Europe Captive Hydrogen Generation Market Size - By Process (Steam Reformer, Electrolysis and Others), By Application (Petroleum Refining, Chemical, Metal) & Forecast, 2024 - 2032

Europe captive hydrogen generation market size is anticipated to grow at 6.9% CAGR between 2024 and 2032 driven by the strong commitment to achieving carbon neutrality and transitioning to cleaner energy sources. European ambitious climate goals, such as the European Union Green Deal, are working to drastically reduce the greenhouse gas emissions and promote the use of hydrogen as a sustainable energy carrier.

The growing demand for hydrogen across various sectors, including chemical manufacturing, refineries, and steel production, is also fueling the market growth. For instance, in July 2024, EET Hydrogen Power disclosed plans to develop Europe's first power plant entirely fueled by hydrogen. As industries are seeking to replace traditional energy sources with low-emission alternatives, captive hydrogen generation is favored to provide a cost-effective and efficient solution for meeting their hydrogen needs.

The overall industry is divided into process, application, and country.

Based on process, the Europe captive hydrogen generation market size from the electrolysis segment is poised to grow between 2024 and 2032. This is due to its pivotal role in producing green hydrogen from renewable energy sources. The increasing availability of renewable energy, such as wind and solar power, is enhancing the feasibility of electrolysis for sustainable hydrogen production.

Europe captive hydrogen generation market from the petroleum refinery application segment is set to witness significant CAGR from 2024 to 2032 attributed to substantial demand for hydrogen in refining processes. As European refineries are seeking to enhance their sustainability and reduce carbon emissions, captive hydrogen generation is offering a practical solution by allowing refineries to produce hydrogen on-site while minimizing transportation costs and ensuring a reliable supply.

France captive hydrogen generation industry is expected to accrue notable growth from 2024 to 2032. The French regulatory support through subsidies, funding programs, and public-private partnerships is accelerating the deployment of hydrogen technologies and infrastructure. Strong industrial base, particularly in sectors, such as chemical manufacturing and refining, is also creating a significant demand for onsite hydrogen production to enhance operational efficiency and meet the stringent environmental regulations.