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Plug Power and Brookfield Renewable to Build Green Hydrogen Plant

By Matthew DiLallo - Updated Mar 30, 2021 at 10:31AM

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The two renewable energy companies are teaming up on a key project.

Leading hydrogen solutions provider Plug Power (PLUG 14.00%) today announced plans to build a green hydrogen production plant in Pennsylvania. The company will source 100% of the renewable energy to power the plant from Brookfield Renewable (BEP 3.25%)(BEPC 3.72%), which operates one of the world's largest renewable energy platforms. Brookfield will supply power to this facility from its Holtwood hydroelectric plant in Pennsylvania. 

Green hydrogen from the facility will help support the decarbonization of the broader transportation and logistics industries in the Northeast and the mid-Atlantic regions. Plug Power expects the plant to come on line by the end of next year. It will have the capacity to produce 15 metric tons of emissions-free liquid hydrogen per day. It will be one of the first industrial-scale green hydrogen facilities in North America. The plant is a significant milestone in Plug Power's goal to establish the first North American green hydrogen network. The company aims to produce more than 500 tons of hydrogen per day by 2025.

Solar panels, wind turbines, and fuel sells on green grass with a blue sky in the background.

Image source: Getty Images.

Green hydrogen could be a significant growth driver for Plug Power and Brookfield Renewable in the future. Bloomberg New Energy Finance estimates that hydrogen has the potential to provide up to 24% of the world's energy needs, and could reach $10 trillion in annual revenue by 2050. Plug Power has started making inroads in this emerging industry by building this plant and one in New York, which will complement an existing facility in Tennessee.

Meanwhile, producers like Brookfield will be crucial partners in supporting these projects by providing them with low-cost renewable energy. In addition to its partnership with Plug Power, Brookfield Renewable is also working with Canadian energy infrastructure giant Enbridge (ENB 0.69%) on a green hydrogen project in Quebec. 

 

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Stocks Mentioned

Plug Power Inc. Stock Quote
Plug Power Inc.
PLUG
$16.53 (14.00%) $2.03
Enbridge Inc. Stock Quote
Enbridge Inc.
ENB
$44.89 (0.69%) $0.31
Brookfield Renewable Partners L.P. Stock Quote
Brookfield Renewable Partners L.P.
BEP
$34.66 (3.25%) $1.09
Brookfield Renewable Corporation Inc. Stock Quote
Brookfield Renewable Corporation Inc.
BEPC
$35.45 (3.72%) $1.27

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

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