DNV lowers hydrogen demand forecast, citing high costs and policy gaps | Policy

DNV forecast that global uptake of hydrogen falls far short of Paris Agreement goals, expecting hydrogen and its derivatives to make up just 0.25% of the energy mix by 2030, and 3.9% by 2050.

The Energy Transition Outlook 2024 shows a decrease in its projected 2050 hydrogen usage, dropping from 5% in the previous edition, which remains well below the 15% target set by the Paris Agreement.

Remi Eriksen, Group President and CEO of DNV, said, “We have revised our long-term forecast for hydrogen and its derivatives down by 20% since last year.

“Without a meaningful carbon price and/or direct market-stimulating support, hydrogen will struggle to scale and move down a cost-learning curve.”