ICIS Starts Europe's First Market-Linked Renewable Hydrogen Assessments

Sep 29, 2022 10:05 AM ET
  • The Hydrogen Assessments will support participants with the intelligence needed to create a liberalised clean hydrogen market and optimise energy shift sources.
  • The assessments are the initial market-based assessments that are structured to be certified with European Union and also UK government standards for generating renewable hydrogen.

ICIS, a worldwide source of Independent Commodity Intelligence Services, has revealed that it has introduced the first hydrogen rate assessments to reflect the marketplace value of renewable power. ICIS said that this item will support participants with the intelligence required to create a liberalised clean hydrogen market as well as optimise energy shift sources.

ICIS stated that the European Commission's REPowerEU plan has actually quadrupled hydrogen supply targets by 2030 as well as established requirements to guarantee hydrogen production is sourced from renewable resource. To unlock investments of approximately EUR500 billion outlined by the Commission's hydrogen strategy, financiers, policy manufacturers as well as hydrogen sector participants hence require accurate as well as trusted prices instruments lined up to Net Zero objectives.

Covering market-adopted technologies as well as places, the ICIS European renewable hydrogen assessments have actually been produced via deep appointment with energy market participants. Likewise, the ICIS European renewable hydrogen assessments are the first market-based assessments that are structured to be compliant with European Union as well as UK government standards for producing renewable hydrogen.

These hydrogen price assessments accurately reflect business problems facing renewable hydrogen tasks, giving participants with the confidence to make strategic financial investment strategies, conduct bilateral negotiations as well as browse volatility.

Simon Ellis, Head of Hydrogen Analytics at ICIS, says, "These assessments are a crucial action in ICIS's commitment to supplying cost openness to the renewable hydrogen market. They are the initial true, independent representation on the price of producing renewable hydrogen as well as will provide capitalists the confidence they require to bring capacity online".

"Structure on our track record of establishing commodity benchmarks like the ICIS TTF and also ICIS NBP, as well as supplying price transparency to international ammonia markets, the assessments will provide the clarity required to develop the European hydrogen economy," stated Stuart Wood, Head of Energy Strategy at ICIS.

The assessments combine ICIS's cross-commodity energy analysis with price assessments of long-term Power Purchase Agreements (PPAs) provided by Pexapark that uses rates information, software program and services for RE. These PPAs are expected to be the primary means of supplying renewable power for the production of electrolytic hydrogen.

ICIS stated that its renewable hydrogen assessments have actually also revealed renewable hydrogen based upon PPAs has actually prevented equal power market volatility over the past 20 months.

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