As the world grapples with the global climate crisis and the urgent need for clean energy solutions, hydrogen and fuel cells are emerging as key players in the transition to a zero-emission economy.
The European Union's "Fit-for-55" package, currently under negotiation, aims to provide regulatory clarity and predictability to the industry, further propelling the role of fuel cells in the region. Jesper Themsen, CEO of Ballard Power Systems Europe, highlights the impact of EU policies on the development of the hydrogen and fuel cell industry, sharing insights from his experience in the sector.
Ballard Power Systems Europe has witnessed rapid growth over the past five years, driven by three key factors: technology maturity, public policy support, and corporate accountability in environmental, social, and governance (ESG) activities. The increasing maturity of fuel cell technology, combined with European and national initiatives to decarbonize transportation and energy, has boosted demand for Ballard's products. Additionally, mounting public pressure on companies to adopt environmentally friendly practices has contributed to the company's success.
The upsurge in the prominence of hydrogen and fuel cell technologies can be attributed to significant advancements in technology maturity. Fuel cells are now more reliable, durable, and capable of carrying more energy, resulting in large-scale commercial deployment. Collaboration within the zero-emission landscape, including the adoption of battery-electric vehicles, has also strengthened the entire value chain. While European initiatives have taken a cautious approach to hydrogen, public funding support is crucial for the industry to scale up and deliver at an accelerated pace.
Europe has been at the forefront of climate ambition, with commitments to reach carbon neutrality by 2050 and a 2030 emission reduction target of 55%. The comprehensive "Fit-for-55" package and various policies such as hydrogen supply quotas and the deployment of hydrogen refueling stations demonstrate Europe's strong support for zero-emission technologies. However, timely implementation of these policies is essential to maintain Europe's leadership position. While Europe currently leads in hydrogen production project announcements, greater confidence is needed to ensure the commitment of the remaining 95% of projects. Europe faces competition from North America and China, which have adopted ambitious policies and provided substantial financial support to clean technologies.
With the convergence of favorable policies, advancing technology, and growing public demand, fuel cell power is poised to play a pivotal role in Europe's journey toward a net zero economy.
Source: blog.ballard.com