IEA’s new analysis suggests low-emissions hydrogen production could reach 37mn tonnes a year by 2030

Despite a recent wave of project delays and cancellations, low-emissions hydrogen production is still expected to expand to 2030, though at a slower pace than once signalled, according to the International Energy Agency (IEA).

The 2025 edition of the IEA’s Global Hydrogen Review, tracks developments across the sector with particular focus on low-emissions hydrogen technologies.

Worldwide hydrogen demand reached nearly 100mn tonnes in 2024, up 2% from 2023 and broadly in line with overall energy demand growth. Most of this demand was met by hydrogen produced from fossil fuels without emissions-capturing measures, with oil refining and industry remaining the main consumers.

Producing hydrogen from fossil fuels remains much cheaper globally, a gap widened by falling natural gas prices and rising electrolyser costs. But the report expects the cost gap to narrow by 2030 due to lower technology costs, stronger renewables growth in some regions, and new regulations.

Even so, uptake of low-emissions hydrogen is lagging behind expectations. High costs, regulatory uncertainty and slow infrastructure development have restrained growth, with production projects particularly exposed. The IEA’s new analysis suggests low-emissions hydrogen production could reach 37mn tonnes a year by 2030, down from the 49mn tonnes projected from announced projects just a year earlier.

Not all projects reach completion, meaning actual capacity is likely to be lower. Still, projects already operational, under construction or with a final investment decision are set to increase more than fivefold by 2030, reaching over 4mn tonnes per year. An additional 6mn tonnes could also materialise by the end of the decade if stronger policy support ensures demand.

“Investor interest in hydrogen jumped at the start of this decade thanks to its potential to help countries deliver on their energy goals,” said IEA Executive Director Fatih Birol. “The latest data indicates that the growth of new hydrogen technologies is under pressure due to economic headwinds and policy uncertainty, but we still see strong signs that their development is moving ahead globally. To help growth continue, policy makers should maintain support schemes, use the tools they have to foster demand, and expedite the development of necessary infrastructure.”

China remains the leading force in electrolyser deployment, accounting for 65% of installed or approved capacity and nearly 60% of global manufacturing. But the report warns that Chinese producers face challenges from excess capacity, as more than 20GW per year of output far outstrips current demand.

The review also highlights the shipping sector, finding that adoption of hydrogen-based fuels will require more compatible technologies and port readiness. Nearly 80 ports worldwide already handle chemical products, offering opportunities to manage hydrogen fuels in future.

A special section on Southeast Asia notes that announced projects could boost the region’s low-emissions hydrogen production to 430,000 tonnes a year by 2030, up from just 3,000 tonnes today. Achieving this will require faster renewables deployment, targeted policies and expansion of pilot projects.

The pole was carefully engineered to integrate solar technology. (Image source: Galva Coat)

At GalvaCoat Industries, we always look for smarter ways to support the region’s growing energy needs while promoting sustainability. One of the key areas where we bring innovation is in pole design with integrated solar solutions.

Recently, for one of our main clients, our team carried out the complete engineering, design, and manufacturing of a customised solar pole solution.

The pole was carefully engineered to integrate solar technology without compromising strength, aesthetics, or functionality.

Through detailed structural analysis and precision design, we delivered a solution that enabled leveraging sustainable energy without compromising reliability and availability in critical applications.

The project not only provided a sustainable alternative but also achieved excellent operational results, showcasing Galva Coat’s strategic direction towards energy sustainability for the road lighting and security systems.

To further enhance reliability, a proposed battery system was designed in collaboration with our supply chain partners to provide sufficient backup in case of any power failure, always ensuring uninterrupted operation.

Advanced Manufacturing Advantage

GalvaCoat has introduced a state-of-the-art CNC tube laser cutting and Laser Welding technologies, enabling us to cut and join solar pole parts in any required pattern or design.

This allows us to seamlessly integrate solar components into the pole structure, avoiding external projections that could affect strength or aesthetics. The result is a pole that is not only functional and energy-sustainable but also visually appealing in its environment.

Why GalvaCoat Solar Poles?

Manufactured with high precision CNC equipment ensuring products that meet tight tolerances. Built using premium raw materials sourced from leading steel mills worldwide.

Highly durable and reliable Hot-Dip Galvanized structures, to withstand the harsh environments in the GCC region. Equipped with backup battery storage to guarantee continuous performance even during failures or low sunlight conditions.

Flexible in design, with customisation available to meet project-specific requirements — including poles of any required length.

A cost-effective solution that balances affordability with long-term energy savings.

By combining advanced manufacturing technology with world-class materials, GalvaCoat delivers solar poles that not only enhance infrastructure but also contribute to a reduced carbon footprint.

For us, every project is an opportunity to provide innovative, sustainable, and reliable solutions. This solar pole project is just one example of how GalvaCoat Industries is helping clients achieve their energy goals while maintaining the highest standards of performance, safety, and aesthetics.

IRENA will share its latest analysis on the shifting geopolitical and economic dynamics. (Image source: IRENA)

The 29th meeting of the International Renewable Energy Agency (IRENA) Council will convene on 11 September in Abu Dhabi, bringing together more than 400 government officials from 169 countries and the European Union.

Over two days, delegates will provide strategic guidance on IRENA’s work programme while tackling critical issues driving the global energy transition.

A central focus will be energy security, with discussions on diversifying supply chains, advancing next-generation technologies, and boosting regional manufacturing capabilities.

IRENA will share its latest analysis on the shifting geopolitical and economic dynamics of renewable energy supply chains, with particular attention to the solar PV sector.

The agenda also includes accelerating investment in sustainable aviation fuels (SAF), which IRENA highlights as essential to decarbonising long-haul aviation.

The Agency will present new initiatives to support SAF projects and channel financing through its platforms, enabling developers and governments to progress projects from early-stage concepts to bankable ventures.

The meeting will conclude with Members outlining future priorities for IRENA, addressing institutional matters, and preparing for the upcoming 30th session.

“Diverse, resilient and transparent supply chains are essential to achieve the tripling renewable power capacity target by 2030,” said IRENA director-general Francesco La Camera. “While the shift toward renewables is a key enabler for energy security and independence, global supply chains remain concentrated in a few nations. Efforts to diversify them, however, must contend with complex economic realities, making the 29th IRENA Council an important opportunity to advance this discussion collectively.” 

In his capacity as 29th IRENA Council Chair, H.E. Mr Francisco Chacón Hernández Ambassador of Costa Rica to the UAE, KSA and Jordan said, "IRENA has been and is a successful, inclusive vehicle of a universe of countries in their quest to find solutions towards a sustainable energy of the future. A future, envisioned to fulfill, in time, human aspirations for shared prosperity to all, the younger generations in particular. As a Costa Rican chair of the 29th Council, topics as energy transition, decarbonisation and renewable energies will be on the forefront of our aims and thoughts. True to our Costa Rican idiosyncrasy, we will never impose. We will seek to listen with respect to all, and team up together to get going, always in good faith."

Rheem Centurion supports energy-smart building technologies in line with regulatory requirements

Rheem Middle East, a global leader in HVAC and water-heating solutions, has introduced Rheem Centurion, a next-generation system designed to set new performance standards in heating and cooling across the MEA region.

Engineered for maximum efficiency, Rheem Centurion delivers up to 84% energy savings by recycling waste heat from air conditioning units to produce hot water while cooling indoor spaces at the same time. This dual functionality helps reduce energy costs, cut carbon emissions, and ensure reliable year-round performance for residential, commercial, and hospitality applications.

Tailored to the region’s climate and sustainability priorities, Rheem Centurion supports energy-smart building technologies in line with regulatory requirements and long-term green goals. As urbanisation, population growth, and large-scale developments accelerate across the MEA, the system offers developers and operators a future-proof solution that balances comfort with sustainability.

Versatility is central to its design. Rheem Centurion integrates seamlessly into a wide range of building types and can heat water up to 70°C, making it particularly suitable for high-demand facilities such as hotels, hospitals, resorts, and multi-family housing. Its advanced smart controller enables users to optimise efficiency through three operating modes—cooling, heating, or simultaneous use—while maintaining whisper-quiet operation to enhance indoor comfort.

By capturing and reusing otherwise wasted energy, Rheem Centurion not only supports cost savings but also delivers measurable environmental benefits, positioning it as a key innovation for sustainable infrastructure across the MEA region.

Brian Hempenstall, vice president and general manager at Rheem Middle East, said, “Rheem Centurion is more than a product launch; it represents a significant step forward for the built environment in this region. By combining air conditioning and hot water generation in a single, highly efficient system, we are helping developers, hoteliers, and homeowners meet today’s demands while preparing for tomorrow’s sustainability standards. At Rheem, our mission is to deliver comfort without compromise — comfort that is smarter, cleaner, and built for the future of the Middle East and Africa.”