A quiet revolution is gaining momentum in the world of energy, and it’s called Power-to-X technologies. While still emerging, this suite of innovations is already reshaping how energy is stored, used, and decarbonized.
At ASEA, we’re staying close to these developments, making sure we understand the potential of Power-to-X technologies so our clients can make informed decisions and stay ahead of the curve. Here’s what P2X means, why it matters, and how it could affect nearly every part of the energy value chain.
What is P2X?
Power-to-X (P2X) refers to a suite of technologies that convert surplus renewable electricity into other forms of energy or products, such as hydrogen, synthetic fuels, or chemicals. The “X” can stand for power-to-gas, power-to-liquid, power-to-heat, or even power-to-chemicals.
The core idea? Use excess green electricity, often from wind or solar, to create usable, storable, and transportable forms of energy. It’s a flexible solution that helps balance energy systems while supporting decarbonization.
The term Power-to-X (PtX) covers a number of technologies, where some can produce hydrogen by use of electricity. The term Power-to-X is mainly used in Denmark, while green hydrogen or electro fuels (‘e-fuels’) are more common terms abroad.
Both terms describe the process of converting electricity and water into hydrogen through electrolysis. The hydrogen can subsequently be used directly as fuel for road transport or industrial purposes, or it can be further converted into other fuels, chemicals and materials.
Hydrogen can be converted into ammonia by use of nitrogen from the atmosphere, or into methanol or jet fuel by use of CO2. This CO2 can be provided from biogas plants or be collected from cogeneration plants, incinerators or the industry. It can then be used for PtX (Carbon Capture and Utilization (CCU)), or be deposited underground (Carbon Capture and Storage (CCS)).
A key driver for climate goals
The PtX is an essential part of achieving the Government’s reduction goals, and in particular in relation to the climate neutrality goals. PtX fuels can be used to promote the green transition of the transport sector, especially within aviation, shipping, heavy transport, agriculture, the industry etc.
Industries like agriculture and shipping traditionally rely on fossil resources because of their need for fertilizer and fuel. To succeed with the green transition, we need large-scale production of green alternatives for both.
Several companies are ready with technology and expertise across the entire PtX value chain. Furthermore, many countries has large resources within renewable energy. Green hydrogen and PtX are of increasing interest throughout Europe, and large markets are expected to emerge towards 2030 and 2050.
Why Power-to-X Technologies are gaining momentum
As renewable energy generation soars, the challenge is no longer just creating clean power, it’s managing and storing it. What happens when there’s more power than the grid can handle? That’s where P2X comes in.
Rather than wasting surplus wind or solar energy, P2X enables it to be transformed into hydrogen or synthetic fuels, creating a closed-loop system that supports energy security, price stability, and emissions reduction.
P2X can transform surplus electricity into other valuable forms, it helps:
Reduce energy waste
Support grid stability
Unlock low-carbon fuel options for sectors that can’t easily electrify (like aviation, shipping, or heavy industry)
This flexibility is one reason why Power-to-X technologies are becoming central to long-term climate and energy strategies worldwide.
The impact of Power-to-X Technologies on the energy landscape
The ripple effects of P2X could be wide-reaching:
- For energy producers: P2X opens the door to new value streams from surplus power and helps address curtailment challenges.
- For industrial users: Synthetic fuels and green hydrogen offer cleaner alternatives to traditional fossil-based inputs.
- For infrastructure: Energy storage, distribution, and demand systems may need to evolve to support P2X integration.
- For policy and regulation: Governments are beginning to develop roadmaps and incentives to encourage early adoption.
With large-scale plants powered by wind and solar, surplus electricity can be converted into fuels and materials that support more sustainable transport, shipping, and farming, helping close the gap between clean energy supply and real-world industrial demand. Understanding this shift is essential because it’s already shaping the next chapter in energy transition.
What does this mean for businesses and communities
The implications of P2X go far beyond the energy sector:
Cleaner transportation: Hydrogen and e-fuels can decarbonize long-haul trucking, shipping, and aviation.
Energy access: Distributed P2X systems can provide reliable, off-grid energy solutions in remote regions.
Lower carbon footprints: Green chemicals and fuels produced via P2X will be central to meeting national and global emissions targets.
One promising example is ammonia, which can serve both as green fuel and fertilizer. With just water, electricity, and renewable energy, P2X technologies can produce ammonia through electrolysis, offering a practical solution for cleaner supply chains in agriculture and beyond.
In short, P2X is key to a cleaner, more resilient energy future for businesses and consumers alike.
While P2X is still developing, its future role looks increasingly important. As costs fall and policy frameworks mature, businesses may find opportunities to:
- Improve sustainability performance
- Enhance energy security
- Participate in new green value chains
For communities, the broader benefits could include cleaner air, more stable energy systems, and progress toward climate targets.
The time to act is now
Power-to-X technologies represent more than just technical innovation, they’re a symbol of where energy systems are heading. As the global energy transition accelerates, understanding and preparing for technologies like P2X will be key to building resilient, future-ready strategies.
We’re staying ahead so you can too.
How ASEA is staying ahead
At ASEA, we’re committed to tracking innovations like P2X that have the potential to reshape the energy landscape. We’re not just watching trends we’re analyzing them, asking critical questions, and helping our clients navigate the implications.
Our goal is simple: to ensure our clients stay well-informed and strategically positioned as technologies like P2X move from concept to commercial reality.
Want to explore how Power-to-X technologies could impact your business or strategy?
Let’s talk. We’re here to dive deeper, answer your questions, and help you navigate what’s next in the energy transition.