May 9, 2025
Statkraft has stopped the development of new green hydrogen projects.
State-owned renewable energy producer Statkraft announced today that it will not pursue any new global green hydrogen projects but will focus on advancing its current mature portfolio in the UK and seek investors for those initiatives.
The company did not specify why it made this decision in its press release. “We will continue to develop our existing UK hydrogen projects, where there has been considerable support from both the UK and Scottish governments, and will look for investors to move them into construction and operation,” stated Kevin O’Donovan, Statkraft’s UK Managing Director. He emphasized the company's commitment to maintaining its involvement in other technologies and services, including market and optimization activities.
Hydrogen-related market activities will remain part of Statkraft’s portfolio.
Based in Oslo, Norway, Statkraft has initiated green hydrogen projects in Norway, Sweden, the UK, Germany, the Netherlands, and Italy. Some projects in the UK, including one in Scotland, have received external funding, while others have been shortlisted for potential support in UK government competitions.
Last summer, Statkraft reduced its targets for renewables, battery storage, and green hydrogen as part of a revised strategy to focus capital on its core business. Its green hydrogen target was adjusted from 2 GW by 2030 to 1-2 GW by 2035.
This announcement of stepping back from new projects comes shortly after Statkraft canceled a 40-MW order for alkaline electrolysers with Nel ASA, stating it could not “create a viable commercial model for the project in the current market conditions.”
The company did not specify why it made this decision in its press release. “We will continue to develop our existing UK hydrogen projects, where there has been considerable support from both the UK and Scottish governments, and will look for investors to move them into construction and operation,” stated Kevin O’Donovan, Statkraft’s UK Managing Director. He emphasized the company's commitment to maintaining its involvement in other technologies and services, including market and optimization activities.
Hydrogen-related market activities will remain part of Statkraft’s portfolio.
Based in Oslo, Norway, Statkraft has initiated green hydrogen projects in Norway, Sweden, the UK, Germany, the Netherlands, and Italy. Some projects in the UK, including one in Scotland, have received external funding, while others have been shortlisted for potential support in UK government competitions.
Last summer, Statkraft reduced its targets for renewables, battery storage, and green hydrogen as part of a revised strategy to focus capital on its core business. Its green hydrogen target was adjusted from 2 GW by 2030 to 1-2 GW by 2035.
This announcement of stepping back from new projects comes shortly after Statkraft canceled a 40-MW order for alkaline electrolysers with Nel ASA, stating it could not “create a viable commercial model for the project in the current market conditions.”