As a potential landmark development in the battle against climate change, Ohmium, a company based in Silicon Valley, announced on Wednesday that it has secured $250 million in funding to boost the production of devices capable of generating clean hydrogen as an alternative to fossil fuels.
Experts in climate change have suggested that utilizing hydrogen as a fuel could replace the burning of coal, oil, or gas in processes such as steel or cement production, without contributing to climate change. While this concept has primarily been theoretical, real-world applications are beginning to emerge.
Mark Viehman, a specialist in hydrogen and clean fuels at consulting firm Capgemini, labeled the $250 million funding as “highly remarkable” and mentioned that their recent research revealed 64% of energy and utility firms intend to invest in low-carbon hydrogen initiatives by 2030.
Ohmium’s primary focus is on manufacturing electrolyzers, the equipment responsible for separating water into hydrogen and oxygen components.
CEO Arne Ballantine stated that the company will utilize the $250 million to expand its facility in Chikkaballapur
According to the International Energy Agency, global hydrogen demand amounted to 94 million tons in 2021. To reach net-zero emissions by 2050, approximately 200 million tons will be required by 2030. Currently, there are around two dozen key electrolyzer manufacturers.
Electrolyzers generate clean hydrogen when they source electricity from a grid powered by renewable energy, like wind and solar. Ballantine noted that Ohmium’s clients are entirely dedicated to employing this approach.