“The hype is over – but the need is real.” With this statement at the World Hydrogen Summit in Rotterdam, Werner Ponikwar, CEO of thyssenkrupp nucera, captured a pivotal shift in the green hydrogen narrative: from inflated expectations to grounded execution. In this article, we’ll break down what this means.
From Overpromising to Delivering: The Sector’s Reality Check
We’re currently witnessing a shift in the green hydrogen sector. Over the past year, a multitude of project ideas have emerged, many based on unrealistic assumptions. This resulted in bloated project pipelines and overly optimistic expectations for electrolyzer deployment in both the near and long term. That momentum fueled the early hype. But that doesn’t mean electrolysis companies haven’t delivered. Quite the opposite: thyssenkrupp nucera has consistently delivered proven technology at scale, grounded in decades of experience with chlor-alkali plants. Amid the hype, the main challenge was to identify the few projects built on solid foundations – those with a realistic chance of successful implementation. In this regard, thyssenkrupp nucera was best in class.
Now, as it becomes increasingly clear that these bloated project pipelines cannot be realized within the envisioned timelines, a reality check has set in. Some unrealistic projects and ideas with zero chance of implementation cost time, block capacities, and have been delayed or canceled. While the hydrogen sector has always been grounded in a realistic market, with credible projects and serious manufacturers driving progress, the surrounding hype—fueled by opportunistic entrants jumping on the bandwagon, as reflected in inflated stock prices—has now largely dissipated.
Despite falling share prices and the lack of strong commitment from the U.S. market, it’s a good thing that we’ve left the hype and unrealistic expectations behind. This shift allows the industry to focus on what truly matters: viable, scalable solutions. We are now emerging from the Trough of Disillusionment (see graphic of Gartner Hype Cycle) to the Slope of Enlightenment – a phase where early overestimations give way to practical learning. This allows us to better focus our resources on driving and executing projects, rather than searching for the one realistic project among thousands. Scalable solutions are beginning to emerge, and stakeholders are gaining a clearer understanding of what truly drives value. A clear sign of this new momentum is the Hydrogen Bank’s recent funding approval for 15 projects across Europe.
For thyssenkrupp nucera – and the broader industry – this phase brings both challenges and opportunities. It’s no longer enough to talk about potential; the focus must shift to execution, efficiency, and scalability. This transitional moment underscores the importance of staying resilient and adaptable as the sector matures.
The End of the Hype, Not the End of the Need
The demand for green hydrogen remains urgent. Today, almost 100 million metric tons of fossil-based hydrogen are produced annually. Replacing this with green hydrogen would require around 1,000 GW of electrolyzer capacity — a vast but achievable goal.
This need expands further when factoring in applications like:
- Clean transportation
- Ammonia and fertilizer production
- Long-duration energy storage
The end of the hype doesn’t diminish green hydrogen’s potential — it sharpens the industry’s focus on delivering real impact in decarbonization.
For Europe, green hydrogen presents a threefold opportunity: advancing climate neutrality , reducing dependency on energy imports, and maintaining global technological leadership. However, other regions, such as China, are rapidly scaling their capacities, with over 2 GW in final investment decisions made in recent months. This underscores the urgency for Europe to sharpen its focus and secure its leadership position in the global hydrogen market.
Built on Substance: How thyssenkrupp nucera Is Driving the Hydrogen Economy
thyssenkrupp nucera is meeting this demand head-on. With decades of electrolysis expertise rooted in the chlor-alkali business, the company is uniquely positioned to scale green hydrogen technologies quickly and effectively. In 2024 alone, it manufactured 1.5 GW of electrolyzers. According to BloombergNEF, we maintain our position as the global leader in deliveries.
Projects with industrial leaders such as Air Products in NEOM and Stegra in Boden exemplify thyssenkrupp nucera’s commitment to driving large-scale projects. By working closely with stakeholders, the company can align its solutions with the specific needs of different industries.
The Real Work Begins: Enabling Deployment at Scale
As the green hydrogen industry matures, staying grounded requires a pragmatic approach. electrolyzers are no longer a bottleneck in the value chain; production capacity has increased rapidly to meet demand. The challenge now lies in creating market conditions that ensure these electrolyzers are utilized effectively.
One key strategy is to leverage flexibility in electrolyzer technology. Systems designed and deployed today can evolve to accommodate higher volumes of green hydrogen in the future. This adaptability ensures that investments made now remain relevant as the market expands.
Moreover, staying real also means advocating for policy measures that create certainty. Binding mechanisms, such as greenhouse gas quotas in transportation and mandates for green hydrogen use in public procurement, are essential for driving demand. Simplified permitting processes and faster implementation of regulatory frameworks like RED III can further accelerate progress.
The need for green hydrogen remains undeniable, with global decarbonization goals and energy security at stake. However, seizing this opportunity requires bold action—both from policymakers and industry players.
Shaping the Future of Green Hydrogen – Together
The transition from hype to reality is not a setback — it’s a sign of maturity. As the industry enters this critical phase, delivery, cost efficiency, and scalability will define success. For thyssenkrupp nucera, the mission is clear: deliver scalable solutions, foster strategic collaborations, and advocate for a policy environment that enables long-term impact. Because when the goal is a successful energy transition, every decision made today must serve the future we want to create.
Let’s shape the new era of green hydrogen together. Learn more about our 20 MW electrolyzer unit scalum® here.
