Green hydrogen producers are delaying new investments in part because there are difficulties with obtaining affordable electrolyzers
The hydrogen industry is caught in a chicken-or-egg dilemma. Many new green hydrogen projects have been announced, but most have not yet made their final investment commitments. Green hydrogen producers are delaying new investments partly due to the difficulties in obtaining affordable electrolyzers. At the same time, electrolyzer costs remain high in part due to a lack of economies of scale in the industry, a problem that can only be solved by increasing production. These factors together slow down the expansion of green hydrogen infrastructure and the broader transition to sustainable energy.1
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Footnotes
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Xu, T. (2023, October 15). The electrolyzer market is caught in limbo. Latitude Media. https://www.latitudemedia.com/news/electrolyzer-market-profile ↩