Investors want long-term certainty
Hydrogen investors demand security of offtake deals
Long-term contracts will be needed to mitigate risk as investors assess bankability of multiple clean hydrogen production projects
Financiers are queuing up to look at clean hydrogen production proposals but will be reluctant to commit capital unless projects are underpinned by long-term offtake deals and certifiable sources of renewable power, senior financial players said this week. Offtake agreements of 20 years or longer are likely to be the norm for projects in the early stages of the sector’s development, as providers of debt and equity investment will demand secure revenue streams from hydrogen production. “At this stage of the hydrogen life cycle, absent any real [hydrogen] market or reference, projects must be underpinned by one very large, creditworthy offtaker to stand behind some of the risk,” Andrew Doyle,
Also in this section
23 December 2025
Government backing and inflow of private capital point to breakthrough year for rising star of the country’s clean energy sector
19 December 2025
The hydrogen industry faces an important choice: coordinated co-evolution or patched-together piecemeal development. The way forward is integrated co-evolution, and freight corridors are a good example
10 December 2025
Project developer Meld Energy ready to accelerate 100MW project in Humber region after securing investment from energy transition arm of private equity firm Schroders Capital
9 December 2025
BP and Engie abandon large-scale green hydrogen projects in Gulf state as developers in all regions continue to struggle with lack of firm offtake
