Hydrogen Transport Networks

Hydrogen Transport Networks

Summary

A key way to stimulate low-carbon hydrogen demand is to increase its accessibility to potential consumers via efficient transport networks. Although the production of derivatives such as ammonia and methanol represents one potential transport option that holds advantages such as easier handling, hydrogen pipelines are being favoured for transporting pure hydrogen or hydrogen blends over long distances. Hydrogen pipelines can offer the efficient transport of hydrogen between production hubs and end-use industries, but pipelines also represent large-scale infrastructure that have recently struggled with spiralling project costs amid high interest rates and material costs globally.

In recent years, there has been a rapid uptick in the number and scale of hydrogen plant announcements. As a result, low-carbon hydrogen production capacity could reach up to 87mtpa by 2030, based on active and announced projects. However, despite this volume of announcements, the global hydrogen market has encountered headwinds in the last year, with demand uncertainty coupled with concomitant policy support undermining business confidence in the sector. Bolstering demand from existing and prospective hydrogen-consuming industries will be key to providing project stakeholders with the necessary security to progress projects. A key way to stimulate demand is to increase the accessibility of low-carbon hydrogen to potential consumers via efficient transport networks. Although the production of derivatives such as ammonia and methanol represents one potential transport option that holds advantages such as easier handling, hydrogen pipelines are being favoured for transporting pure hydrogen or hydrogen blends over long distances. Hydrogen pipelines can offer the efficient transport of hydrogen between production hubs and end-use industries, but pipelines also represent large-scale infrastructure that have recently struggled with spiralling project costs amid high interest rates and high material costs globally.

Key Highlights

• Based on active and announced projects, low-carbon hydrogen capacity could reach up to 87mtpa in 2030.
• This represents a strong increase on current active capacity, which stands at 1.9mtpa. However, sluggish near-term demand growth has presented a stumbling bloc to the low-carbon hydrogen market. As a result, there remains a need to increase the accessibility of hydrogen to prospective consumer sectors by developing efficient and low-cost transport networks.
• Currently there are approximately 67 hydrogen pipeline projects that have been completed. The majority of completed hydrogen pipelines are small-scale, with under 10 exceeding 100km in length.
• The cumulative length of hydrogen pipelines by 2040 has the potential to be significantly boosted by projects that are currently in the feasibility stage, which account for 65,000km.

Scope

The largest upcoming hydrogen pipeline projects, hydrogen pipeline length outlooks, leading regions and countries developing hydrogen pipelines, leading companies developing hydrogen pipelines, global hydrogen market trends, breakdown of hydrogen production capacity by end-product, hydrogen pipeline policies and funding initiatives.

Reasons to Buy

• Identify the market trends within the hydrogen production and hydrogen pipeline market.
• Understand the key geographies leading the development of hydrogen pipelines.
• Identify which companies are investing heavily in hydrogen pipeline projects.
• Learn about the policy developments and funding opportunities that are shaping hydrogen pipeline development.