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illuminem summarizes for you the essential news of the day. Read the full piece on The Wall Street Journal or enjoy below:
🗞️ Driving the news: Hydrogen demand is anticipated to surge in the coming decades; however, challenges like prolonged permitting times, elevated equipment costs, and capital accessibility issues could hinder supply growth
🔭 The context: Despite numerous announcements regarding the potential of hydrogen, only 6% to 10% of them have secured financing, as stated by Pierre-Etienne Franc, CEO of Hy24
• McKinsey's report predicts a fivefold increase in hydrogen demand by 2050, contingent on limiting global warming to 1.5°C
🌍 Why it matters for the planet: Boosting hydrogen supply is pivotal for global carbon objectives, especially for sectors hard to decarbonize, like maritime transport and heavy industry such as steelmaking where green hydrogen can reduce emissions by up to 95%
⏭️ What's next: McKinsey pinpoints three primary bottlenecks: costs, slow permitting, and capital access
• While government incentives for hydrogen are on the rise, more policy support is essential specially faster permitting and investment in infrastructure, such as pipelines
💬 One quote: “The potential is absolutely there, but it’s about getting over that hump” (Margery Ryan, Johnson Matthey)
📈 One stat: The World Platinum Investment Council notes that subsidies for hydrogen-related projects have surged to $300 billion, a significant increase from $50 billion two years prior
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