logo
logo
Sign in

The global Power-to-Gas Market Growth Accelerated by Increased Demand for Renewable Energy Sources

avatar
naufan003
The global Power-to-Gas Market Growth Accelerated by Increased Demand for Renewable Energy Sources

Power-to-gas technology provides a storage solution for excess renewable electricity by converting electrical energy into a gas fuel, like hydrogen. This allows utilities to store surplus green energy for times when renewables aren't producing. The global power-to-gas market offers advantages such as emissions reduction, grid balancing support and sector coupling. The technology enables the utilization of renewable energy sources and facilitates storage and transport of energy produced from such sources.

The global Power-to-Gas Market is estimated to be valued at US$ 33.96 Bn in 2023 and is expected to exhibit a CAGR of 12.% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market key trends:

Accelerated power sector decarbonization in regions across the globe along with capacity additions in renewable energy are expected to drive the power-to-gas market growth over the forecast period. As countries aim to reduce emissions from electricity generation through integration of more renewable energy sources like solar and wind, power-to-gas offers a viable solution for surplus energy storage providing stability to energy grids. Many developed markets like Germany, France and Spain have implemented pilot projects to support renewable energy integration utilizing power-to-gas systems. This increasing adoption of the technology is projected to support the market expansion through 2030.

Segment Analysis

The global power-to-gas market size is dominated by the electrolysis segment. Power-to-gas technology uses electrolysis to convert excess renewable electricity into gases like hydrogen and methane by splitting water into hydrogen and oxygen. This segment accounted for over 60% of the market share in 2023 due to the increasing production of hydrogen via water electrolysis for applications such as transportation, industry, and power generation.

Key Takeaways

The Global Power-To-Gas Market Size is expected to witness high growth in the forecast period due to increasing investments in renewable energy. Germany accounted for over 35% of the global market share in 2023 due to extensive policy support for power-to-gas projects and hydrogen economy. Key players operating in the power-to-gas market are Kimberly-Clark Corporation, Essity AB, Georgia-Pacific LLC, Asia Pulp and Paper Group, Procter & Gamble Co., Sofidel Group, CMPC Tissue S.A., WEPA Hygieneprodukte GmbH, Metsä Group, Cascades Inc.

Regional analysis: Western Europe accounted for the largest share of over 45% of the global power-to-gas market in 2023 owing to strong government support through funding programs and favorable regulatory frameworks for renewable energy integration and decarbonization in countries like Germany, France, Norway and Netherlands.

Key players: Key players operating in the power-to-gas market are focusing on capacity expansions to cater to the growing demand for green hydrogen. For instance, ThyssenKrupp has invested US$ 53 million to double the electrolyzer capacity at its hydrogen plant in Chlorine Engineers site in Delaware.


Get more insights on this topic:

https://www.marketwebjournal.com/power-to-gas-market-insights-trends/

collect
0
avatar
naufan003
guide
Zupyak is the world’s largest content marketing community, with over 400 000 members and 3 million articles. Explore and get your content discovered.
Read more