• The falling cost of making hydrogen from wind and solar power offers a promising route to cutting emissions in some of the most fossil fuel dependent sectors of the economy, such as steel, heavy-duty vehicles, shipping and cement.
• The cost of the electrolyzer technology to do this has fallen by 40% in the last five years
• If the clean hydrogen industry can scale up, many of the hard-to-abate sectors could be decarbonized using hydrogen, at surprisingly low costs”.
• The study found that a carbon price of:
  • $50/tCO2 would be enough to switch from coal to clean hydrogen in steel making by 2050
  • $60/tCO2 to use hydrogen for heat in cement production
  • $78/tCO2 for making chemicals like ammonia, and
  • $145/tCO2 to power ships with clean fuel, if hydrogen costs reach $1/kg.

Source: Hydrogen Economy Outlook by BloombergNEF, 30th March 2020