Chinese electrolyser manufacturer Hygreen Energy announced plans to invest over 2 billion euros ($2.21 billion) in green hydrogen projects in Spain's southern region of Andalusia. The investment will include the construction of a new electrolyser production plant and several green hydrogen facilities.

The new factory will focus on producing electrolysers, which are essential for splitting water into hydrogen and oxygen using electricity. The plant's capacity could reach up to 5 gigawatts, depending on European demand, with an initial focus on manufacturing 5-megawatt electrolysers.

Andalusia is increasingly positioning itself as a hub for green hydrogen in both Spain and Europe, leveraging its rich wind and solar resources. The production of green hydrogen, which relies on renewable energy, is considered crucial for decarbonizing industries across Europe. However, the high costs of green hydrogen projects make them challenging without government subsidies.

Pietro Lombardi reported the announcement, with Alexandra Hudson editing the details.

Source: msn.com