Hydrogen ‘too early’ for mainstream investment

Investors are embracing low-carbon energy, but is it too soon for them to invest in the hydrogen economy?

Investors are continually on the lookout for opportunities in the emerging low-carbon energy economy. But while some investment firms have been quick to respond to market signals related to the scale-up of hydrogen technologies—such as surging share valuations—others remain tentative and are waiting for robust signs of maturity before taking the plunge. Opportunities to gain exposure to hydrogen are numerous, but individual companies are often small in scale or a component part of a wider energy company, which may contain businesses the investor does not want to be exposed to. Some remain cautious due to the relatively low technological maturity of the sector. Ursula Tonkin, head of listed s