ESG
Clean hydrogen: Opportunities beyond the hype
KEY TAKEAWAYS
- Blue and green hydrogen are poised to play a major role in decarbonising heavy industry, supporting electrification and enabling more sustainable economic growth.
- The US Inflation Reduction Act is a game-changer that should unleash a wave of capital expenditure, lifting supply and demand for clean hydrogen.
- The pace of decarbonisation will be dependent on upgrading power grids and other advances. Low-cost renewable energy will be vital for clean hydrogen solutions to become cost-competitive with fossil fuels.
- Disruption among steel producers, commercial vehicles and generally across the energy complex are three areas of potential fertile ground for selective investors who can take a long-term view.