Growing sector
If Europe wants to be the first climate-neutral continent by 2050, it must replace fossil fuels with renewable energy sources quickly. “Using more solar and wind power makes sense in this regard, but hydrogen is also becoming crucial to meeting the goals of the European Green Deal,” explain Guy Sips and Benjamin Wolff, analysts at KBC Securities, in a comprehensive report. “Hydrogen is the most abundant element in the universe. Compared to other energy carriers, such as gasoline and diesel, it contains three times as much energy for the same weight,” Sips says.
In particular, green hydrogen is the future. The Hydrogen Council expects the sector to grow by 7% annually through 2050. That would bring global demand to 660 million tons of hydrogen, seven times more than today. The European Commission predicts that by then EUR 470 billion will be invested in European hydrogen projects, creating 1 million jobs. Belgium’s economic relaunch plan following the COVID pandemic alone includes over EUR 400 million in investments in the hydrogen economy.