How energy traders can benefit from Europe’s emerging hydrogen market
Development of liquid markets will require sufficient marketable hydrogen volumes as well as free access to pipelines, terminals and storages
Demand for hydrogen in Europe is expected to grow significantly until 2050. This providing opportunities for energy traders. Why? Because the hydrogen value chain involves the transformation and processing of tradable commodities; the evolving hydrogen market provides “cross-commodity” trading opportunities. In light of this, trading companies need to act today to build up the know-how and relationships required to quickly enter the market once trading opportunities emerge. Why hydrogen trading will become a necessity Because supply and demand cannot be balanced in most parts of Europe, hydrogen trading is a necessity. In particular, sufficient volumes of green hydrogen can only be supplied
Also in this section
3 May 2024
Australia’s Fortescue and France’s EDF Renewables among the successful bidders as second-round auction draws green hydrogen projects worth about $11b
1 May 2024
High costs and uncertainty over offtake agreements are delaying project investment decisions, according to Aurora Energy Research
1 May 2024
Low clearing prices in first European Hydrogen Bank auction reflect fierce competition for green hydrogen subsidies and buyers’ willingness to pay premium
1 May 2024
Japanese company launches test module at Takasago Hydrogen Park with aim to deploy megawatt-scale demonstration project of electrolyser technology