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Iberdrola ramps up hydrogen electrolysis projects through partnerships with Nel and Ingeteam

By Mary Page Bailey |

Iberdrola (Bilbao, Spain) and leading electrolyzers manufacturer Nel Hydrogen ASA – through Nel Hydrogen Electrolyser – have combined their capacities to turn Spain into a technological and industrial benchmark in green hydrogen. The companies have signed a Memorandum of Understanding (MoU) to develop and deploy large-scale electrolyzer projects and promote the technology’s supply chain in Spain.

Norwegian company Nel is the world’s largest manufacturer of electrolyzers with business operations in over 80 countries. It is a global company dedicated to hydrogen, offering optimal solutions for producing, storing and distributing hydrogen from renewable energy. Its roots date back to 1927 and its hydrogen solutions cover the entire value chain, from hydrogen production technologies to hydrogen fueling stations. Its shares are listed on the Oslo Stock Exchange.

In addition, and in order to deliver this project, Iberdrola and Basque company Ingeteam have created a new venture under the name of Iberlyzer, set to become Spain’s first integrator of large-scale electrolyzer plants.

The new company will begin operations next year with the aim of integrating more than 200 MW of electrolyzers by 2023. This output (representing over 50% of Spain’s electrolyser capacity target) would be destined for the second project of the Iberdrola-Fertiberia alliance, which will produce green hydrogen for the Palos de la Frontera plant in Spain.

The Ingeteam Group, a global supplier to Iberdrola, specialises in electricity conversion, with operations all over the world and permanent operations in 24 countries, employing more than 4,000 people.

The Iberlyzer industrial project will require close to €100 million investment and will create 150 direct skilled jobs.

Ignacio Galán, Chairman and CEO of Iberdrola, said: “This initiative will accelerate the production of green hydrogen in Spain and will create a new industry, the manufacturing of electrolyser systems, with high growth potential. We continue to make progress in our ambitious plan to put Spain and Europe at the global forefront of this technology by reducing energy dependence and fossil fuel consumption while driving the country’s economic and social revitalisation.”

Jon André Løkke, CEO of Nel, said: “We are honored that Iberdrola wants to work more closely together with us on electrolyser projects in the 100-MW scale and beyond. Just as Iberdrola in the past successfully contributed to developments in the wind industry, they are now doing the same within hydrogen. Getting visibility on significant off-take volumes and working together on the value chain through scale-up will contribute massively to the overall cost reductions.”

Adolfo Rebollo, CEO of Ingeteam, said: “We are proud to participate with Iberdrola in this new and exciting project. From the very beginning we have worked together with Iberdrola in the field of renewable energy, first in wind energy, then in solar photovoltaics and from today, with the creation of Iberlyzer, we are at the forefront of developing the green hydrogen industry.”

Recently, Iberdrola and Fertiberia presented an innovation alliance to develop a four-stage, 800-MW green hydrogen production project at the Fertiberia plants in Puertollano (Ciudad Real) and Palos de la Frontera (Huelva) by 2027. The initiative represents an investment of €1,800 million over the next seven years and could turn Spain into a green-hydrogen industrial leader, and the first country with 100% of its ammonia production for fertilisers being completely green.

The green hydrogen production capacity under this plan would be equivalent to 20% of the national target (4GW installed capacity by 2030) and would ensure that around 25% of the hydrogen currently consumed by Spain would not generate any CO2 emissions. These projects would contribute to the development of the value chain, creating almost 4,000 skilled jobs – 2,000 of them already by 2023 -, through 500 local suppliers.

Being the result of a private-public partnership, the project is born with the same ambition that the Spanish Government has shown in its Green Hydrogen Roadmap and meets the EU recovery funds criteria, essential to the implementation of its last three phases.

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