Estonian hydrogen tech company Elcogen has made headlines by securing a whopping €140 million in its latest funding round, signaling a major boost for the green hydrogen production sector. This funding round saw American company Baker Hughes join Elcogen as a strategic investor, with a focus on advancing solid oxide technology.
Elcogen’s solid oxide technology-based factory is set to be constructed near the Iru power station, in Loovälja, near Maardu. The company aims to cater to the demands of markets in South Korea, Japan, China, and Europe within the next year. Elcogen CEO Enn Õunpuu emphasized the importance of transitioning from fossil fuel-based hydrogen production to green hydrogen, which is generated through electrolysis using green electricity.
Elcogen’s energy conversion processors are not directly sold to end consumers but are instead supplied to companies that integrate the technology into their own devices. The company plans to ramp up production volume to around 360 megawatts per year by 2026 or 2027, with profitability expected to follow suit.
State-owned generator Eesti Energia is also delving into hydrogen technology projects, eyeing opportunities in the chemical industry and electricity production. The company is exploring the use of hydrogen in a combined heat and power plant in Ida-Viru County, with plans for potential operation by 2028.
The push towards green hydrogen also necessitates infrastructure development, such as hydrogen pipelines. Eesti Energia and Elcogen are leveraging grants to drive their initiatives forward, with a focus on making green hydrogen projects economically viable. The future of hydrogen technology looks promising, with a concerted effort to enhance electrolyzer technology and reduce electricity costs for sustainable production.