The hydrogen industry is failing. Here’s how to fix it.

AI generated summary

The hydrogen industry is facing significant challenges, primarily due to its reliance on outdated business models that impose excessive risks on customers. Currently, the majority of hydrogen is produced from fossil fuels, contributing to substantial carbon emissions. Despite the availability of cleaner production methods, such as electrolytic hydrogen from renewable energy, these technologies remain costly and underutilized. Recent financial struggles among key players in the industry highlight the urgent need for a shift in approach.

To revitalize the hydrogen sector, the focus should be on developing modular, on-site electrolyzer systems that align with current customer demand rather than imposing long-term commitments. By making these systems more affordable and easier to integrate, the industry can encourage gradual adoption. The hydrogen market must learn from past technological transitions, moving away from complex, centralized systems to more accessible solutions that support customers in their journey towards a sustainable hydrogen economy.