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Huge differences in hydrogen price: 10 euros per kilogram past time

January 25, 2023

10 euros per kilogram of hydrogen? Pure nonsense

“Hydrogen costs about 10 euros per kilogram,” we read on websites of several major players, such as Shell. But that information does not appear to be entirely accurate. Like gasoline and diesel, the price of hydrogen has risen significantly. There is a logical explanation for this.

Gray hydrogen

At hydrogen refueling sites, you mainly still refuel gray hydrogen, made from natural gas. The price of natural gas is also subject to price changes, which has an impact on the price of a kilogram of hydrogen.

Nearly 27 euros for 1 kilogram of hydrogen

At Greenpoint Hysolar hydrogen station Nieuwegein, you currently pay 26.75 euros for a kilogram of hydrogen. That’s on the higher side. According to Perry Wens, gas station spokesman, there are huge price differences in hydrogen country. “Our fueling station is independent of subsidies, but that is not the case with all hydrogen fueling locations. So it may be that you pay significantly less there because the price is kept artificially low through subsidies. That is not the case with us, we are doing it on our own,” Wens said.

Prices vary greatly by location

Wish continues: “In any case, know that the prices of hydrogen have skyrocketed due to sharply increased energy prices. Moreover, it is very expensive to produce hydrogen. You used to pay about 12 euros per kilogram of hydrogen at our location, but today it is already about 26 euros.”

Hydrogen price: the price per kilogram of hydrogen varies greatly

Price of hydrogen different every month

Jan Pieter de Wilde, commercial director of Kuster Energy, says the following in conversation with AutoRAI.nl: “We at Kuster Energy really look at the product and what it should cost in the market at that time. You’ve probably noticed it yourself: rising gas prices, skyrocketing energy tariffs, it all has an effect on the price of hydrogen. As a result, you’ve noticed that the price of hydrogen has also gone up significantly. The availability of the product and the prices of gas and electricity are also of great influence. Who knows, maybe there will be another price drop soon, it depends on the market situation. In any case, we check how the flag is flying each month and then the customer just goes along with it.”

Prices at different hydrogen refueling stations

AutoRAI.nl also contacted other hydrogen filling stations to request the hydrogen price per kilogram. This round of calls took place on Wednesday, Jan. 25, 2023. From that comes the following overview:

Taste the sum

As it turns out, there are wide variations in hydrogen prices, but a price of 10 euros per kilogram has been out of the question for some time. We also did not encounter these rates during a recent week of testing with a Toyota Mirai. The Mirai was refueled in December 2022 for about 17.20 euros per kilogram of hydrogen. A full tank in that case would have cost 96.32 euros. Based on the above rates, the average price of hydrogen comes to 22.41 euros per kilogram.

Kilograms of hydrogen

On average, about four to six kilograms of hydrogen goes into a hydrogen car like the Toyota Mirai or Hyundai Nexo. Four kilograms of hydrogen will then cost an average of 89.67 euros. For that price, based on price information of 1 liter of gasoline on Jan. 25, 2023, you could fill up with about 46 liters of gasoline.

Lots of potential for hydrogen

Hydrogen technology is still in its infancy in the Netherlands, but it has enormous potential. This would require a transition from gray to green hydrogen: sustainably produced hydrogen, that is. Currently, natural gas is needed to produce hydrogen. The biggest advantage of using hydrogen is that refueling only takes a few minutes.

Climate agreement and hydrogen

The Climate Accord discussed that about 75,000 tons of hydrogen could be produced from water in the Netherlands by 2025. This requires an electrolysis capacity of 500 megawatts. That’s enough, for example, to run 600,000 hydrogen cars for an entire year. The goal is to also have 50 hydrogen refueling stations by 2025. By 2030, electrolysis capacity will be at least 6 times higher, at 3 to 4 gigawatts, and 300,000 cars will be running on hydrogen, according to the target.

Major hydrogen projects

The central government is currently promoting projects to further explore the sustainable potential of hydrogen and to increase the production of sustainable hydrogen. To this end, the government is making funds available and the laws and regulations that need to be changed are being examined. The central government is also currently investigating whether the current gas network can be used for hydrogen transportation in the future. This is especially true for hydrogen use in industrial areas.

Overview of hydrogen refueling stations in the Netherlands and Belgium

A list of hydrogen refueling stations in the Netherlands and Belgium can easily be found on H2’s website. For example, take a look at this page. H2Benelux also has a handy overview and address details. The summary below was current as of Jan. 12, 2023.

Hydrogen