Letter from London: Hydrogen’s growing pains

The clean hydrogen sector has endured a difficult year, but it will end 2024 better equipped to fulfil its long-term potential

Will the clean hydrogen sector end this year in better shape than 12 months ago? On the face of it, recent evidence points to a resounding ‘no’, given project cancellations, plunging stock prices, very limited progress in reaching FID and widespread reluctance to commit to long-term offtake deals. UK company Johnson Matthey added to the gloom in late November when it reported a 46% year-on-year drop in first-half sales of hydrogen technologies, citing the “the slowing buildout of supply chains and infrastructure due to a lack of clarity around regulation and incentives.” It has reduced capex and headcount in its hydrogen business, and delayed the startup of an £80m ($101m) fuel-cell componen