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Iberdrola Starts First Spanish Hydrogen Plant At Puertollano

Mountain site full of solar panel
Mountain site full of solar panel

Spain's Iberdrola on May 13 commissioned its first green hydrogen plant in Spain, a 20-MW proton exchange membrane electrolyzer, which will support green ammonia production for Fertiberia's 200,000 mt/year Puertollano facility, the company said.

Europe's Largest Green Hydrogen Plant

The plant is Europe’s largest industrial facility of its kind, according to Iberdrola.

The unit will have a production capacity of 3,000 mt of green hydrogen per year and is expected to save 78,000 mt/year of CO2 emissions. The hydrogen previously produced on-site through steam methane reforming will now be generated sustainably using electrolysis.

The electrolyzer is powered by feedstock from a 100-MW solar PV system, which generates a total of 156 GWh/year using bifacial panels and is supported by a 20 MWh lithium-ion battery system.

The PEM (Proton Exchange Membrane) unit was supplied by Norwegian electrolyzer manufacturer Nel from its U.S. factory.

This project is part of a larger plan to deliver 40,000 mt/year of green hydrogen to Fertiberia by 2027, with an investment of Eur1.8 billion ($1.87 billion).

Ammonia production is one of the primary applications where green hydrogen is projected to be cost-competitive, alongside refining. The agreement between Iberdrola and Fertiberia includes the potential scaling of the Puertollano facility and development of a second, larger plant in Huelva.

S&P Global Commodity Insights estimates the cost of producing renewable hydrogen using PEM electrolysis in Europe at Eur12.13–12.07/kg (in the Netherlands, including capital expenditure), based on month-ahead power prices. In comparison, fossil fuel-based hydrogen production stands at Eur5.64/kg, with carbon and capital costs included.

Mrs. Fiona Harrington
Mrs. Fiona Harrington
Wealth Management Specialist
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