The UK green hydrogen market is projected to exhibit a growth rate (CAGR) of 36.50% during 2024-2032. The market is driven by the implementation of various government policies and incentives, the decarbonization of industrial sectors, rapid advancements in electrolysis technology, burgeoning integration of green hydrogen with renewable energy sources, and the growing demand in the transport sector.
Report Attribute
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Key Statistics
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Base Year
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2023 |
Forecast Years
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2024-2032
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Historical Years
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2018-2023
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Market Growth Rate (2024-2032) | 36.50% |
Government Policies and Incentives
The UK government's commitment to achieving net-zero emissions by 2050 has encouraged the imposition of policies and incentives that promote green hydrogen. These policies include substantial funding for research and development (R&D), subsidies for hydrogen production projects, and tax incentives for companies that are majorly investing in green hydrogen technologies. For example, the UK Hydrogen Strategy outlines a comprehensive plan to create a thriving hydrogen economy, with a target of 5 GW of low-carbon hydrogen production capacity by 2030. This strategy also includes various funding mechanisms, such as the £240 million Net Zero Hydrogen Fund, which will support the commercial deployment of new low-carbon hydrogen production projects. Additionally, the UK government's policies have extended to regulatory frameworks that make it possible for the inclusion of hydrogen into the energy system. For example, the UK is working on creating hydrogen-ready infrastructure and updating gas network regulations to accommodate hydrogen blending.
Decarbonization of Industrial Sectors
Industries such as steel manufacturing, chemical production, and refining are among the largest contributors to carbon emissions. The adoption of green hydrogen as a replacement for fossil fuels in these sectors is a major driver for this market in the UK. Green hydrogen is known to serve as a clean energy source for high-temperature industrial processes, which are challenging to electrify. Also, the government has been creating initiatives, like the Industrial Decarbonisation Strategy, to lower emissions from industrial clusters by at least two-thirds by 2035. Moreover, the price of carbon is rising which is pushing industries to switch to lower-emission alternatives to reduce their financial liabilities that have been associated with carbon emissions. Aside from this, green hydrogen's inclusion not only helps industries achieve compliance with stringent environmental regulations but also positions them as leaders in sustainable practices, which can enhance their competitiveness in the global market.
IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the country level for 2024-2032. Our report has categorized the market based on technology, application, and distribution channel.
Technology Insights:
The report has provided a detailed breakup and analysis of the market based on the technology. This includes proton exchange membrane electrolyzer, alkaline electrolyzer, and others.
Application Insights:
A detailed breakup and analysis of the market based on the application have also been provided in the report. This includes power generation, transport, and others.
Distribution Channel Insights:
The report has provided a detailed breakup and analysis of the market based on the distribution channel. This includes pipeline and cargo.
Regional Insights:
The report has also provided a comprehensive analysis of all the major regional markets, which include London, South East, North West, East of England, South West, Scotland, West Midlands, Yorkshire and The Humber, East Midlands, and Others.
The market research report has also provided a comprehensive analysis of the competitive landscape in the market. Competitive analysis such as market structure, key player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major companies have been provided.
Report Features | Details |
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Base Year of the Analysis | 2023 |
Historical Period | 2018-2023 |
Forecast Period | 2024-2032 |
Units | Million US$ |
Scope of the Report | Exploration of Historical Trends and Market Outlook, Industry Catalysts and Challenges, Segment-Wise Historical and Future Market Assessment:
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Technologies Covered | Proton Exchange Membrane Electrolyzer, Alkaline Electrolyzer, Others |
Applications Covered | Power Generation, Transport, Others |
Distribution Channels Covered | Pipeline, Cargo |
Regions Covered | London, South East, North West, East of England, South West, Scotland, West Midlands, Yorkshire and The Humber, East Midlands, Others |
Customization Scope | 10% Free Customization |
Post-Sale Analyst Support | 10-12 Weeks |
Delivery Format | PDF and Excel through Email (We can also provide the editable version of the report in PPT/Word format on special request) |