Letter on hydrogen: Bankable business?
Pressure is growing on developers to prove the bankability of their projects in a challenging market for green hydrogen
Securing finance for green hydrogen projects has arguably become more difficult over the last couple of years. The risks for investors have increased against a backdrop of deepening policy and regulatory uncertainty, geopolitical tensions and stubbornly high production costs. Add to this list a creeping loss of enthusiasm for the net-zero project, and the chances of winning over lenders and investors start to look slim, especially for independent projects that are not tied into existing infrastructure such as refineries. Bankability for green hydrogen is a complex business in need of greater visibility So far, about $38b of investment has been firmly committed to low-emission hydroge
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