By harnessing renewable electricity to split water into hydrogen and oxygen through electrolysis, clean hydrogen offers a low-carbon alternative to traditional fuels, making it an essential tool for societies and industries seeking to lower emissions and meet sustainability goals. In addition to its role as a fuel, hydrogen can be used for energy storage and transport, making it a vital component of the future energy system.
Hydrogen-derived e-fuels—such as ammonia, methanol, and methane – play a vital role in decarbonising sectors where direct electrification is difficult; they are sustainable alternatives to fossil fuels for many sectors such as shipping and heavy industry, including steel, chemical manufacturing and fertilizers. These industries, responsible for a significant portion of global emissions, are now embracing hydrogen and e-fuels to achieve meaningful carbon reductions and to help build a cleaner, more sustainable net-zero future.
Hydrogen is also crucial for stabilising future energy systems. As the world increasingly relies on intermittent renewable energy sources like wind and solar, there will be times when electricity generation exceeds demand. During these periods, excess electricity can be used to produce hydrogen through electrolysis, helping to store surplus energy and balance the electric grid. This ability to convert and store renewable power makes hydrogen an essential component of a stable, reliable clean energy infrastructure.
As the world shifts towards a hydrogen-powered future, certain nations are stepping up as leaders. Finland is uniquely positioned to lead the European hydrogen economy, with its vast potential for cost-effective renewable electricity and bold commitment to carbon neutrality by 2035. With abundant renewable energy resources, biogenic CO2, and key natural reserves, Finland has a significant competitive advantage.
Supported by expertise in key industries like forestry, metals, and chemicals, as well as strong R&D and academic collaboration, Finland is primed to lead in hydrogen development, offering a low-risk investment environment and a reliable, innovative, and highly connected electricity grid.
Already, most of Finland’s electricity is carbon-neutral, and with a significant pipeline of wind and solar projects under development, the country has the clean energy infrastructure needed to support large-scale hydrogen production. Together with the Baltic Sea region – an emerging hydrogen valley with significant renewable energy potential and new cross-border infrastructure projects – Finland also contributes to Europe’s collective efforts to decarbonise.
Visit the Hydrogen Cluster Finland website to learn more about the Finnish hydrogen economy.
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