenprojects.GrowthinannouncementsinNorth

AmericawasUSD12billion,anincreaseofabout

20%,indicatingcontinuedmomentumfollowingthe

announcementoftheIRA.Indiashowsthehighest

relativegrowthininvestmentsofabout140%,

correspondingtoabout40projects.TheMiddleEast

andChinafollowwithabout80%and50%growthin

investments,respectively.

1,418projects1

1,046inMay2023

Jan20232Oct2023

166

Giga-scaleproduction

719

Large-scaleindustrialuse

256

Mobility

144

IntegratedH2economy

126

Infrastructureprojects

85

75

68

54

35

32

22

5

RestofAsia

Japanand

4

SouthKorea3

5.

HydrogenInsights2023,publishedinMay2023

;comparisonsinthis

reportarerelativetothispublicationunlessstatedotherwise.

HydrogenInsightsDecember2023

HydrogenCouncil,McKinsey&Company

1.Projectannouncementsbelow1MWexcluded;includes7projectswithoutspecifiedtype

2.Jan2023valueshavebeenupdatedtomostrecentcapexestimationstokeepvaluescomparable

3.RestatementofJan2023dataforJapanandSouthKoreapreventscomparisontoOct2023data

Source:Project&Investmenttracker,asofOct2023

6

7

Exhibit2

Theprojectfunnelisgrowingacrossproject

stages,withmostgrowthoccurringinthe

advancedplanningstage

Thetotalannouncedinvestmentsthrough2030haveincreasedby30%inthepastninemonths–fromaboutUSD435billiontomorethanUSD570billion.Theincreaseisunevenlydistributed

acrossprojectmaturitystageswiththestrongestgrowthin

advancedplanning(FEED)ofabout60%,followedbyannounced(about30%),planning(about25%),andcommitted(about25%).ThegrowthininvestmentsattheadvancedplanningstagewasstrongestinNorthAmerica(aboutUSD11billion),followedby

Europe(aboutUSD9billion)andOceania(aboutUSD5billion).Thepipelineismaturingbutremainstiltedtowardannounced

andplanningstage(about75%),withonly7%oftheannouncedinvestmentsintocleanhydrogenhavingpassedFID.

Ofthecommittedinvestmentvolumes,Chinaleadswithabout

USD12.5billion(addingaboutUSD6billion)duetoseverallargeprojectslocatedincentralandnorthernChinathataccountfor

thelargestshareofinvestment.NorthAmericareachedabout

USD10billionincommittedinvestments(addingaboutUSD0.5

billion),followedbyEuropeataboutUSD7.5billion(addingaboutUSD1billion).Thisimpliesthatonly4%ofannouncedinvestmentsinEuropehavepassedFID,eventhoughtheregionhasthemosttotalinvestmentvolumes.Incontrast,theshareofinvestments

pastFIDstandsat35%and15%inChinaandNorthAmerica,

respectively.ThelowestprojectpipelinematurityisfoundinLatinAmericaandOceaniawherelessthan1%ofinvestmentshave

passedFID.

Theinvestmentpipelinecontinuestoleantowardcleanhydrogensupply(about75%),whereasinvestmentsininfrastructureand

enduseaccountonlyforabout10%and15%,respectively.

Lookingonlyatmatureinvestments,regionsdiffersignificantlyinthesectoralcomposition.Africashowsthestrongest

concentrationwithabout95%ofmatureinvestmentsfocusedonsupply,followedbyChina(about80%)andLatinAmerica(about80%).Reflectingtheirstrongfocusonimportedcleanhydrogen,JapanandSouthKoreashowashareofonly3%ofsupply-

focusedinvestments.

Whenlookingatenduseinvestments,ChinahasthehighestshareofinvestmentspastFID,followedbyNorthAmericaandEurope.

Thefocusvariesacrossregions–ammoniaandindustrialusageleadinChinaandNorthAmerica,whilstEuropeismoreprominentinmobilityandrefining.

Directhydrogeninvestmentsuntil2030,$B

$570B

Enduse

andofftake

Infrastructure

totalannounced

259investments

$310B

mature

investments

160

71

44

39

31

200

203

Production

andsupply

Jan2023

Oct

2023

Jan2023

Oct

2023

Jan2023

Oct

2023

Jan2023

Oct2023

Announced

Planning

stage

Feasibility

studies

Advanced

planning

FEED

studies

Committed

FID,underconstruction,operational

+30%

investmentgrowthin9months1

75%

ofinvestmentsfocusonsupply

1.Jan2023valueshavebeenupdatedtomostrecentcapexestimationstokeepvaluescomparable

Source:Project&Investmenttracker,asofOct2023

HydrogenInsightsDecember2023

HydrogenCouncil,McKinsey&Company

8

Exhibit3

Europe,NorthAmericaandChinahave

thelargestnumberofprojectswith

committedcapital

Consideringprojectswithpartialorfullcommissioning

by2030,moreprojects(bynumberofprojects)have

passedFIDstage(about35%)thantheannounced

stage(about30%).However,about45%oftheprojects

pastFIDarenotyetoperational.Theprojectsthat

havepassedFIDarecenteredinEurope,Asia,and

NorthAmerica.Thisimpliesmarketswithanearlier

focusoncleanhydrogenasadecarbonizationvector

havealreadybuiltearlyexperienceindeployingclean

hydrogenprojects.

Generally,cleanhydrogenprojectsinearlierstages

ofdevelopmenttendtobelarger.166giga-scale

projectshavebeenannounced,121ofthesewith

commissioningdatethrough2030.However,these

aremostlystillinearlystagesofdevelopment.Only

71projectssurpassingUSD100millionannounced

investmentshavepassedFID,7ofthesewith

announcedinvestmentofmorethanUSD1billion.

ProjectsthathavepassedFIDhaveanaverage

investmentsizeofaboutUSD160million.However,

aspilotprojectscontinuetorepresentalargeshare

ofprojectspastFID,themedianinvestmentvolume

forsuchprojectsisconsiderablyloweratUSD20

million.Projectsintheearlierstagesofdevelopment

(announcedtoFEED)haveasignificantlylargeraverage

investmentsizeofaboutUSD890million(medianabout

USD280million),whichreflectsover110projectswith

announcedinvestmentsexceedingUSD1billion.

Giga-scaleproductionLarge-scaleindustrialuseMobilityIntegratedH2economyInfrastructureprojects

310projects1announced

Preliminarystudiesorpressannouncementstage

214projectsinfeasibilitystudies

4811222●2111

42171462031

117projectsinFEEDstudies

244529127

370projectscommitted

FIDtaken,underconstructionoroperational

7173109●48●33

1,011

projectswithfullorpartial

commissioning(COD)by2030

+407

projectswithoutspeci?edCODorCODpost-2030(notshown)

1.Formultiphaseprojects,phase1decidestheprojectmaturity

Source:Project&Investmenttracker,asofOct2023

HydrogenInsightsDecember2023

HydrogenCouncil,McKinsey&Company

Announcedas

ofOct2023

45

Low-carbonhydrogen

Announced1

Planning2

Committed3

Renewablehydrogen

Announced1

Planning2

Committed3

2022

May

2021

2020

2019

9

Exhibit4

Announcedproductionvolumes

increasedto45Mtp.a.

Companieshaveannounced45Mtp.a.ofclean

hydrogenproductioncapacitygloballythrough

2030acrosslow-carbonandrenewablehydrogen

(previously38Mtp.a.),ofwhichabout50%ofvolume

isintheplanningstageand7%iscommitted.More

than70%ofthe45Mtp.a.isrenewablehydrogen

capacity(about32Mtp.a.),theremainderbeinglow-

carbon(about13Mtp.a.).Ofthe7Mtp.a.capacity

announcedinthepastninemonths,morethan90%

isforrenewablehydrogendrivenbythehighgrowthin

announcementscomingfromrenewables-richregions

intheglobalsouth.

However,deploymentisnotmovingasfastaspreviously

expectedbydevelopers.Althoughannouncements

in2021indicated6GWoftheelectrolysiswouldbe

operationalbytheendof2022,operationaldeployment

asofOctober2023standsat1.1GW,orabout20%

ofthatnumber.Scalingupisaconsiderablechallenge:

about860ktp.a.ofcapacityisoperationalwithabout

3Mtp.a.pastFID(slightgrowthcomparedwithprevious

publication).About60%ofcommittedcapacityis

locatedinNorthAmerica,followedbyChina(about

20%),andEuropeaswellastheMiddleEast(about8%

each).

Consideringtheshareoflow-carbonandrenewable

hydrogen,low-carbonhydrogenaccountsformore

than75%oftoday’soperationalcleanhydrogen

volume,potentiallyduetoitslowercost.Announced

investmentssuggestthebalancemaystarttoshift

towardsahighershareofrenewablehydrogenbefore

2025-ifannouncedvolumesaredeployedaccording

totheplannedtimeline.Changesincomposition

ofcleanhydrogenovertimewilllikelyreflectawide

rangeoffactorssuchasregulatorydevelopmentsand

inputcost.

Cumulativeproductioncapacityannounced,Mtp.a.

Jan2023

20202122232425262728292030

70%

shareofcapacityintop3markets

(Europe,NorthAmerica,LatinAmerica)

+15Mt

additionalcapacity(low-carbonandrenewable)announcedforpost-2030

1.Preliminarystudiesoratpressannouncementstage

2.Feasibilitystudiesoratfront-endengineeringanddesignstage

3.Finalinvestmentdecisionhasbeenmade,underconstruction,commissionedoroperational

Source:Project&Investmenttracker,asofOct2023

HydrogenInsightsDecember2023

HydrogenCouncil,McKinsey&Company

Europe

13.9

1.5

NorthAmerica

2.6

10.1

10

Exhibit5

Europeisthelargestregioninterms

ofannouncedsupply,followedbythe

AmericasandOceania

Globallyannouncedcleanhydrogencapacityby2030

continuestogrowacrossmostregions,withEurope,

theAmericasandOceaniatogetheraccountingfor

over80%ofthetotalofabout45Mtp.a.ofannounced

volumes.China,IndiaandtheMiddleEastshowthe

highestrelativegrowthinannouncedcleanhydrogen

productionby2030,withgrowthbetween50%

(inChina)and150%(inIndia)inthepastninemonths.

Thehighestabsolutegrowthinannouncedclean

hydrogenproductionisinLatinAmericaandtheMiddle

East(about1.4Mtp.a.each).Notably,relativegrowth

inEuropeandNorthAmerica,thetwolargestregions,

isabout5%and10%respectively–lowerthantheir

growthininvestmentvolumes(about20%each).

Thiscouldindicatecompaniesarefocusingmoreon

maturingexistingannouncedprojectsorondeveloping

otherpartsofthehydrogenvaluechain.

Announcedcapacityby2025hasdeclinedfrom

8.4Mtp.a.by10%overall,indicatingdelaysinproject

deployment.Chinaisanotableexceptionwithabout

40%growthin2025volumes.Thegreatestreduction

isseenintheMiddleEastandEurope(abouta30%

reduction),pointingtoprojectdelayswhichmaybedue

todelayedfundingorchallengesinsecuringofftake

agreements.Furtherprojectprogressinallregions

willlikelybeimpactedbythedevelopmentofthe

correspondingregulatoryandeconomicenvironments.

Globalgrowthinrenewablehydrogenannouncements

by2030(morethan6.5Mtp.a.)substantiallyoutpaced

low-carbonhydrogenannouncements(about

0.4Mtp.a.).Thestrongergrowthinrenewablehydrogen

announcementscouldbelinkedto,forinstance,a

strongerregulatoryfocusonrenewablehydrogenorthe

largernumberofregionswithattractiveresourcesfor

renewablehydrogenproduction.

Cleanhydrogenvolumesannounced,Mtp.a.

Renewable

Low-carbon

2030

Region2025

LatinAmerica

Oceania

MiddleEast

China

India

Africa

JapanandKorea

RestofAsia

0.8

0.7

0.7

1.0

0.1

0.1

0.1

0.1

6.6

5.6

3.3

1.6

1.6

1.5

0.3

0.3

4.2

3.3

32.1

12.7

Total

Totalannounced,Mt

Changein2030announcementsfromJantoOct2023

%

5

10

30

20

70

50

150

-

-

45

Source:Project&Investmenttracker,asofOct2023

HydrogenInsightsDecember2023

HydrogenCouncil,McKinsey&Company

Exhibit6

Over300GWofelectrolysiscapacityhas

beenannouncedthrough2030,upfrom

232GWpreviously

305GWofelectrolysisdeploymenthasbeen

announcedthrough2030,673GWmorethanpreviously

announced.Halfthiscapacity(about150GW)is

pastthe‘a(chǎn)nnouncedonly’stage.Nearly140GWare

undergoingfeasibilityorFEEDstudies,andanother

12GWhavepassedFID.Thevolumesofelectrolysis

capacitypastFIDincreasedfrom9GWto12GW,with

mostofthecapacityinChina(about55%ofthe12GW)

followedbytheMiddleEast(about15%),Europe(about

15%),andNorthAmerica(about5%).Previously,China

accountedforabout40%ofcommittedelectrolyzer

volumes,implyingthatdeploymentinChinaisoutpacing

therestoftheworld.

OftheEuropeanrenewablehydrogeninvestment

pipeline,40GW(about45%)hasenteredatleastthe

planningstage.Despitesupportschemesthroughthe

IRA,theNorthAmericanrenewablehydrogenpipeline

standsatabout20GWthrough2030.LatinAmericais

hometo20%ofallannouncedvolumesthrough2030.

Despitethelargevolume,lessthan5%ofrenewable

hydrogensupplyinvestmentsarecommitted.Torealize

thepipelineof305GW,significantaccelerationinthe

comingsevenyearsisneededtogrowtoday’s1.1GW

installedelectrolysiscapacitybyafactorofmorethan

250.Forannouncedprojectstodeploy,thoseplanned

tobecomeoperationalinthecomingthreetofiveyears

wouldneedtoreachfinancialcloseinthenextoneto

twoyears.Thisimpliesnotonlythatprojectdevelopers

acrossregionsandsectorsneedtomatureprojects,but

alsothatoriginalequipmentmanufacturers(OEMs)need

toscaleupsupplychainsandmanufacturingcapacity.

6.Notethatannouncedelectrolyzercapacitycannotbedirectly

translatedtorenewablehydrogenvolumes.Hydrogenoutput

dependsonthecapacityfactorofagivenelectrolyzer,determined

byindividualtechnicalsetup.

HydrogenInsightsDecember2023

HydrogenCouncil,McKinsey&Company

Cumulativeelectrolysiscapacity(announced),1GW

20202122232425262728292030

305GWOct2023

232GWJan2023

175GWMay2022

115GWDec2021

55GW

Dec2020

+73GW

increaseinannouncedelectrolysis

capacityby2030inthepast9months

>60%

capacityannouncementsfoundin3regions,i.e.,Europe,LatinAmerica,andOceania

>90GW

announcedelectrolysiscapacityby2030inEurope

1.Forprojectswithoutknowndeploymenttimeline,capacityadditionswereinterpolatedbetweenknownmilestones

Source:Project&Investmenttracker,asofOct2023

11

Exhibit7

AninvestmentgapofUSD430billion

remainstobeinlinewiththe2030ambition

Announcedinvestmentsthrough2030surpassedUSD

570billion(previouslyaboutUSD435billion).However,

moreprojectsneedtoemergeacrossthecleanhydrogen

valuechaintobeinlinewithanet-zeroscenario.7

TheremainingtotalinvestmentgapofaboutUSD430

billionthrough2030standsatabout45%ofthetotal

need.Thegapnarrowedbyabout10%ofthetotalneed

comparedwiththepreviouspublication.

Thelargestabsolutegapremainswithinhydrogen

infrastructure(aboutUSD210billion)whereonlyabout

20%ofrequiredinvestmentshavebeenannounced.

Itisfollowedbygapsinenduseandofftake(about

USD160billion),andproductionandsupply(about60

billion),representinggapsofabout65%andabout10%,

respectively.Theslowerrateofannouncedinvestments

intohydrogeninfrastructurecouldstemfromuncertainty

astothetimelineofhydrogensupplyandenduse

deploymentinsomeregions.Atthesametime,large-

scaleinfrastructureinitiativessuchastheEuropean

HydrogenBackbonearefocusingondeployinga

comprehensivehydrogeninfrastructure.

Growthinannouncedhydrogensupplyprojectscontinues

tooutpaceenduseandinfrastructureinvestments,

accountingforabout75%oftotalannouncedinvestments,

andgrowingbyaboutUSD120billioninthepast

ninemonths.Announcedinvestmentsinhydrogen

infrastructuregrewonlybyUSD3billion(about5%relative

tothepreviouspublication)reachingUSD50billion,

whereasannouncementsofenduseinvestmentsgrew

byaboutUSD15billion(approximately25%relativetothe

previouspublication),reachingaboutUSD80billion.

Althoughoverhalftheneededinvestmentshavebeen

announced,moreareneeded.Thecurrentannounced

projectsneedtobematuredanddeployedtoclosethe

gapfromUSD39billionpastFIDtodaytomorethan

USD1trilliondeployedthrough2030.Moreprojectsare

likelyneededbeyondtheUSD1trillionmark,asnotall

currentlyannouncedprojectsarelikelytoberealized.

Astheindustryisfocusingonmaturingtheexistingproject

pipeline,itshouldalsocontinuedevelopingnewprojects.

Announcedandrequireddirectinvestmentsintohydrogenuntil2030,$B

4301,000

570

gap

Announceddirectinvestments

Investment

Totalneed

Enduse

andofftake

Infrastructure

Productionandsupply

$160B

investmentgapinenduse

applications

$210B

investmentgapininfrastructure

$60B

investmentgapinproductionandsupply

7.Foradetailedexplanationoftheappliednet-zeroscenariosee

‘HydrogenforNet-Zero’

HydrogenInsightsDecember2023

HydrogenCouncil,McKinsey&Company

Source:Project&Investmenttracker,asofOct2023

12

13

02

Cleanhydrogen

tinues

>1.1GW

ofelectrolysiscapacitydeployedgloballybyOctober2023(additional400MW),withabout12GWhavingpassedFIDglobally(additional3GW)

860ktp.a.

operationalcleanhydrogensupplycapacitydeployedtoday–about1%ofthegreyhydrogenmarkettoday

>1,100

hydrogenrefuelingstationsdeployedglobally,

withmorethan60%growthoverthelasttwoyears

HydrogenInsightsDecember2023

HydrogenCouncil,McKinsey&Company

Exhibit8

Deploymentissteadilygrowingacrossthe

valuechain

Supply:About860ktp.a.ofcleanhydrogensupplyis

operationalglobally,upfrom800ktp.a.previously.About

710ktp.a.islow-carbonhydrogen(primarilyinNorth

America),andtheremainderisrenewablehydrogen.

About3Mtp.a.havepassedFID,ofwhich55%islow-

carbonhydrogen.8

Infrastructure:Thedeploymentofhydrogeninfrastructure

isslowlyprogressingtowardsensuringthatlow-cost

andcleanhydrogensupplymeetsdemand.Committed

investmentsinhydrogeninfrastructurehavegrownto

aboutUSD6.5billion,ofwhich45%areinMiddleEast.

Thishasnotyettranslatedintoasubstantialincreasein,

forinstance,hydrogenpipelinecapacity.Today,thereare

about5,000km9ofhydrogenpipelines,primarilyinexisting

greyhydrogenhubsandindustrialareas.Thedeployment

ofinfrastructureforhydrogen-fueledmobilityisgradually

growing,withmorethan1,100hydrogenrefuelingstations

deployedglobally,concen