Captive Petroleum Refinery Hydrogen Generation Market Size

Captive Petroleum Refinery Hydrogen Generation Market size was USD 50.8 billion in 2024 and is estimated to reach USD 115.2 billion by the end of 2037, expanding at a CAGR of 6.8% during the forecast period, i.e., 2025-2037. In 2025, the industry size of captive petroleum refinery hydrogen generation will be valued at USD 52.3 billion.

Hydrogen is a vital component used in refineries to lower the sulfur content of diesel. The rise in strict sulfur content regulations worldwide is fuelling the captive production of hydrogen in petroleum refineries. For instance, the International Maritime Organization (IMO) set a limit on sulfur use in fuel oil used by ships operating outside the designated Emission Control Areas to 0.50% m/m (mass by mass) in 2020.

The continuously evolving regulations on sulfur use are anticipated to fuel the captive production of hydrogen in the coming years. According to the Fuel Cells and Hydrogen Observatory, the total captive hydrogen production capacity was approx. 9,376t per day in 2019 in European refineries. Germany (6,534t per day) holds the top position in captive hydrogen production followed by the Netherlands (4,523t per day), Poland (3,741t per day), Spain (2,402t per day), and Italy (2,386t per day). Hydrocarbon reforming technologies are widely installed in on-site/captive generation refineries owing to their production effectiveness.