Production of renewable hydrogen

Advancing in the energy transition and industrial decarbonization

Repsol is currently the largest producer and consumer of hydrogen in Spain. We use it in our industrial centers as a raw material. Renewable hydrogen is a pillar of our strategy to transform our industrial complexes into multi-energy centers, capable of manufacturing the products that society needs, such as renewable fuels or materials for construction or health (among others) but with a lower carbon footprint.

Clean and versatile energy source

Renewable hydrogen is an ideal energy source to decarbonize sectors that are difficult to electrify, such as the electro-intensive industry and heavy transport. The use of renewable hydrogen, together with low-carbon footprint renewable liquid fuels, is essential for the decarbonization of industry.

How is renewable hydrogen obtained?
  • Among the different ways to obtain it, we opt for electrolytic hydrogen, which is generated by electrolysis of water with renewable electricity. Therefore, it is called electrolytic renewable hydrogen.
  • Moreover, it can be produced from biomethane, whose raw material comes from landfills or livestock plants, among others. The renewable hydrogen generated from biomethane is called biohydrogen.
Renewable hydrogen molecule

Our renewable hydrogen strategy

It is backed by European bodies (EIB, European Commission), we have the aim of achieving an installed hydrogen capacity of up to 0.7 GW by 2027 and up to 2.4 GW by 2030, being one of the most solid renewable hydrogen strategies in Europe. This goal, revised upwards since 2019, responds to the need to strengthen energy independence both in Spain and the European Union, in line with the RePowerEU directive.

This renewable hydrogen will be used both in industrial processes and in mobility. It will serve to produce essential goods for society, such as renewable fuels or materials for construction or health (among others), with a lower carbon footprint. And to be distributed and dispensed at a hydrogen refueling network that we deploy to offer our customers this technology as another alternative for the reduction of emissions in the transportation sector.

Key figures in Spain in 2023

570,000

tonnes

of hydrogen consumed.

80 

%

of the hydrogen consumed corresponds to the refining sector.

60

%

of the hydrogen consumed in refining corresponds to Repsol.

Our strategic projects

Discover some projects and initiatives in which we take part and that focus on renewable hydrogen as an alternative energy source.

Electrolyzer
Petronor Refinery, bird's-eye view
Petronor electrolyzer

Large-scale renewable hydrogen production

The aim of large electrolyzers is to produce large-scale renewable hydrogen at competitive prices that allow the development of a full ecosystem based on hydrogen. This will promote the use of hydrogen in other sectors (transportation, industrial, infrastructure etc.) and the supply chain as a whole.

The 2.5-MW Petronor electrolyzer has a capacity to generate 350 annual tonnes of renewable hydrogen for industrial use.

Two 100-MW electrolyzers are expected to be installed in Petronor and Cartagena that could produce up to 16,500 annual tonnes of renewable hydrogen each.

Heliport, H for hydrogen
hydrogen tubes
Researcher in lab with flasks

SHYNE, the large Spanish association to promote renewable hydrogen

SHYNE (Spanish Hydrogen Network) is a multi-sectoral alliance with over 30 collaborating organizations that seeks to position Spain as a leader in renewable hydrogen technology. The project promotes the development of the entire production chain and promotes its use in transportation and the creation of key infrastructures.

Learn about its main benefits

  1. Environmental
    It reduces CO2 emissions and improves air quality, being useful in sectors with few decarbonization options, such as the high-temperature industry, production of steel and fertilizers, and transportation of goods.
  2. Socio-economic
    The promotion of renewable hydrogen promotes industrial innovation and attracts responsible investments, as well as strengthening national energy security and reducing dependence on external sources through the use of local renewable resources.
  3. Social
    Developing renewable hydrogen from a just transition perspective will generate employment and will support local economies.
  4. Energy independence
    As it is produced in Europe, renewable hydrogen contributes to reducing energy dependence outside Europe.

FAQs on the application of hydrogen in industry and mobility

Hydrogen cell-powered vehicles have refueling times similar to those of fossil fuels (diesel, gasoline) and also a range like that of these internal combustion vehicles (approximately 600 km) depending on the size of the tank just like in traditional vehicles.

It is essential to have a clear and favorable regulatory framework that incentivizes investment in hydrogen technologies. This includes the implementation of support policies, such as subsidies and tax exemptions, for green hydrogen projects. Moreover, collaboration between different levels of government is crucial (national, autonomous, and local) to coordinate efforts and maximize the impact of initiatives.

In the business environment, companies must commit to innovation and the adoption of hydrogen technologies in their production processes. Repsol, for example, is already leading in this field with renewable hydrogen projects that seek to decarbonize its processes and products. Public-private collaboration is also essential to develop appropriate infrastructures, such as hydrogen pipelines and hydrogen service stations.

We are facing the multifaceted challenge of making the most of the entire potential of hydrogen energy, some of the major challenges for the implementation of renewable hydrogen are:

  • Production cost: The cost of hydrogen production, driven by the CAPEX of electrolyzers and electricity prices, is very high, which makes the economic feasibility without subsidies difficult. For the creation of the market, boost in demand, and investment in technology, European and national funds are a critical component, just like they are to develop any type of technology that is in an early state.
  • Regulatory complexity: It is necessary to avoid excessive complexity in the definition, implementation, and monitoring of low-carbon and green hydrogen, and focus on expanding the market in a pragmatic manner.
  • Incentives and demand: Incentives are needed for the launch of new production projects and mechanisms that stimulate demand, fostering the creation of a liquid and competitive market. It is fundamental to promote the diversification of uses and demand: hydrogen is the start of new value chains beyond its direct use in industry, in other words, as energy storage, as a raw material in the production of synthetic fuels, or as a direct fuel in mobility. 
  • Legal and administrative framework: It is essential to establish a stable and favorable legal and administrative framework to decarbonization, which creates long-term certainty and attracts investors.

Hydrogen demand in Spain is growing, driven by the transition towards cleaner and more sustainable energies. In 2023, hydrogen demand in Spain was estimated at around 570,000 annual tonnes, with an upward trend due to efforts to decarbonize sectors such as transportation, industry, and energy generation.

With regards to renewable hydrogen, although it currently represents a lower fraction of the total hydrogen demand, its participation is expected to grow significantly in the coming years thanks to investments and government support policies. Our deployment plan will be one of the main levers of growth of this energy vector in Spain.

Solutions that help us in our industrial transformation

Planta de biogás

Biomethane

It contributes to the reduction of greenhouse gas emissions, makes the most of local resources, and promotes the circular economy and rural employment.

hero-eess-duchas-mobile.jpg

100% renewable fuels

They are liquid fuels that are made from organic waste, such as used cooking oil or nutshells.