LONDON, Dec. 8, 2020 /PRNewswire/ -- Six world-leading companies today announced a global coalition that will accelerate the scale and production of green hydrogen 50-fold in the next six years, helping to transform the world's most carbon intensive industries, including power generation, chemicals, steel making and shipping.
The new "Green Hydrogen Catapult" initiative will see green hydrogen industry leaders, including ACWA Power, CWP Renewables, Envision, Iberdrola, Ørsted, Snam, and Yara, target the deployment of 25 gigawatts through 2026 of renewables-based hydrogen production, with a view to halving the current cost of hydrogen to below US$2 per kilogram.
Recent analysis suggests a US$2-per-kilogram price represents a potential tipping point that will make green hydrogen and its derivative fuels the energy source of choice across multiple sectors, where ample near-term demand exists in Europe and elsewhere.
"Having led the race to deliver photovoltaic energy at well-below US$2 cents per kilowatt-hour, in certain geographies, we believe the collective ingenuity and entrepreneurship of the private sector can deliver green hydrogen at less than US$2 per kilogram within four years," says Paddy Padmanathan, CEO of ACWA Power. As part of the Catapult initiative, the Saudi Arabia-based company is today announcing its commitment to the Business Ambition for 1.5ºC campaign in support of the UN-backed Race to Zero.
Founding partners are working toward the target by sponsoring targeted collaboration and collaborating to accelerate the necessary technology, component manufacturing and construction advancements, market development and flow of investment.
"The world urgently needs to massively ramp up deployment of breakthrough solutions like green hydrogen," said Nigel Topping, COP26 High Level Champion for Global Climate Action. "The bold vision and leadership of businesses can propel green hydrogen along an exponential growth trajectory to support economic recovery and deep decarbonization sooner than anticipated."
Committed businesses, as well as mission-aligned investors, customers, and subnational governments are invited to participate as the initiative takes shape and builds global momentum in advance of the next UN Climate Summit, scheduled to be held in Glasgow in November 2021. Rocky Mountain Institute, a global non-profit think-and-do-tank, will facilitate the initiative alongside partners.
For more information, please contact: Kieran Coleman, COP26 Climate Champions hydrogen lead ([email protected])
SOURCE Rocky Mountain Institute