08 January 2025 | 04:05 UTC — Insight Blog
China issues guidelines for low-carbon hydrogen use in industrial sectors
Energy transition highlights: Our editors and analysts bring together the biggest stories in the industry this week, from renewables to storage to carbon prices.
The Chinese government has issued a plan to accelerate the deployment of low-carbon hydrogen in industrial sectors, focusing on stimulating demand and reducing costs.
China is on track to meet its targets of producing 100,000-200,000 mt/year of renewables-based hydrogen by 2025, driven by state-owned energy companies represented by Sinopec. However, low demand and high costs remain key constraints for this nascent industry in securing sufficient off-takers and achieving meaningful growth.
The latest plan, issued by the Ministry of Industry and Information Technology (MIIT), sets detailed targets to be met by 2027.
By 2027, the steel, ammonia synthesis, methanol synthesis, and refining sectors should achieve large-scale deployment of low-carbon hydrogen, the plan showed.
The MIIT also advocates more demonstration projects in the transportation and power sectors, aiming to create a series of innovative low-carbon hydrogen use cases in shipping, aviation, rail transit, power generation, and energy storage by 2027.
Editor’s picks: Premium and free content
EU power sector emissions drop 13% in 2024 as fossil share shrinks to 28%
Annual EU power sector emissions fell by 13% in 2024 as the share of fossil fuels in the bloc's power mix shrank to a record-low 28%, sector association Eurelectric said. Renewables contributed 48% to the EU generation mix, followed by nuclear at 24%, based on preliminary system data, with hydro and solar registering the biggest year on year gains. Power demand grew by less than 2% and remains significantly below pre-crisis levels.
India cites lack of technology, infrastructure as barriers to fight climate change
India has outlined lack of technology transfer, high costs and regulatory barriers among multiple challenges it faces to fight climate change in its report to the UN Framework Convention on Climate Change. The country is expected to submit the next round of Nationally Determined Contributions, namely climate targets under the UN’s Paris Agreement, by mid-February.
US hydrogen tax rules draw mixed reviews from industry, climate groups
The Biden administration's revised hydrogen standard drew mixed reviews from industry watchers, drawing praise from American Petroleum Institute, partial acceptance from "green" hydrogen developers and some relief from environmentalists worried about more far-reaching changes.
France launches decarbonized hydrogen output support scheme with Eur4/kg ceiling
France’s energy ministry has launched a 200-MW support scheme for “decarbonized” hydrogen production, with a price ceiling of Eur4/kg. The contracts will support construction and operation of 5-100 MW renewable and low-carbon hydrogen production facilities over 15 years, the ministry of ecological transition, energy, climate and risk prevention said. Up to 12 winners will be taken forward to a competitive dialogue phase, with applications to be submitted by March 14, 2025.
Learn more about S&P Global Commodity Insights Energy Transition Services
Subscribe to this newsletter on LinkedIn
to get weekly updates on the biggest stories
in energy transition