1、Reducing low-carbon hydrogen investment and operating costsA prerequisite for mass adoptionThe low-carbon hydrogen1 sector experienced a period of wide-spread hype and enthusiasm since 2021.However,this enthusiasm has faded with market and regulatory uncertainties with very few projects making it to

2、 the investment stage.According to the International Energy Agency(IEA),in 2023,only 4%of projects have entered the Final Investment Decision(FID)phase.It is this stark disparity between expectations and tangible results that led us to dig deeper and commission this report.Together with EIT InnoEner

3、gy,we aim to uncover the blockages standing in the way of low-carbon hydrogen cost reduction and mass adoption.In our extensive research,we surveyed professionals from nearly 120 companies and organizations in the hydrogen industry between November 2023 and February 2024.These organizations were bas

4、ed in:France(62%),Germany(6%),Rest of Europe(20%),North America(4%),Asia(3%),Africa&Middle East(5%).1|Low-carbon hydrogen remains too expensive and uncompetitive compared with hydrogen produced from other sourcesSurvey participants generally agreed that price will decrease below 7/kg by 2030,whi

5、le the price of unabated hydrogen is between 1.5/kg and 3/kg.However,respondents disagreed on the final figure.Currently,there is no common vision and a lot of real uncertainty,with estimates far away from previous predictions made just a few years ago,where the consensus was that renewable hydrogen

6、 production costs would dip below 3/kg.Now,approximately 21%of those surveyed see the price going between 3 and 4/kg,while 19%predict between 4 and 5/kg.2|Major players are encountering strong difficulties in developing low-carbon hydrogen projects at a competitive priceFirstly,57%of respondents ide