Hydrogen is expected to be one of the fastest-growing pieces of the global energy puzzle through 2050 but remain a small fraction of the overall energy mix, according to McKinsey’s recently published Global Energy Perspective 2026. McKinsey said the global market is one of energy expansion, instead of energy transition, with rising demand requiring growth from both conventional fuels and lower-carbon technologies.
Hydrogen’s growth comes from a relatively small base and is expected to be concentrated in applications where direct electrification is difficult, including refining, chemicals, fertilizers, steelmaking and hydrogen-derived fuels. That creates potentially substantial demand for both low-carbon hydrogen and the electricity needed to produce renewable hydrogen. Still, the pace of development will depend heavily on economics, infrastructure and the availability of reliable customers, the report found.
Hydrogen may lead the energy sector in percentage growth through 2050 (see chart below) without becoming more than a fractional piece of the global energy mix. McKinsey’s broader outlook also emphasized that affordability, energy security and infrastructure constraints are increasingly shaping investment decisions alongside decarbonization.
For more, see next week's edition of Hydrogen Billboard.
