Oxford Energy Podcast – How a traded hydrogen market might develop – lessons from the natural gas industry
The appetite for a ‘hydrogen market’ has been growing in the past year or two and is often called a ‘market’ by governments, regulators and other energy industry players. The question is what ‘hydrogen market’ are they referring to as there is currently no such market established? In this podcast, David Ledesma talks to Patrick Heather, Senior Research Fellow at the OIES and discusses how a future traded hydrogen market might develop, what the prerequisites would be for the development of a wholesale market, and whether there are lessons to be learned from the development of the European natural gas market. The podcast ends up by asking the fundamental question – If the European gas market took 25-30 years to liberalise and develop a liquid traded pricing hub, where are we headed with hydrogen? Will we ever see a traded market in hydrogen and what must happen to get there? Patrick is cautiously optimistic in his response!