The global power-to-gas market size was US$ 30.3 million in 2021. The global power-to-gas market size is estimated to reach US$ 76.2 million by 2030, growing at a compound annual growth rate (CAGR) of 10.8% during the forecast period from 2022 to 2030.
Power-to-gas technology adopts an electrolysis process to produce hydrogen gas from renewable or available excess electricity. The first step in the process is to produce synthetic hydrogen (H2) from water and renewable energy via electrolysis. This hydrogen can be used directly as the final energy carrier or converted into methane, synthesis gas, electricity, liquid fuels, or chemicals during a second-stage process. Under the second step process, hydrogen reacts with carbon dioxide to produce methane.

Factors Affecting Marketing Growth

The growth in demand for renewable hydrogen, which has the potential to decarbonize considerable sectors is anticipated to drive the growth of the global market.
The cost reduction of the electrolyzer technology drives the growth of the global market.
The price volatility of fossil fuels is forcing an industrial substitution to more sustainable chemical processes, which is the key factor boosting the growth of the global market.
Factors such as gas-conditioning, power electronics, and plant components are accounting for the rest of the expenses, which hinders the growth of the global market.

Impact on COVID-19 Analysis

During COVID-19 governments of various countries have taken initiatives to increase investment in renewable energy-related industries, especially wind power systems and solar. The investment growth is mostly to enhance national energy security during the pandemic and other crises. The presence of these activities and changes in policies owing to the outbreak of COVID-19 had a positive impact on the growth of the global market.

Regional Analysis

Europe holds the largest share of the global market. The presence of stringent regulations with regard to carbon footprint reduction across the country and rapid growth in recent years, which has led to exceeding expectations in terms of cost reduction, user-friendliness, and commercial applications in various sectors, has prompted manufacturers to expand. The pressure of the intense R&D activities and people's awareness about the prospects of hydrogen fuel cells on the environment has a positive impact on the growth of the global market.

Leading Competitors
The prominent players in the global power-to-gas market are:
Aquahydrex
Carbotech
Fuelcell Energy
Avacon
GreenHydrogen
Electrochaea
MAN Energy Solutions
McPhy Energy
Hydrogenics
Siemens AG
Others
Segmentation Analysis
The global power-to-gas market segmentation focuses on Technology, Capacity, Use Case, Application, and Region.
Segmentation on the basis of Technology

Methanation
Electrolysis

Segmentation on the basis of Capacity

Less than 100 kW
100999 kW
1000 kW and Above

Segmentation on the basis of Use Case

Biomass
Wind
Solar

Segmentation on the basis of Application

Utility
Residential
Commercial

Segmentation on the basis of Region
North America
The U.S.
Canada
Mexico
Europe
Western Europe
The UK
Germany
France
Italy
Spain
Rest of Western Europe
Eastern Europe
Poland
Russia
Rest of Eastern Europe
Asia Pacific
China
India
Japan
Australia & New Zealand
ASEAN
Rest of Asia Pacific
Middle East & Africa (MEA)
UAE
Saudi Arabia
South Africa
Rest of MEA
South America
Brazil
Argentina
Rest of South America