Finnish technology group Wärtsilä has joined a new multi-sectoral consortium, MatH2, established to address materials technology barriers that are hampering the wider adoption of hydrogen as an energy carrier.

The alliance, led by VTT Technical Research Centre of Finland Ltd and co-funded by Business Finland, brings together ten industry and research partners spanning the hydrogen value chain. Members include materials suppliers, component manufacturers and technology providers, alongside end-use industries. Industry participants include EOS, Neste, Nordic Tank, Teknos, SSAB, Bumax and SP Stainless, with VTT and the University of Oulu serving as research partners.

MatH2 has been established under WISE — Wide and Intelligent Sustainable Energy, a Business Finland co-funded collaboration led by Wärtsilä that aims to develop zero-emission balancing power.

According to Wärtsilä, widespread adoption of hydrogen is currently hampered by storage, transport and infrastructure challenges, stemming from hydrogen’s low energy density and its effects on metals. Hydrogen embrittlement and corrosion can degrade materials over time, and the reliability of components such as welds must be assured while keeping costs competitive. The consortium considers these challenges to represent the most pressing obstacle facing the hydrogen economy today.

The global hydrogen market reached 97 million tonnes in 2023, according to figures cited by Wärtsilä, but scaling the fuel cost-competitively has proved difficult without a validated portfolio of hydrogen-compatible materials.

MatH2 aims to create what is described as an industry-driven ecosystem to deliver hydrogen-compatible materials and technologies, with the goal of enabling hydrogen-ready engines, pipeline reactors and fuel processing systems. The collaborators aim to offer components with enhanced durability and lower degradation under hydrogen service conditions.

Rasmus Teir, Director, Technology Strategy & Decarbonisation at Wärtsilä, stated: "Scaling hydrogen cost efficiently is one of the defining energy challenges for the energy transition — one that cannot be achieved in isolation. By bringing together the entire hydrogen value chain, we are bridging the gap between research and industry to overcome the barriers preventing the growth of hydrogen across Europe and globally. Doing so will accelerate deployment, while enabling hydrogen to become a safe, affordable and scalable fuel that will accelerate the world’s energy transition toward a net-zero future."

MatH2 is said to be well positioned to leverage Finland’s access to low-cost, carbon-free electricity and biogenic carbon dioxide for hydrogen-derivative production, as well as the country’s electrical grid infrastructure. According to Wärtsilä, Finland’s hydrogen economy could contribute up to €34 billion annually to national GDP by 2035 and generate more than 60,000 jobs, while also contributing to the European Union’s target of 20 million tonnes per year of renewable hydrogen supply by 2030.

Earlier in June, Wärtsilä announced that it had begun validation of a 100% hydrogen engine at a facility in Bermeo, northern Spain, to power Spain’s national electricity grid — described by the company as the world’s first demonstration of a large-scale, 100% hydrogen engine operating in real grid conditions.