Mobilise investment in production assets and manufacturing
The large-scale deployment of electrolysers for the dedicated production of hydrogen depends on the development of large-scale projects and an increase in manufacturing capacity that can allow electrolysers to benefit from economies of scale and learning by doing.
Stimulating demand can prompt investment in these areas, but without further policy action, this process will not happen at the necessary pace to meet climate goals. Providing tailor-made support to selected, shovel-ready flagship projects, as well as clear and internationally agreed standards on hydrogen emission intensity, can mobilise the necessary investment and kick-start the scaling up of low-carbon hydrogen. This will also help manufacturers to gain clearer visibility of the demand for electrolysers and move towards firm investment decisions for mass-manufacturing in industrial scale facilities, which can significantly reduce the production cost of electrolysers.