Power-to-X in France: Building momentum for low-carbon hydrogen and e-fuels
Hydrogen is gaining strategic importance in France’s green transition, with the country working to shift from fossil-based production to low-carbon alternatives. In 2022, dedicated hydrogen production in France reached nearly 400,000 tonnes, primarily used in refining, industrial heating and as feedstock in the chemical sector. Most of this hydrogen is produced on-site or as a by-product, with only 15 percent entering the market through existing offtake agreements.
Today, fossil-based hydrogen accounts for 94 percent of domestic consumption. To accelerate decarbonisation, the French Government aims to replace at least half of this with low-carbon hydrogen by 2030 – equivalent to around 700,000 tonnes annually. This shift aligns with broader expectations that national hydrogen demand will rise to 1.4 million tonnes per year in the 2030s.
Electrolysis capacity and industrial scaling
To meet growing demand, France targets 4.5 GW of installed electrolysis capacity by 2030, rising to 8 GW by 2035. This capacity is intended primarily for industrial uses, though emerging applications in mobility and electricity production are also part of the roadmap. As of 2024, France has 35 MW of operational electrolysis capacity, with a further 315 MW under development. The supporting industrial base includes 23 manufacturing facilities involved in producing key components such as electrolysers, batteries and hydrogen storage systems.
E-fuels: Supporting hard-to-abate sectors
E-fuels are also on the rise, with nine large-scale projects under development in France – each with a production capacity exceeding 50,000 tonnes per year. These synthetic fuels are expected to play a vital role in decarbonising hard-to-abate sectors such as chemicals, aviation and maritime transport. While they require significant inputs of renewable electricity, water and carbon, the resource needs are considered manageable within France’s energy strategy.
A growing hydrogen economy
Looking ahead, the French hydrogen sector is projected to generate over 65,000 full-time jobs and an annual turnover of €32 billion by 2035. With strong political backing and industrial momentum, France is positioning itself as a key European hub for Power-to-X technologies and green industrial solutions.