Test AW 3

Can green hydrogen production increase quickly enough by 2035 so that air transport can, at least in part, rely on it? Green hydrogen specialist Lhyfe sits at the low end of the energy supply spectrum, with just one production site in the 1-megawatt class. But the startup is proving its worth as it scales up and targets 3 gigawatts—the equivalent of three nuclear reactors—in 2030. That amount of power seems considerable, but it might be only a fraction of future global production. Lhyfe would be happy with a 5% share in the global green hydrogen market.

Green hydrogen relies on the use of renewable energy for water electrolysis. Together, Austria, Belgium, Denmark, France, Germany, Luxembourg, the Netherlands, Norway, Switzerland and the UK aim to develop more than 40 gigawatts of electrolyzer capacity for low-emission hydrogen—using renewables, nuclear power or carbon capture—by 2030, according to the International Energy Agency. Those numbers suggest that green hydrogen production might soon skyrocket. At a minimum, the growth of Lhyfe and such competitors as Dolphyn Hydrogen should be watched.

• French startup expands production of green hydrogen
• Europe plots ambitious paths to sustainable energy

At issue is whether enough green hydrogen will be produced to meet aviation’s future needs. That question is critical for such companies as Universal Hydrogen and ZeroAvia, which are developing hydrogen aircraft, and such companies as Airbus, which is conducting intense research and technology development on the topic. Airbus is betting that an aircraft operation’s carbon footprint can be brought down to zero with a propulsion system using green hydrogen. The airframer’s ZEROe project, while not yet an aircraft program, aims to have an aircraft fueled by liquid hydrogen—transporting about 100 passengers on relatively short flights—in service in 2035.

Skeptics emphasize the complexity and cost of creating green hydrogen. Although hydrogen is common in many chemical industries, it comes from fossil fuels. Nuclear power might help decarbonize it in some countries, such as France, but European institutions might not label it green. Moreover, adding nuclear electric power capacity would take longer than building renewable energy production sites.

So will enough green hydrogen be produced to meet aviation’s eventual needs? Lhyfe may have preliminary answers. Since its founding in 2019, Lhyfe has transitioned from the demonstration stage to the production of green hydrogen. Its 0.75-megawatt site in Bouin in western France is up and running. Founder, Chairman and CEO Matthieu Guesne says one of its customers, discount supermarket chain Lidl, uses Lhyfe’s hydrogen to power all the forklift trucks at its 52,000-m² (560,000-ft.²) logistics center.

A new site in Buleon, France, is set to start deliveries by June. For the same ground surface and a €10 million ($10.7 million) investment, it will generate 5 megawatts, or 2 metric tons, of hydrogen per day. A different electrolysis technology, associated with falling prices of materials, explains the improvement.

Both Bouin and Buleon rely on direct connections or contracts with wind farms that other companies operate. Lhyfe is betting on electricity from wind turbines, especially offshore. The in-development farms are expected to provide large amounts of power, with a target of 1-2 gigawatts, Guesne says. In Sweden, Skyborn Renewables is leading a 1-gigawatt project that the country’s electric grid will partially accommodate. Guesne notes that at 600 megawatts, that level of incorporation leaves room for hydrogen production.

Back in France, Lhyfe’s Sealhyfe pilot production unit demonstrated that hydrogen can be produced at an industrial scale at sea using a 1-megawatt production unit situated 23 km (14 mi.) off the coast of Le Croisic, in the Loire-Atlantique region of western France. The company chose the location for its existing floating wind turbine. Lhyfe is now starting a project 10 times larger in Ostend, Belgium. Guesne expects that sales from the 10-megawatt unit—which will provide ocean oxygenation as a side benefit—will start in 2026. Overall, he estimates that using hydrogen could cut 20-30% of the world’s CO₂ emissions.

Enough renewable energy might be available for aircraft to fly, Guesne says, making the question largely political: Will governments want to create enough capacity and direct it to air transport? What about the time scale? “Creating a large liquid hydrogen production plant takes five years,” he says. Since the investment is sizable, partners will own Lhyfe’s future assets.

The company aims to create production facilities in France and Germany to make green hydrogen available in both countries. The hydrogen will have to comply with European rules, which take into account a country’s energy mix. Germany, for instance, uses a relatively high proportion of fossil fuels; 26% of its electricity was generated by coal in 2023. Hydrogen might therefore be labeled green only if the electrolysis process is powered by newly built renewable energy sites.

Moreover, renewable electricity and hydrogen production must be synchronized. Thus a hydrogen company buying electric power when photovoltaic production peaks must use it in the same month rather than wait until the next winter, when coal partly replaces photovoltaic power.

With renewables and hydrogen, energy production will have to evolve to a distributed approach from a centralized one. The German government has a €20 billion plan to build a 9,700-km core network of the required pipelines by 2037; existing gas pipelines will make up 60% of it.