United Kingdom Green Hydrogen Market Size, Share, and COVID-19 Impact Analysis, By Technology (Alkaline Electrolyzer, Polymer Electrolyte Membrane (PEM) Electrolyzer, and SOEC Electrolyzer), By Distribution Channel (Pipeline and Cargo), By Application (Power Generation, Transport, and Others), and United Kingdom Green Hydrogen Market Insights, Industry Trend, Forecasts to 2033

United Kingdom Green Hydrogen Market Insights Forecasts to 2033

• The U.K. Green Hydrogen Market Size was Valued at USD 0.74 Billion in 2023.
• The U.K. Green Hydrogen Market Size is Growing at a CAGR of 38.52% from 2023 to 2033
• The U.K. Green Hydrogen Market Size is Expected to reach USD 19.24 Billion by 2033

The United Kingdom Green Hydrogen Market Size is Anticipated to Exceed USD 19.24 Billion by 2033, Growing at a CAGR of 38.52% from 2023 to 2033. The Growing integration of green hydrogen with renewable energy sources, demand in the transport sector, advancements in electrolysis technology, decarbonization of industrial sectors, and various government policies & incentives are driving the growth of the green hydrogen market in the UK.

Market Overview

Green hydrogen market refers to the industry of the production and consumption of hydrogen gas generated through electrolysis powered by renewable energy sources such as solar or wind. It offers a sustainable and low-carbon alternative to traditional hydrogen production methods. Green hydrogen is a clean energy source that only emits water vapor and leaves no residue in the air, unlike coal and oil. It is one of the attractive alternatives to the current carbon-based energy system, produced from diverse renewable resources. The emphasis on reducing carbon emissions and advancements in electrolysis and renewables is driving the green hydrogen market. Furthermore, there is a rising application of green hydrogen in fuel cell electric vehicles and high-energy intensive industries, including steel and ammonia production. Government investments in large-capacity green hydrogen projects are offering lucrative growth opportunities for market players. The growing initiatives that are aimed at achieving net-zero emissions and investment in green hydrogen production as a clean energy solution are escalating the lucrative market opportunities.

Report Coverage

This research report categorizes the market for the UK green hydrogen market based on various segments and regions and forecasts revenue growth and analyzes trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the United Kingdom green hydrogen market. Recent market developments and competitive strategies such as expansion, product launch, and development, partnership, merger, and acquisition have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key market players and analyses their core competencies in each sub-segment of the UK green hydrogen market.

Driving Factors

The growing integration of green hydrogen with renewable energy sources that addresses the intermittency of renewables and provides a clean, versatile energy carrier is propelling the green hydrogen market. The UK Government’s hydrogen ambitions are to achieve 10GW of low-carbon hydrogen production by 2030. The potential of hydrogen fuel cells for heavy-duty vehicles and long-distance transport is propelling the market growth. The advancement in electrolysis technology for enabling scalability for green hydrogen production is driving the market growth for green hydrogen.

Restraining Factors

The higher cost of green hydrogen as compared to conventionally produced hydrogen is restraining the market. Further, the lack of infrastructure and safety concerns are challenging the green hydrogen market.

Market Segmentation

The United Kingdom green hydrogen market share is classified into technology, distribution channel, and application.

• The alkaline electrolyzer segment dominated the market with the largest revenue share in 2023 and is expected to grow at a significant CAGR during the projected period.

The United Kingdom green hydrogen market is segmented by technology into alkaline electrolyzer, polymer electrolyte membrane (PEM) electrolyzer, and SOEC electrolyzer. Among these, the alkaline electrolyzer segment dominated the market with the largest revenue share in 2023 and is expected to grow at a significant CAGR during the projected period. Alkaline electrolyzer has mature technology for green hydrogen production at large-scale. Further, it has low capital costs and long life spans. The low power and current densities, as well as the low cost of alkaline electrolyzer, are driving the market.

• The pipeline segment dominated the market with the largest market share in 2023 and is anticipated to grow at a significant CAGR during the projected period.

The United Kingdom green hydrogen market is segmented by distribution channel into pipeline and cargo. Among these, the pipeline segment dominated the market with the largest market share in 2023 and is anticipated to grow at a significant CAGR during the projected period. The transportation of hydrogen via pipeline is a viable solution when large quantities of hydrogen are to be distributed. It is capable of transporting substantial amounts of energy at a lower price. The growing initiatives, including partnerships and collaborations for establishing hydrogen pipelines, are propelling the market growth.

• The transport segment dominated the market with the largest revenue share in 2023 and is expected to grow at a significant CAGR during the projected period.

The United Kingdom green hydrogen market is segmented by application into power generation, transport, and others. Among these, the transport segment dominated the market with the largest revenue share in 2023 and is expected to grow at a significant CAGR during the projected period. Fuel cell vehicles is one of the most promising uses of green hydrogen in transportation. Using green hydrogen in buses, airplanes, trucks, and ships significantly reduced harmful substance emissions. The use of green hydrogen in fuel cells or internal combustion engines is driving the market in the transport segment.

Competitive Analysis:

The report offers the appropriate analysis of the key organizations/companies involved within the U.K. green hydrogen market along with a comparative evaluation primarily based on their product offering, business overviews, geographic presence, enterprise strategies, segment market share, and SWOT analysis. The report also provides an elaborative analysis focusing on the current news and developments of the companies, which includes product development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market.

List of Key Companies

• Geopura Ltd
• Siemens Energy Limited
• Statkraft UK Ltd
• Levidian Nanosystems Limited
• Octopus Energy Group Ltd.
• HIIROC Limited
• ITM Power plc
• Tevva Motors Ltd
• Ballard Power Systems Europe A/S
• Linde plc
• Others

Key Target Audience

• Market Players
• Investors
• End-users
• Government Authorities 
• Consulting And Research Firm
• Venture capitalists
• Value-Added Resellers (VARs)

Recent Development

• In October 2024, Irish energy firm, the Electricity Supply Board (ESB), and Hynamics UK signed an agreement to develop a green hydrogen project at ABP's Port of Barry, Wales. The companies signed a memorandum of understanding (MOU) for the development of a green hydrogen production facility at the South Wales port, which Afloat adds is part of Associated British Ports (ABP), the UK's largest port operator.
• In September 2024, SSE and EET Hydrogen partner on a green hydrogen production facility in the North West of England. The initial expected 40MWe facility would deliver hydrogen to industrial offtakers in the region to support them to decarbonise their operations, helping to secure and grow jobs in the region.

Market Segment

This study forecasts revenue at U.K., regional, and country levels from 2020 to 2033. Spherical Insights has segmented the United Kingdom Green Hydrogen Market based on the below-mentioned segments:

UK Green Hydrogen Market, By Technology

• Alkaline Electrolyzer
• Polymer Electrolyte Membrane (PEM) Electrolyzer
• SOEC Electrolyzer

UK Green Hydrogen Market, By Distribution Channel 

• Pipeline
• Cargo

UK Green Hydrogen Market, By Application

• Power Generation
• Transport
• Others