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Iberdrola, a Spanish energy business, claimed on May 13 that it has started up its first green hydrogen plant in Spain, a 20-MW proton exchange membrane electrolyzer that would create green ammonia for Fertiberia’s 200,000 mt/year Puertollano facility.

According to Iberdrola, the plant is Europe’s largest facility of its sort for industrial usage.

The facility can create 3,000 metric tons of green hydrogen per year, saving 78,000 metric tons of CO2. Previously, hydrogen was generated at the site via steam methane reforming.

The electrolyzer is powered by a 100-MW solar PV system with bifacial panels that generate 156 GWh per year and a 20-MWh lithium-ion battery system.

From its US plant, Norwegian electrolyzer maker Nel supplied the PEM unit.

The plant’s commissioning is the first step in a plan to supply Fertiberia with 40,000 mt of green hydrogen per year by 2027, at a cost of Eur1.8 billion ($1.87 billion).

Aside from refining, ammonia synthesis is regarded as one of the most promising uses for green hydrogen. According to the agreement, the Puertollano facility might be upsized, and a second, larger plant could be built in Huelva.

Based on month-ahead electricity prices, S&P Global Commodity Insights estimated the cost of creating renewable hydrogen by PEM electrolysis in Europe at Eur12.94/kg ($13.49/kg) on May 13 (the Netherlands, including capex). This compares to Eur5.64/kg for hydrogen produced from fossil fuels, which includes carbon and capex.

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Arnes Biogradlija is the founder and Editor in Chief of EnergyNews.biz, which he launched in 2021 to separate energy transition realities from fairy tales. He writes data driven analysis on hydrogen, energy storage, small modular reactors, grids and industrial policy, and leads the Energy Talks interview series. EnergyNews.biz reporting has been cited more than 100 times by the International Energy Agency.

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