Breiter Planet Hydrogen Blog

Tecnalia, Engie and TUe create a startup in Bizkaia to produce green hydrogen on site

Mar 31, 2020 9:15:00 AM / by Pilar Sanchez Molina, pv magazine posted in Products, Energy Efficiency, Electric Vehicles, Investments, Europe, Spain, Green Hydrogen, Technology, Industrial, Research & Development, Hydrogen Production

0 Comments

H2SITE will provide low cost, high purity small and medium scale distributed hydrogen.

Photo: Tecnalia

 

 

Ten years ago, the Tecnalia research and development center and the EIndhoven University of Technology (TUe) began collaborating on European projects around metal deposition technologies, and in 2018 they won the second EARTO Innovation award. A year later, they created a limited company, H2SITE, which French power company Engie has just joined through its corporate venture capital fund, Engie New Ventures.

The new company will be located in Bizkaia and will develop a technology for small and medium-scale distributed hydrogen generation, of high purity and low cost, using advanced membrane reactors. “For the creation of this new company, the strategy developed by Tecnalia in the field of gas separation membranes has been key. This technological excellence is combined with the strategic collaboration established together with the University of Eindhoven, for the development of advanced membrane reactors ”, the company states in a statement.

The project will represent the first investment by Engie New Ventures, one of the largest global funds in the utilities sector, in start-ups in Spain.

The new company has received from the beginning the support of the Provincial Council of Bizkaia, and will have an initial staff of 3 people for the first year of activity. H2SITE will provide low cost, high purity small and medium scale distributed hydrogen for both stationary applications and isolated areas requiring energy and mobility. "H2SITE will facilitate the deployment of 100% green electric mobility, opening up the possibility for on-board systems, within the vehicles themselves, to generate hydrogen," says the company, adding that "as a hydrogen technology platform, H2SITE will be capable of producing hydrogen from various compounds, such as biomethane, ammonia, bioethanol, etc. "

H2SITE will exploit a technology developed by Tecnalia and TUe, based on the intensification of processes, through advanced membrane reactors, maximizing the efficiency of the hydrogen production process and minimizing the necessary resources.

As for its industrial customers, H2SITE will offer a reduction of up to 40% of its current costs associated with the consumption of hydrogen, while reducing environmental impacts and avoiding regulatory and safety problems associated with the storage of hydrogen as it is an spot on demand.

“The main business objective of the startup is to become a state and European benchmark in the generation of green hydrogen and therefore, a relevant lever in the necessary energy transition. To do this, the challenge is to become the main supplier of hydrogen generated in situ for industrial use in stationary applications in prioritized industrial sectors, which are chemical, food, metallurgical, glass and electronics, which together represent a great part of the regional and national GDP ”, the statement ends.

 

Enagás and Ampere Energy recently announced the signing of an agreement for the joint development of several R&D projects for hydrogen production with solar and batteries.

 

This article originally appeared on pv-magazine.es, and has been republished with permission by pv magazine (www.pv-magazine.com and www.pv-magazine.es.

Read More

Hydrogen production coupled to solar and storage to debut in Spain

Mar 24, 2020 9:15:00 AM / by Pilar Sanchez Molina, pv magazine posted in Energy Storage, Installations, Energy Efficiency, Hydrogen, Spain, Highlights, World, Global Warming, Technology, Electrification, Sustainability, Industrial PV, Commercial PV, Analysis, Environmental Impact

0 Comments

The project will be the first hydrogen injection experience in a real gas network in Spain with support for small-scale electrical storage, and will be carried out at the Enagás regasification plant in Cartagena.

Image: Enagás

 

Gas multinational Enagás and Ampere Energy, a Spain-based battery provider, have signed an agreement to begin joint production of hydrogen with solar power and energy stored in batteries.

The two companies will jointly work on several R&D projects to produce renewable hydrogen for self-consumption at the gas plant.

The project they are now planning will be the first hydrogen injection experience into a gas network in Spain, with small-scale storage as a back-up. It will be carried out at the regasification plant that Enagás operates in Cartagena, in the southern province of Murcia.

Ampere Energy has installed its Ampere Energy Square S 6.5 equipment at the Cartagena plant, which will have new storage and intelligent energy management solutions.

The installed equipment will allow Enagás to maximize the energy efficiency of the Cartagena gasification plant and reduce the environmental impact and its electricity bill up to 70%, according to the two companies.

The battery will store energy coming from both the photovoltaic system and the power grid, and will monitor this energy. Through machine learning algorithms and data analysis tools, the system will anticipate the consumption patterns of the plant, predict the available solar resource, and track prices in the electricity market, identifying the moments in which the cost is lower.

“This alliance opens the door to a long-term pact between Ampere Energy and Enagás to undertake joint R&D projects for energy storage and services,” both companies added.

 

If you are interested in learning how Green Hydrogen can work for you, schedule a call with us:

SCHEDULE A CALL WITH US

 

This article originally appeared on pv-magazine-usa.com, and has been republished with permission by pv magazine (www.pv-magazine.com and www.pv-magazine-usa.com).

Read More

Solar-powered hydrogen production in Japan

Mar 17, 2020 9:15:00 AM / by Emiliano Bellini, pv magazine posted in Energy Storage, Markets, Decarbonize, Decarbonization, Asia, Hydrogen, Green Hydrogen, Grids, Integration, Industrial PV, Commercial PV, Japan, Utility Scale Markets

0 Comments

The solar-powered hydrogen facility owned by Toshiba in Namie, Fukushima prefecture, Japan.

Image: Toshiba

 

 

Japanese conglomerate Toshiba Corporation has announced its Fukushima Hydrogen Energy Research Field (FH2R) project, on which construction began in July 2018, is operational.

The solar-powered 10 MW hydrogen plant in Namie town, Fukushima prefecture, is said to be able to produce 1,200 normal cubic meters (Nm3) of hydrogen per hour.

The intermittent nature of solar generation prompted Toshiba to design the facility to be able to adjust to supply and demand in the grid, the company said.

“Hydrogen produced at FH2R will also be used to power stationary hydrogen fuel cell systems and to provide for … mobility devices, fuel-cell cars and buses and more,” Toshiba added. “The most important challenge in the current stage of testing is to use the hydrogen energy management system to achieve the optimal combination of production and storage of hydrogen and power grid supply-demand balancing adjustments without the use of storage batteries.”

Solar power

The plant is being powered by 20 MW of solar generation capacity as well as grid power. The hydrogen generated is being transported in trailers and hydrogen bundles to users elsewhere in the prefecture as well as the Tokyo metropolitan area and other regions.

In early January, Toshiba commissioned the H2One Station Unit, an energy storage system producing hydrogen at the Toyama City Environment Center in Toyama prefecture. According to the company, that kind of installation can be deployed easily and operated by customers such as factories, harbors, airports and bus depots. A similar facility was deployed at the end of December in Tsuruga City, in the Hokuriku region.

Toshiba’s energy system and solutions business began a demonstration of an holistic hydrogen supply chain for electricity generation in May 2018.

The multinational had announced in February 2016 it would place more emphasis on its energy and storage businesses following an accounting scandal which had prompted a restructure and losses of around $6 billion in 2015.

This article was amended on 10/03/20 to reflect the claimed hourly hydrogen production capacity is measured in normal cubic meters rather than newton meters, as previously reported.

 

This article originally appeared on pv-magazine-usa.com, and has been republished with permission by pv magazine (www.pv-magazine.com and www.pv-magazine-usa.com).

Read More

Storage highlights: Areva H2Gen's electrolyzer becomes dynamic and provides control power

Mar 12, 2020 9:30:00 AM / by Cornelia Lichner, pv magazine posted in Germany, France, Europe, Highlights, Technology

0 Comments

Photo: Areva H2Gen

 

In its new environment, the container is unlikely to attract attention. Because pipes, valves and pressure vessels abound in the Höchst industrial park near Frankfurt. There, various companies use hydrogen for their production and chemical processes, and this is where the latest Areva H2Gen product will find its first place. With its contribution to the “MethQuest” research project, the company shows in which direction the development of large-scale PEM electrolysis can go. The specific device has an output of slightly more than one megawatt. The novelty is the overcapacity in the same amount.

 

Introduce the top 5 memory highlights

Together with Messe Düsseldorf, pv magazine produced a special edition in advance of Energy Storage Europe, which will take place in Düsseldorf from March 10th to 13th, and entrusted an independent jury of renowned analysts and industry experts (see below) with the 22 trade fair highlights submitted to rate. First, we present the five best "gigawatt winners" in an article series, then the 5 "megawatt winners".

On the second day of the Energy Storage Europe fair in Düsseldorf, on March 11th from 10:05 am to 11:25 am, the 5 gigawatt winners pitch their concepts and products at the exhibition forum in hall 8b, followed by a discussion with the audience and the jurors . The event is free for visitors to the fair.

There you can also discuss the Areva H2Gen product with Julius Holsten, Project Manager PEM Electrolysis & Hydrogen Infrastructure.

According to the optimistic cost estimate by project manager Lucas Busemeyer, the technology already comes at a hydrogen cost of 3.60 per kilogram, including electricity costs of 5 cents per kilowatt hour. This would place them where decentralized electrolysis will only take in the next five to ten years. However, only with almost full utilization of the device with 8000 hours a year over 20 years. It must therefore be operated with mains electricity.

But since hydrogen from steam reformation is often even cheaper, Areva wants to make its unit fit for marketing on the balancing energy market (FCR) and to cross-finance it with its revenues. In addition, the device then contributes to the integration of renewable energies.

The challenge for this is that the electrolyzer can run at times with twice the output of 2 megawatts, at times with only 250 kilowatts, without damaging it or aging faster. The adaptations of the technology to this highly dynamic driving style are deliberately kept to a minimum, explains Busemeyer. The overcapacity should only increase the investment costs by 20 percent. He expects this premium to pay for itself within three to five years and hopes that the novelty will lower the hydrogen price to around EUR 3.45 per kilogram.

Comments from the judges

Xavier Daval : “The solution can deliver balancing energy and contribute to grid stabilization. Once the energy is converted to hydrogen, it can be used for various applications such as mobility or industry. ”

 

This article originally appeared on pv-magazine-usa.com, and has been republished with permission by pv magazine (www.pv-magazine.com and www.pv-magazine-usa.com)

Read More

Gladstone to run on gas-green hydrogen blend as gigawatt-scale plans take shape

Mar 5, 2020 9:30:00 AM / by Marija Maisch, pv magazine posted in Markets, Finance, Decarbonize, Decarbonization, Hydrogen, Green Hydrogen, Australia, Electrification, Queensland, Electrolysis, Employment

0 Comments

Hydrogen from electrolysis is often described as the missing link in the energy transition.

Image: ARENA

 

 

Gladstone set to become the nation’s green hydrogen hotspot with two new projects seeking to tap the opportunities in the domestic supply of zero-emissions gas and in the emerging export market. Located in central Queensland, Gladstone is set to become the first entire city in the nation to be on a blend of natural gas and hydrogen.

An Australian first $4.2 million gas injection facility will be built in Gladstone to deliver renewable hydrogen into the city’s gas network, thanks to the first grant from the Queensland Government’s $15 million Hydrogen Industry Development Fund. “Using green hydrogen, Australian Gas Networks (AGN) will trial the blended hydrogen gas with a view to converting Gladstone’s network to hydrogen in the future,” Queensland Premier Annastacia Palaszczuk said.

AGN, part of the Australian Gas Infrastructure Group (AGIG), has been offered more than $1.7 million through the fund to build a blending facility to deliver 10% renewable hydrogen into the gas network. Under its $19 million hydrogen strategy, Queensland is looking to assist companies with the purchase of capital equipment as well as industry players looking to carry out feasibility studies.

“This project will be the first in Australia to blend renewable hydrogen into a gas network with residential, commercial and industrial customers,” Minister for State Development Cameron Dick said speaking from the Gladstone Hydrogen Forum on Thursday.

Elsewhere in Australia, Canadian gas giant ATCO started blending renewable hydrogen into the on-site natural gas network at its Clean Energy Innovation Hub in Jandakot, WA. The blend will be used throughout the Jandakot depot as the first step in exploring the potential of hydrogen for home use in gas appliances.

In another initiative for greening the gas network, energy infrastructure company Jemena is looking to generate hydrogen from renewables and inject it into the existing gas network so that homes and businesses in Sydney could begin using the fuel within five years. The $15 million Western Sydney Green Gas Project aims to demonstrate the co-mingling, storage and distribution of hydrogen and natural gas in the existing network which, as Jemena puts it, has the capacity to store the equivalent of 8 million Powerwall batteries.

“This project supports Gladstone’s vision to be a key hub for Queensland’s domestic and hydrogen export industry, just as it is for natural gas today,” AGN’s CEO Ben Wilson said. AGN had formed a partnership with Central Queensland University (CQU) providing access to the blending facility for CQU staff and students to build skills in hydrogen technologies.

Gigawatt plans

Along with the AGN project, Gladstone has also been selected as the location for the Hydrogen Utility’s (H2U) latest project, a proposed $1.61 billion industrial complex for the large-scale production of green hydrogen and ammonia. The H2-HubTM Gladstone facility will be built in stages to integrate up to 3 GW in electrolysis plant, and up to 5,000 tonnes per day ammonia production capacity.

“The integration of mature technologies – such as electrolysis and ammonia synthesis – at industrial scale, powered by 100 per cent renewable power supply, meets the emerging demand for decarbonised products in the energy, chemicals and mobility markets of North Asia,” Attilio Pigneri CEO and Founder of H2U said. He sees Queensland as well-positioned to capitalize on the opportunities from this new industry, in part due to its strong existing trading relationships with Japan.

According to Attilio, Gladstone was an obvious choice for locating industrial-scale green hydrogen and ammonia facilities due to its existing skill base, industrial port eco-system, and strategic location in the Queensland grid. Through the government-run land use planning and property development agency, Economic Development Queensland (EDQ), H2U has purchased a 171-hectare site at Yarwun in the Gladstone State Development Area, which is in close proximity to the export precinct at Fisherman’s Landing.

“The progressive and well-structured planning framework applicable to State Development Areas such as Yarwun, was also a key factor in our selection of the project site,” Pigneri said. “With the land in Gladstone secured under contract the project will now move into master planning and detailed feasibility, targeting approvals by 2023 and first operation in 2025.”

The project could potentially translate into a major bonanza for the city, creating over 100 operational jobs and driving new exports for green hydrogen and ammonia. Ultimately, it could turn Gladstone into the hydrogen export powerhouse on the back of Queensland’s solar, wind and biomass resources, existing gas pipeline infrastructure and developed export infrastructure.

A big step was made last year when Queensland celebrated Australia’s first-ever delivery of green hydrogen to Japan. The fuel was exported by JXTG, Japan’s largest petroleum conglomerate, with hydrogen produced at QUT’s solar cell facility at the Queensland government’s Redlands Research Facility.

Previously, the Queensland government committed $750,000 for a feasibility study into producing hydrogen using solar energy from central Queensland and exporting it to Japan via Gladstone. In a separate initiative, the Australian Renewable Energy Agency (ARENA) announced it was providing $2.9 million in funding to two studies in Queensland looking at the potential to use solar and wind-powered hydrogen produced via electrolysis to increase ammonia production at facilities which currently rely on gas as feedstock.

 

This article originally appeared on pv-magazine-australia.com, and has been republished with permission by pv magazine (www.pv-magazine.com and www.pv-magazine-australia.com )

Read More

Daintree solar to hydrogen microgrid closing on reality

Feb 27, 2020 9:45:00 AM / by Blake Matich, pv magazine posted in Policy, Politics, Energy Storage, Markets, Microgrids, Greenhouse Gas Emissions, Decarbonization, Infrastructure, Climate Change, Hydrogen, Green Hydrogen, Highlights, Australia, Sustainability, Queensland

0 Comments

Image: Warren Entsch MP

 

In May 2019, a federal government grant of $990,150 backed Daintree Renewable Energy Pty Ltd toward a feasibility study that would take the fully renewable solar baseload-power microgrid to ‘shovel ready’ status within 12 months. If what Federal MP Warren Entsch has said is true, construction on the project should be underway in a matter of months. 

“Work commenced in early December 2019,” said Entsch, “and will be finalised in July 2020…The final report will include a complete series of engineering and technical design packages including a detailed energy load profile study, microgrid management design, solar generation and storage analysis and design, electrical and civil work designs and microgrid economic analysis.” 

Because the Daintree is a World Heritage Protected Rainforest there are heavy restrictions on planning and development. Because of this, Entsch has also quashed the rumour that further development in the region was on the cards. The microgrid project is it, and, Entsch assures us, it “is being designed to align with the strict planning regime and accommodate energy requirements for existing population and businesses.” 

The proposed microgrid would reduce the Daintree area’s reliance on diesel dramatically. Currently, the region relies on four million litres of diesel fuel per year to generate power. 

Volt Advisory Group project manager Richard Schoenemann said work on the project was “actually” slightly ahead of schedule. “It will remove the need to burn dirty and inefficient diesel in the Daintree,” said Schoenemann, “allowing customers to have access to a cleaner, more affordable, more reliable source of energy.” 

“But more importantly,” Schonemann stressed, “once the concept is demonstrated and up-and-running it will have enormous potential to improve the power supply and lives of people living in remote communities including throughout the Torres Strait.” 

Like many remote island communities, Torres Strait Islanders would greatly benefit from the sustainable renewable energy supplied by solar based microgrids.

The federal government grant forms part of its $50.4 million Regional and Remote Communities Reliability Fund, part of the Morrison Government’s $2 billion Climate Solutions Fund. You may remember the Climate Solutions Fund as the pitiful federal effort toward the nation’s Paris targets that was supposed to be a 10-year investment plan but has already been pushed to 15 years, cutting the investment by 30%.  

Under the scheme, the Coalition government plans to support exploratory work for up to 50 off-grid and fringe-of-grid feasibility studies, and take proposals like the Daintree region project to the investment stage.

Read More

Horizon Power looks at green hydrogen for WA coastal town of Denham

Feb 20, 2020 9:15:00 AM / by Marija Maisch, pv magazine posted in Community, Energy Storage, Installations, Australia, Grids, Integration, Technology, Western Australia, Sustainability

0 Comments

The Denham hydrogen plant will be powered by solar.

Image: Horizon Power

 

The coastal town on Denham could be on the way to become zero emissions thanks to a green hydrogen demonstration project proposed by WA’s regional utility Horizon Power. The hydrogen plant powered by solar energy will supplement existing wind turbines, which already produce 60% of the town’s electricity.

Located in the Shark Bay World Heritage Area, Denham’s existing power supply is a combination of a Horizon Power owned and operated diesel facility, and a Synergy wind farm. Both assets are aging and in need of replacement.

Horizon Power has sought expressions of interest from companies for the supply of the hydrogen electrolyser and fuel cell and to design and construct of the plant. It is also looking at state and federal funding for the trial, while supporting the State Government’s Renewable Hydrogen Strategy by investigating the possibility of demonstrating the use of hydrogen as a future source of energy for the town.

“As part of our commitment to deliver cleaner, greener energy to our regional customers, we want to investigate the potential to develop a hydrogen demonstration plant to test the suitability and capability of hydrogen as a renewable energy source for electricity generation in the future,” Horizon Power Chief Executive Officer Stephanie Unwin said.

If the project is determined to be viable, construction would begin in February 2021. “Proving the reliability of such a hydrogen plant provides the opportunity to expand the plant to supply the full power requirements for the town in the future,” Urwin added.

Last year, the WA Government launched a strategy to set course for the state’s renewable hydrogen future with a focus on four strategic investment areas: export, use of renewable hydrogen in remote applications, blending in the gas network and use in transport. To support projects on ground, the authority last month opened a $10 million Renewable Hydrogen Fund and made cash available to feasibility studies, demonstration or capital works projects, to facilitate private investment.

Last week, the state government set aside $1.68 million in funding from the Renewable Hydrogen Fund toward the support of seven renewable hydrogen feasibility studies, including an electrolysis production plant and solar hydrogen for waste collection.

“Western Australia needs to explore how we can produce, use and provide energy to our international partners through clean and reliable sources – renewable energy via hydrogen provides a means to do this,” Regional Development Minister Alannah MacTiernan said. She noted the government received 19 feasibility study applications of which it chose seven, which confirmed the strong interest of developing a renewable hydrogen industry in WA.

On the ground, Canadian gas giant ATCO is already blending renewable hydrogen into the on-site natural gas network at its solar and battery hydrogen innovation hub in WA. The blend will be used throughout the Jandakot depot as the first step in exploring the potential of hydrogen for home use in gas appliances.

Last year, a massive green hydrogen production project was unveiled for Western Australia with Siemens on board as technology partner. The project proposed by Hydrogen Renewables Australia (HRA) aims to produce green hydrogen for local industry and export to Asia from up to 5,000 MW of combined wind and solar capacity.

 

This article originally appeared on pv-magazine-australia.com , and has been republished with permission by pv magazine (www.pv-magazine.com and www.pv-magazine-australia.com ).

Read More

Germany, the Netherlands and North Rhine-Westphalia are investigating possibilities for the large-scale production of green hydrogen

Feb 10, 2020 9:00:00 AM / by Ralph Diermann, pv magazine posted in Politics, Germany, Netherlands, Hydrogen

0 Comments

 

The study is also intended to investigate the legal framework necessary for the industrial use of green hydrogen.

Photo: Nel Hydrogen

 
 

Germany, the Netherlands and North Rhine-Westphalia have commissioned a feasibility study on the creation of a transnational value chain for green hydrogen from the North Sea to industrial clusters in the border area of ​​the Netherlands and North Rhine-Westphalia. The study is scheduled to be released later this year.

Specifically, experts from the project management organizations - on the German side this is Forschungszentrum Jülich and an institution to be named, on the Dutch side the national organization for applied natural science research TNO - have been commissioned to develop possible business cases for the production of green hydrogen by using a Dutch one -to examine German production and transport infrastructure for hydrogen.

In addition, they are intended to probe the interest of industry in green hydrogen and potential areas of application, and to present the existing legal framework in connection with the production, transport, trading and use of green hydrogen. In addition, they are commissioned to analyze which legal framework conditions have to be created in order to be able to create transnational business cases for green hydrogen.

Draft National Hydrogen Strategy

In the meantime, the central contents of the National Hydrogen Strategy by Federal Minister of Economics Peter Altmaier (CDU) have become known. The federal government actually wanted to present the strategy by the end of last year. The minister's draft is now in the departmental vote.

As the "Spiegel" reports as the first medium , the strategy envisages that by 2030 a total of 20 percent of the hydrogen consumed in this country should be "green" - i.e. generated by electrolysis with solar or wind power. To this end, the Federal Government wants to promote the installation of electrolysers with an output of three to five gigawatts.

Investments in the infrastructure for the distribution of hydrogen are also to be supported. A particular focus will be on expanding the network of filling stations and on supplying industry. Research into the production and use of the energy source should also be promoted more strongly. The draft strategy assumes that Germany cannot meet the demand for climate-friendly hydrogen on its own. Therefore, the Federal Republic should enter into energy partnerships, especially with African countries.

The summary of the "Spiegel" allows the conclusion that the Federal Ministry of Economics is now completely on green hydrogen. In November Altmaier, together with three ministerial colleagues, published a contribution to the discussion on the National Hydrogen Strategy, which emphasized the importance of "CO2-free" hydrogen for the energy transition. The ministers subsumed “CO2-free” in addition to those from green electricity electrolysis, but also hydrogen from natural gas in combination with CCS technologies - so-called blue hydrogen. According to the four ministers, the energy turnaround requires “CO2-free hydrogen in the full range of its possibilities in the medium to long term”.

 

This article originally appeared on pv-magazine-de.com, and has been republished with permission by pv magazine (www.pv-magazine.com and www.pv-magazine-de.com).

Read More

Green hydrogen costs projected to decrease by up to 60% by 2030

Feb 4, 2020 9:00:00 AM / by Marija Maisch, pv magazine posted in Energy Storage, Markets, Decarbonize, Decarbonization, Climate Change, Hydrogen, Green Hydrogen, World, utility scale storage, Australia, Technology

0 Comments

Green hydrogen can be produced through electrolysis from any low-cost energy source.

Image: Siemens

 

Hydrogen cost competitiveness is closer than previously thought and scaling up existing hydrogen technologies will deliver competitive low-carbon solutions across a wide range of applications by 2030, finds a new report published by Hydrogen Council. Yet, to reach this scale, there is a need for investment, policy alignment, and demand creation.

As scale-up of hydrogen production, distribution, as well as of equipment and component manufacturing continues, cost is projected to decrease by up to 50% by 2030 for a wide range of applications, making hydrogen competitive with other low-carbon alternatives and, in some cases, even conventional option, finds the report prepared by global consultancy McKinsey. To deliver on this opportunity, supporting policies will be required in key geographies, including Australia, together with investment support of around US$70 billion.

“Based on real cost data from the industry, the analysis shows that a number of hydrogen solutions can become competitive until 2030 already.” says Bernd Heid, Senior Partner at McKinsey & Company. “Out of 35 use cases analysed, at-scale hydrogen can be the lowest cost low-carbon solution in 22 use cases – such as in the steel industry and heating for existing buildings. And it can beat fossil-based solutions at scale in 9 use cases – for example in heavy-duty transport and trains.”

2030 promise

Strong fall in the cost of producing low carbon and renewable hydrogen is one of the main drivers of this cost trajectory and hydrogen produced via electrolysis is identified as one of the areas where investment until 2030 would make the biggest difference. According to the report, achieving competitive renewable hydrogen from electrolysis will require the deployment of aggregated 70 GW of electrolyzer capacity, with an implied cumulative funding gap with grey production of $US20 billion.

In an earlier analysis, Wood Mackenzie also identified 2030 as the year when green hydrogen, produced primarily by solar electrolysis, would reach cost parity. According to the consultancy, renewables hydrogen could reach parity in Australia, Germany, and Japan by 2030, based on US$30/MWh renewable electricity and 50% utilization hours for electrolyzers.

In production, the cost of low-carbon and/or renewable hydrogen production will fall drastically by up to 60% over the coming decade, the Hydrogen Council report states. This can be attributed to the falling costs of renewable electricity generation, scaling up of electrolyzer manufacturing, and the development of lower-cost carbon storage facilities. Although it identified the same drivers behind falling costs, the International Energy Agency (IEA) was more conservative in its forecast. Its earlier analysis showed that the cost of producing hydrogen from renewable electricity could fall around 30% by 2030.

“2020 marks the beginning of a new era for energy: as the potential for hydrogen to become part of our global energy system becomes a reality, we can expect fewer emissions and improved security and flexibility. This announces the decade of hydrogen,” said Benoît Potier, Chairman and CEO of Air Liquide and Co-chair of the Hydrogen Council. “A clean energy future with hydrogen is closer than we think, because the industry has been working hard on addressing key technology challenges.”

While often touted as the missing link in the energy transition, hydrogen has seen false dawns before. Declaring 2019 a critical year for hydrogen, the IEA said hydrogen was enjoying unprecedented momentum around the world. This was corroborated by the emergence of hydrogen roadmaps and strategies from around the world, which all suggested a large scale and rapid deployment of hydrogen technologies is expected from around 2030 onwards.

In Australia, state and federal energy ministers have given a tick of approval to the National Hydrogen Strategy prepared by chief scientist Alan Finkel and voiced support for a $370 million fund for green hydrogen projects. However, against high expectations of the country’s hydrogen export potential, The Australia Institute’s analysis has suggested that Australia has overhyped the potential demand for hydrogen exports by a factor of up to 11.

Read More

Australia’s National Hydrogen Strategy adopted, funds for new projects allocated

Jan 28, 2020 8:35:00 AM / by Marija Maisch, pv magazine posted in Policy, Markets, Utility-Scale PV, Installations, Decarbonize, Fossil Fuels, Coal, Decarbonization, Hydrogen, Green Hydrogen, Highlights, World, utility scale storage, Australia, Grids, Integration, Technology

0 Comments

 

At the Friday meeting in Perth, the COAG Energy Council agreed to the National Hydrogen Strategy, which is expected to pave the way for a hydrogen economy that would enhance Australia’s energy security, create jobs and build an export industry valued in billions. The federal government used the meeting to announce $370 million would be directed to a new fund aimed at developing Australia’s hydrogen industry.

The money to bankroll green hydrogen projects will come from existing allocations to the Clean Energy Finance Corporation (CEFC) and Australian Renewable Energy Agency (ARENA), with the former tipping in $300 million and the latter $70 million. According to Energy Minister Angus Taylor, the funding will help Australia to realise its potential as a leading hydrogen supplier to key export markets, particularly in Asia.

Despite positive aspects, the National Hydrogen Strategy remains “technology-neutral”, with both hydrogen produced using renewable energy and the one via fossil fuels with “substantial” carbon capture and storage (CCS) in the game. Throughout the consultation process, Australia’s Chief Scientist Alan Finkel continued to push Australia toward hydrogen produced by solar and wind, but also remained attached to the fossil fuel-CSS idea. The stance was reflected in the Strategy itself.

Notwithstanding the efforts by ACT Energy Minister Shane Rattenbury on Friday to change the strategy so it only supported green hydrogen, federal resources minister Matt Canavan said after the meeting the government would be encouraging all forms of hydrogen creation, including production using brown coal.

“We have a really challenging task to bring down the costs of supplying hydrogen to the world,” he said. “Getting all of those costs down means trying different things at the moment and it’s not the time to foreclose different ways of producing hydrogen which would limit our ability to reduce those costs in the supply chain.”

However, the good news is that the Strategy also envisaged the development of a hydrogen certification scheme that will show the emissions intensity of hydrogen produced in Australia. With such transparency, prospective importers will be aware of the environmental impacts of the hydrogen they use. And Australia expects to have many trading partners, particularly in Asia, including China, South Korea, Japan and Singapore, which are already looking to develop hydrogen economies.

As established in previous studies, capitalising on the growing demand for hydrogen could result in an export industry worth $1.7 billion by 2030, and could provide 2,800 jobs, most likely regional ones. On top of this, two international reports have confirmed Australia’s potential as a future major hydrogen supplier. The World Energy Council identified Australia as a ‘giant with potential to become a world key player’, while the International Energy Agency projected that Australia could easily produce 100 million tonnes of oil equivalent of hydrogen, which could replace 3% of global gas consumption today.

Overhigh expectations?

However, a report by The Australia Institute (TAI) released in the run-up to the COAG meeting found the projected demand for hydrogen had been overstated. The think-tank argued the hydrogen export projections from consulting firm ACIL Allen, which the government is referring to, were 11 times higher than Japan’s official target, noting that even the low demand projection is two and half times the official target. The projections for South Korea are similarly high by comparison with government plans.

“Prematurely establishing a hydrogen export industry based on highly inflated demand figures may lock out the cleanest form of hydrogen, using renewable energy and electrolysis, because the technology isn’t cost competitive at this stage,” said Richie Merzian, Climate & Energy Program Director at TAI.“If hydrogen development is rushed in Australia it could see fossil fuels locked in as a global energy source for decades to come. The emissions will make it impossible to comply with Australia’s obligations under the Paris Agreement.”

According to a recent analysis from Wood Mackenzie, green hydrogen, produced primarily by solar electrolysis, will reach cost parity in Australia by 2030 based on US$30/MWh renewable electricity and 50% utilisation hours for electrolysers. But, the Hydrogen Strategy sets a vision for Australia to already become a major global player by that point. Meanwhile, CCS continues to be a costly option in Australia and across the world and often just an excuse to avoid taxing carbon and pull support from renewable energy technologies.

“A decade ago the fossil fuel industry promoted clean coal using CCS and now it is promoting hydrogen using the same unsuccessful technology. CCS projects have repeatedly failed to live up to promises, both domestically and globally, and missed their targets by a very large margin time and time again,” Merzanin said. “The only way to make hydrogen truly sustainable is to produce it using water and powered by renewable energy sources. Australia has time to establish and lead a global renewable hydrogen industry and should focus research and development efforts in that area exclusively.”

 

This article originally appeared on pv-magazine-australia.com and has been republished with permission by pv magazine (www.pv-magazine.com and www.pv-magazine-australia.com

Read More

Lists by Topic

see all

Posts by Topic

See all

Recent Posts