In this article, Paul Bansil, Director at KBR Consulting International, a company delivering global science, technology and engineering solutions, examines the current state of play and the barriers to adopting hydrogen at scale.
Key environmental considerations
Hydrogen is already used extensively in various industrial applications, notably hydrocarbon refining, and has huge potential in decarbonising hard-to-abate industries. However, when evaluating hydrogen as a fuel source, it is important to consider the broader context. The primary focus should be on enhancing energy efficiency and reducing overall energy consumption in processes.
Direct use of green electricity generated from renewable sources will always be more efficient than hydrogen, as energy losses occur during the conversion of electricity to hydrogen, its transportation, storage, and reconversion back to electricity.
It’s crucial to understand the true environmental impact of the hydrogen being used. While green hydrogen shows promise, it’s still a maturing technology at significant scale. It is produced through electrolysis, where electricity from renewable sources splits water into hydrogen and oxygen.
This process requires significant amounts of renewable electricity and specialised electrolysers, which are currently expensive but becoming more cost-effective as technology advances.
Currently, blue hydrogen – produced from steam methane reforming with carbon capture utilisation and storage (CCUS) – is currently more economically viable. The steam methane reforming process involves reacting natural gas with high-temperature steam to produce hydrogen, carbon monoxide and a small amount of carbon dioxide.
In a subsequent reaction, the carbon monoxide and steam are reacted to produce more hydrogen and carbon dioxide. The CCUS technology then captures and stores the carbon dioxide emissions, significantly reducing the carbon footprint of the process.
However, different countries have varying approaches to the feasibility of CCUS, which impacts the adoption of blue hydrogen. Some view CCUS as a crucial transitional technology, while others are more sceptical about its long-term viability and environmental impact.
The importance of de-risking investments
To make the transition from blue to green hydrogen successful, not only must technology evolve to reduce the levelised cost of hydrogen production, there must also be supportive policies in place.
Different regions have different strengths in hydrogen production. For instance, Scotland can leverage wind power, while Spain and the Middle East can utilise solar energy. This diversity in production capabilities highlights the potential for a global hydrogen industry, provided there is sufficient international co-operation.
International co-operation in green energy projects is already paving the way for future hydrogen collaborations. For example, the EU-India Clean Energy and Climate Partnership promotes access to clean energy technologies and encourages research and development of innovative solutions.
Hydrogen corridors are already forming between different regions, indicating the beginnings of a global hydrogen economy. The European Hydrogen Backbone initiative, for instance, envisions a pan-European hydrogen transport infrastructure, connecting hydrogen valleys across the continent.
However, to unlock this potential fully, policy measures are crucial in de-risking the substantial investments required. The European Union’s Important Projects of Common European Interest (IPCEI) for hydrogen is a prime example of how governments can support large-scale hydrogen projects and mitigate investment risks.
The implementation of the Carbon Border Adjustment Mechanism (CBAM) regulations and the need to report emissions for all imports into the EU will also help in the production of greener goods.
How to build supply and demand simultaneously
The hydrogen industry faces a chicken-and-egg dilemma regarding supply and demand, necessitating simultaneous growth in both areas. One significant challenge is storage, as the supply chain requires substantial storage infrastructure.
Fortunately, professionals with engineering expertise from the oil and gas industry possess highly transferable skills to address practical problems in the hydrogen sector. Innovative hydrogen storage projects are being developed to address this challenge.
Other challenges associated with wider adoption are the high cost and practical difficulties of long-distance hydrogen freight. Although, there is significant experience with hydrogen transported at high pressures via pipelines at regional scale, this solution is not suitable for inter-continental trade at the global scale.
The energy sector is looking into alternative means of transfer, with ammonia, liquid organic hydrocarbon carriers (LOHC), or hydrogen liquefaction, being the most advanced candidates
Converting existing systems from natural gas to hydrogen combustion is not straightforward due to differences in combustion temperatures and flame lengths. However, for industrial power generation, specific hydrogen burners capable of running permanently and efficiently are already available.
Partial decarbonisation through blending hydrogen with natural gas in existing networks is better than no action at all, especially in the short term.
How hydrogen can complement the ‘last mile’ solution
Rather than being a silver bullet, hydrogen’s potential lies in becoming a key component of the energy mix. It’s crucial to remember that green hydrogen is essentially renewable electricity in a different form.
Hydrogen shows great promise as a ‘last mile’ solution, helping to fill the gaps left by the intermittent nature of renewable energy sources.
In the transport sector, hydrogen fuel-cell powered vehicles have significant potential, particularly for heavy-duty applications where battery weight is a limiting factor.
However, the development of a comprehensive refuelling network remains a critical challenge with the investment required to expand this infrastructure one of the most significant barriers to realising hydrogen’s full potential.
In conclusion, while hydrogen holds immense promise as a fuel of the future, its widespread adoption faces several challenges including improving efficiency of the electrolyser system, developing the necessary infrastructure and creating supportive policies to encourage investment.
By addressing these and leveraging the unique strengths of different regions, we can work towards a global hydrogen economy that complements other renewable energy sources and plays a crucial role in achieving net-zero emissions.
As we move forward, it’s essential to maintain a balanced perspective, recognising hydrogen’s potential while also acknowledging its limitations. By doing so, we can ensure that hydrogen takes its rightful place in the future energy landscape, contributing significantly to our global decarbonisation efforts.
Images provided by Getty Images, Paul Bansil
