Amid the COVID-19 crisis, the global market for Hydrogen Generators is projected to reach US$1.2 billion by 2024, registering a compounded annual growth rate (CAGR) of 4.0% over the analysis period.
The United States represents the largest regional market for Hydrogen Generators, accounting for an estimated 29.8% share of the global total. The market is projected to reach US$372.1 Million by the close of the analysis period.
China is expected to spearhead growth and emerge as the fastest growing regional market with a CAGR of 5.7% over the analysis period.
Drivers
The market is being driven by the rising awareness about the adoption of clean fuel sources, growing electricity demand, faster fossil fuel depletion and adoption of increasingly stringent regulatory norms related to carbon emissions.
Further, expanding end-use application areas for hydrogen gas in the chemical, refinery, and oil & gas sectors are likely to support demand. The strong availability of natural gas feedstock along with demand for highly pure hydrogen is anticipated to drive market growth.
The increasing focus on using hydrogen in the food and beverage sector for eliminating harmful bacteria and viruses is also expected to foster demand for hydrogen generators across the world.
Given its environmental friendliness, escalating adoption of hydrogen in commercial, residential and automotive sectors is expected to drive demand for hydrogen generators in the coming years. However, efficient distribution as well as transportation of hydrogen produced continues to be a major challenge. Another major impediment to market growth is the high cost of hydrogen as a fuel when compared to fossil fuels.
New technologies for cost effective production, storage and distribution of hydrogen are also vital for driving adoption of hydrogen as the predominant fuel solution in industrial, military, commercial and residential sectors.
Technology
Hydrogen generators are used for production of hydrogen. Technology used by these generation units varies in accordance with the feedstock used. An onsite unit is installed at the premises of the consumer for producing hydrogen required by various processes. Technology employed varies depending on the feedstock used.
Portable hydrogen generators on the other hand are units that provide electric power to a facility, on a temporary basis. Portable units are small-sized units that find widespread application in the form of power backup units and for charging of electronic devices. Portable units are also installed at construction sites for powering lights and tools.
Hydrogen generators offer low cost and reliable hydrogen and aid in increasing safety and security of on-site energy generation. They also eliminate the need for hydrogen cylinders, delivery, storage and handling, which require extreme caution.
Residential and commercial buildings are also deploying hydrogen solutions because of the cost-effectiveness of especially the on-site units. On-site generation proves to be cheaper than purchasing hydrogen from exclusive hydrogen producers. Also end-users can also eliminate the issues pertaining to purity of hydrogen and also timely delivery when choosing on-site systems. Hydrogen is usually generated at the pressure of 13.8 bar/200 psi, without compressor and with 99.9995% purity, if generator units are operated continuously, with no intervention.
