Hydrogen valleys: catalysts for local and global hydrogen economies

April 2025

A significant trend is emerging in the clean energy sector: the development of "Hydrogen Valleys" and "Hydrogen Hubs." These integrated hydrogen projects, spanning the entire value chain from production to end-use, have been on the rise since the mid-2010s, signaling a major shift towards hydrogen as a key energy carrier, according to Urban Transitions & Clean Hydrogen Missions on the GUIDEBOOK Clean Hydrogen in cities.

These hydrogen valleys are not just industrial sites; they represent a strategic opportunity for cities to lead the way in the hydrogen economy. Cities are uniquely positioned to act as central hubs where hydrogen production, distribution, and utilization converge, creating dynamic and sustainable ecosystems.

Key steps to developing a hydrogen valley

For cities and regions looking to establish their own hydrogen valley, several key steps have been identified:

  • Strategic partnerships: Engaging with economic development agencies and other key players is crucial for aligning the project with local and regional goals.
  • Resource assessment: A thorough evaluation of local production potential and current/future hydrogen needs is essential for effective planning.
  • Stakeholder engagement: Collaboration with energy utilities, project developers, potential users, and the local community ensures project viability and public acceptance.
  • Financial planning: Securing diverse funding sources, both public and private, is vital for building a strong business case.
  • Integrated planning: A cross-sectoral approach and a comprehensive feasibility study are prerequisites for successful project implementation.

Phased development

Hydrogen valley projects typically unfold in a structured series of phases:

  1. Technical studies: Initial studies lay the groundwork for pilot projects.
  2. Demonstration phase: Testing and experimentation validate technologies under real-world conditions.
  3. Analysis and planning: Economic and environmental assessments inform future development and scaling.

Support and resources

To support the growth of hydrogen valleys, key initiatives and platforms are available:

  • The Mission Innovation Hydrogen Valley Platform serves as a global inventory of hydrogen valleys, providing valuable data and insights.
  • Various funding programs are in place to facilitate the development and deployment of hydrogen valley projects.

This information underscores the pivotal role of hydrogen valleys in fostering the hydrogen economy and provides a roadmap for cities and regions to actively participate in this transformative energy shift.