Hydrogen, in addition to being the most abundant element in nature, has a particularity that makes it the great protagonist of the energy transition and in the fight against climate change: hydrogen does not emit CO2.
Why invest in this trend?
The global fight against the use of fossil fuels.Given the climate emergency situation, hydrogen plays a fundamental role in government and business efforts to eradicate the consumption of coal and oil, a situation whose main objective is to reduce greenhouse gases.
Hydrogen is considered the engine of the “green revolution”.The EU has developed strategies to increase the production of renewable nitrogen, a fuel alternative without emissions, which is of great importance and application in industry and transport.
The increase of corporate investment in companies that meet ESG criteria.The importance of social and corporate responsibility on the part of investors has motivated companies to implement the necessary measures to improve their image. A piece of data: funds that incorporate the acronym ESG (Environmental, Social and Governance) have grown by 34% in the last two years.
Hydrogen vs. “Green” hydrogen: the great challenge.
Hydrogen is no longer considered a green energy. Energy is needed to extract hydrogen from water, which can come from different polluting sources of fossil origin. To be classified as “green” hydrogen, the energy needed for its extraction must come from renewable energies.
The role of the EU in “green” hydrogen.The EU is a leader in the production and use of “green” hydrogen. A leadership achieved through regulation, the establishment of objectives and the development of projects designed to achieve a “Next Zero” economy, that is, with no polluting emissions.
95% of the hydrogen that is extracted is not “green”.This is mainly due to its high production cost. However, due to the increase in both global production capacity and demand, its cost has been cut in half in just five years. These forecasts make hydrogen a trend with great investment potential.
Hydrogen is the only internationally recognised solution to achieve decarbonisation.