Policy & Socio-Economics
Renewable Hydrogen: Modular Concepts from Production over Storage to the Consumer
Jan 2021
Publication
A simulation tool called HYDRA to optimize individual hydrogen infrastructure layouts is presented. The different electrolyzer technologies namely proton exchange membrane electrolysis anion exchange membrane electrolysis alkaline electrolysis and solid oxide electrolysis as well as hydrogen storage possibilities are described in more detail and evaluated. To illustrate the application opportunities of HYDRA three project examples are discussed. The examples include central and decentral applications while taking the usage of hydrogen into account.
A Comprehensive Resilience Assessment Framework for Hydrogen Energy Infrastructure Development
Jun 2023
Publication
In recent years sustainable development has become a challenge for many societies due to natural or other disruptive events which have disrupted economic environmental and energy infrastructure growth. Developing hydrogen energy infrastructure is crucial for sustainable development because of its numerous benefits over conventional energy sources. However the complexity of hydrogen energy infrastructure including production utilization and storage stages requires accounting for potential vulnerabilities. Therefore resilience needs to be considered along with sustainable development. This paper proposes a decision-making framework to evaluate the resilience of hydrogen energy infrastructure by integrating resilience indicators and sustainability contributing factors. A holistic taxonomy of resilience performance is first developed followed by a qualitative resilience assessment framework using a novel Intuitionistic fuzzy Weighted Influence Nonlinear Gauge System (IFWINGS). The results highlighted that Regulation and legislation Government preparation and Crisis response budget are the most critical resilience indicators in the understudy hydrogen energy infrastructure. A comparative case study demonstrates the practicality capability and effectiveness of the proposed approach. The results suggest that the proposed model can be used for resilience assessment in other areas.
The Prospects of Hydrogen in Achieving Net Zero Emissions by 2050: A Critical Review
May 2023
Publication
Hydrogen (H2) usage was 90 metric tonnes (Mt) in 2020 almost entirely for industrial and refining uses and generated almost completely from fossil fuels leading to nearly 900 Mt of carbon dioxide emissions. However there has been significant growth of H2 in recent years. Electrolysers' total capacity which are required to generate H2 from electricity has multiplied in the past years reaching more than 300 MW through 2021. Approximately 350 projects reportedly under construction could push total capacity to 54 GW by the year 2030. Some other 40 projects totalling output of more than 35 GW are in the planning phase. If each of these projects is completed global H2 production from electrolysers could exceed 8 Mt by 2030. It's an opportunity to take advantage of H2S prospects to be a crucial component of a clean safe and cost-effective sustainable future. This paper assesses the situation regarding H2 at the moment and provides recommendations for its potential future advancement. The study reveals that clean H2 is experiencing significant unparalleled commercial and political force with the amount of laws and projects all over the globe growing quickly. The paper concludes that in order to make H2 more widely employed it is crucial to significantly increase innovations and reduce costs. The practical and implementable suggestions provided to industries and governments will allow them to fully capitalise on this growing momentum.
Implications of Hydrogen Import Prices for the German Energy System in a Model-comparison Experiment
Mar 2024
Publication
With its ability to store and transport energy without releasing greenhouse gases hydrogen is considered an important driver for the decarbonisation of energy systems. As future hydrogen import prices from global markets are subject to large uncertainties it is unclear what impact different hydrogen and derivative import prices will have on the future German energy system. To answer that research question this paper explores the impact of three different import price scenarios for hydrogen and its derivatives on the German energy system in a climate-neutral setting for Europe in 2045 using three different energy system models. The analysis shows that the quantities of electricity generated as well as the installed capacities for electricity generation and electrolysis increase as the hydrogen import price rises. However the resulting differences between the import price scenarios vary across the models. The results further indicate that domestic German (and European) hydrogen production is often cost-efficient.
Economic Assessment of Hydrogen Production in a Renewable Energy Community in Italy
Feb 2023
Publication
Renewable Energy Community (REC) is a new paradigm in European Union to produce transform share and sell renewables at a local consumer level also via e-fuel (i.e. hydrogen). This work investigates the economic feasibility of a hydrogen Power-to-Gas (PtG) system realized inside a REC using only excess renewable electricity not consumed by REC itself. A single centralized photovoltaic (PV) plant is directly connected to an electrolyser; a hydrogen compressor and two hydrogen storages at low and high pressure complete the PtG system. A scenario of a REC composed by 450 residential electric users (around 1000 people) has been analysed coupled with described PtG considering eight different sizes of PV plant. In the study Italian subsidies to REC shared energy are evaluated as incentives to hydrogen production. An optimal size of PtG components for each PV size is investigated at the limit of economical sustainability evaluating net present value (NPV) positive and near zero. Results show that for the considered REC it is possible to produce and sell up to around 3 tons per year of green hydrogen at most to the same lowest selling price declared currently in the Italian market (5 €/kg).
Policy Toolbox for Low Carbon and Renewable Hydrogen
Nov 2021
Publication
The report “Policy Toolbox for Low Carbon and Renewable Hydrogen” is based on an assessment of the performance of hydrogen policies in different stages of market maturity and segments of the value chain. 48 policies were shortlisted based on their economic efficiency and effectiveness and mapped to barriers across the value chain and over time. These policies were subsequently clustered into policy packages for three country archetypes: a self-sufficient hydrogen producer an importer and an exporter of hydrogen.
The paper can be found on their website.
The paper can be found on their website.
OIES Podcast - China and Hydrogen: A Tale of Three Cities
Apr 2023
Publication
China is by far the world’s largest producer and consumer of hydrogen mostly from coal and other fossil fuels and the country has an ambitious hydrogen strategy. In this podcast we dive into the provincial strategies on hydrogen in China and specifically discuss a recent paper published by the Institute entitled China’s hydrogen development: A tale of three cities. The paper looks at the experiences and plans of the pilot hydrogen clusters located in Datong Shanxi province Chengdu in Sichuan province and Zhangjiakou in the northern part of Hebei province which surrounds Beijing. In this podcast we are speaking with the paper’s author Arabella Miller-Wang recently an Aramco fellow at the Institute and also a Research Assistant at the Smith School of Enterprise and the Environment of The University of Oxford as well as with Michal Meidan director of the China Energy Programme at OIES and with Martin Lambert who heads hydrogen research at the OIES.
The podcast can be found on their website.
The podcast can be found on their website.
OIES Podcast - The EU Hydrogen and Gas Decarbonisation Package
Mar 2023
Publication
David Ledesma discusses with Alex Barnes the European Commission’s decision to make hydrogen a key part of its decarbonisation strategy. The 2022 REPowerEU Strategy set a target of 20MT consumption of renewable hydrogen by 2030. The Commission is keen to promote a single European market in hydrogen similar to the current one for natural gas. To this end it has published proposals on the regulation of future European hydrogen infrastructure (pipelines storage facilities and import terminals). The EU Council (representing Member States) and the EU Parliament are finalising their amendments to the Commission proposals prior to ‘trilogue’ negotiations and final agreement later this year. The OIES’s paper ‘The EU Hydrogen and Gas Decarbonisation Package: help or hindrance for the development of a European hydrogen market?’ published in March 2023 examines the EU Commission proposals and their suitability for a developing hydrogen market.
The podcast can be found on their website.
The podcast can be found on their website.
The EU Hydrogen and Gas Decarbonisation Package: Help or Hindrance for the Development of a European Hydrogen Market?
Mar 2023
Publication
The European Commission has identified hydrogen as a key part of its decarbonisation strategy. The 2022 REPowerEU Strategy set a target of 20MT consumption of renewable hydrogen by 2030. The Commission is keen to promote a single European market in hydrogen similar to the current one for natural gas. To this end it has published proposals on the regulation of future European hydrogen infrastructure (pipelines storage facilities and import terminals). The European Council (representing Member States) and the European Parliament are finalising their amendments to the Commission proposals prior to ’trilogue’ negotiations and final agreement later this year. The paper ‘The EU Hydrogen and Gas Decarbonisation Package: help or hindrance for the development of a European hydrogen market?’ examines the European Commission proposals and their suitability for a developing hydrogen market.
Research & Innovation to Support Net-zero Industrial Technologies
Mar 2023
Publication
The Green Deal Industrial Plan aims to boost the competitiveness of Europe’s net-zero industry and to accelerate the transition to climate neutrality. The Plan is based on four pillars: (1) a predictable and simplified regulatory environment; (2) faster access to funding; (3) developing skills for net-zero industry; and (4) open trade for resilient supply chains.
Green Hydrogen Potential in Tropical Countries: The Colombian Case
Mar 2023
Publication
Tropical countries can approach their natural resources to produce low-carbon H2 from solar wind hydro and biomass resources to satisfy their domestic demand and to export it. To do so Colombia published the National Hydrogen Roadmap in which green H2 was prioritized. This study estimates Colombia's potential to produce green H2 and a timeline of scenarios displaying the required installed capacity capital investment and environmental analysis related to water utilization and CO2 capture. Accordingly Colombia can produce H2 at a rate of 9 Mt/a by 2050 by installing 121 GW renewables while processing 303 Mt/a of residual biomass. In this scenario Colombia's share of the H2 international market can reach 1.2% with a cumulative investment of over 244 billion USD by 2050. This study provides insights into potential global resources for low-carbon H2 generation.
Evaluating Partners for Renewable Energy Trading: A Multidimensional Framework and Tool
Apr 2024
Publication
The worsening climate crisis has increased the urgency of transitioning energy systems from fossil fuels to renewable sources. However many industrialized countries are struggling to meet their growing demand for renewable energy (RE) through domestic production alone and therefore seek to import additional RE using carriers such as hydrogen ammonia or metals. The pressing question for RE importers is therefore how to select trading partners i.e. RE exporting countries. Recent research has identified a plethora of different selection criteria reflecting the complexity of energy systems and international cooperation. However there is little guidance on how to reduce this complexity to more manageable levels as well as a lack of tools for effective partner evaluation. This article aims to fill these gaps. It proposes a new multidimensional framework for evaluating and comparing potential RE trading partners based on four dimensions: economy and technology environment and development regulation and governance and innovation and cooperation. Focusing on Germany as an RE importer an exploratory factor analysis is used to identify a consolidated set of composite selection criteria across these dimensions. The results suggest that Germany’s neighboring developed countries and current net energy exporters such as Canada and Australia are among the most attractive RE trading partners for Germany. A dashboard tool has been developed to provide the framework and composite criteria including adjustable weights to reflect the varying preferences of decision-makers and stakeholders. The framework and the dashboard can provide helpful guidance and transparency for partner selection processes facilitating the creation of RE trade networks that are essential for a successful energy transition.
The Hydrogen Storage Challenge: Does Storage Method and Size Affect the Cost and Operational Flexbility of Hydrogen Supply Chains?
Jun 2023
Publication
Hydrogen is seen as a key energy vector in future energy systems due to its ability to be stored in large volumes for long periods providing energy flexibility and security. Despite the importance of storage in hydrogen's potential role in a zero-carbon energy system many techno-economic analyses fail to adequately model different storage methods in hydrogen supply chains often ignoring storage requirements altogether. Therefore this paper uses a data-driven techno-economic analysis (TEA) tool to examine the effect of storage size and cost on three different 2030 hydrogen supply chain scenarios: wind-based solar-based and mixed-source grid electrolysis. For varying storage sizes and specific capital costs the overall levelised cost of hydrogen (LCOH) including production storage and delivery to a constant demand varies significantly. The LCOH ranges from V3.90 e12.40/kgH2 V5.50e12.75/kgH2 and V2.80e15.65/kgH2 for the wind-based solar-based and mixed-source grid scenarios respectively with lower values for scenarios with low-cost storage. This highlights the critical role of low-cost hydrogen storage in realising the energy flexibility and security electrolytic hydrogen can provide.
An Analysis of Renewable Energy Sources for Developing a Sustainable and Low-Carbon Hydrogen Economy in China
Apr 2023
Publication
A significant effort is required to reduce China’s dependency on fossil fuels while also supporting worldwide efforts to reduce climate change and develop hydrogen energy systems. A hydrogen economy must include renewable energy sources (RESs) which can offer a clean and sustainable energy source for producing hydrogen. This study uses an integrated fuzzy AHP–fuzzy TOPSIS method to evaluate and rank renewable energy sources for developing a hydrogen economy in China. This is a novel approach because it can capture the uncertainty and vagueness in the decision-making process and provide a comprehensive and robust evaluation of the alternatives. Moreover it considers multiple criteria and sub-criteria that reflect the environmental economic technical social and political aspects of RESs from the perspective of a hydrogen economy. This study identified five major criteria fifteen sub-criteria and six RES alternatives for hydrogen production. This integrated approach uses fuzzy AHP to evaluate and rank the criteria and sub-criteria and fuzzy TOPSIS to identify the most suitable and feasible RES. The results show that environmental economic and technical criteria are the most important criteria. Solar wind and hydropower are the top three RES alternatives that are most suitable and feasible. Furthermore biomass geo-thermal and tidal energy were ranked lower which might be due to the limitations and challenges in their adoption and performance in the context of the criteria and sub-criteria used for the analysis. This study’s findings add to the literature on guidelines to strategize for renewable energy adoption for the hydrogen economy in China.
The Economics and the Environmental Benignity of Different Colors of Hydrogen
Feb 2022
Publication
Due to the increasing greenhouse gas emissions as well as due to the rapidly increasing use of renewable energy sources in the electricity generation over the last years interest in hydrogen is rising again. Hydrogen can be used as a storage for renewable energy balancing the whole energy systems and contributing to the decarbonization of the energy system especially of the industry and the transport sector. The major objective of this paper is to discuss various ways of hydrogen production depending on the primary energy sources used. Moreover the economic and environmental performance of three major hydrogen colors as well as major barriers for faster deployment in fuel cell vehicles are analyzed. The major conclusion is that the full environmental benefits of hydrogen use are highly dependent on the hydrogen production methods and primary sources used. Only green hydrogen with electricity from wind PV and hydro has truly low emissions. All other sources like blue hydrogen with CCUS or electrolysis using the electricity grid have substantially higher emissions coming close to grey hydrogen production. Another conclusion is that it is important to introduce an international market for hydrogen to lower costs and to produce hydrogen where conditions are best. Finally the major open question remaining is whether e including all external costs of all energy carriers hydrogen of any color may become economically competitive in any sector of the energy system. The future success of hydrogen is very dependent on technological development and resulting cost reductions as well as on future priorities and the corresponding policy framework. The policy framework should support the shift from grey to green hydrogen.
Hydrogen Deep Ocean Link: A Global Sustainable Interconnected Energy Grid
Mar 2022
Publication
The world is undergoing a substantial energy transition with an increasing share of intermittent sources of energy on the grid which is increasing the challenges to operate the power grid reliably. An option that has been receiving much focus after the COVID pandemic is the development of a hydrogen economy. Challenges for a hydrogen economy are the high investment costs involved in compression storage and long-distance transportation. This paper analyses an innovative proposal for the creation of hydrogen ocean links. It intends to fill existing gaps in the creation of a hydrogen economy with the increase in flexibility and viability for hydrogen production consumption compression storage and transportation. The main concept behind the proposals presented in this paper consists of using the fact that the pressure in the deep sea is very high which allows a thin and cheap HDPE tank to store and transport large amounts of pressurized hydrogen in the deep sea. This is performed by replacing seawater with pressurized hydrogen and maintaining the pressure in the pipes similar to the outside pressure. Hydrogen Deep Ocean Link has the potential of increasing the interconnectivity of different regional energy grids into a global sustainable interconnected energy system.
A Review of the Status of Fossil and Renewable Energies in Southeast Asia and Its Implications on the Decarbonization of ASEAN
Mar 2022
Publication
The ten nations of Southeast Asia collectively known as ASEAN emitted 1.65 Gtpa CO2 in 2020 and are among the most vulnerable nations to climate change which is partially caused by anthropogenic CO2 emission. This paper analyzes the history of ASEAN energy consumption and CO2 emission from both fossil and renewable energies in the last two decades. The results show that ASEAN’s renewable energies resources range from low to moderate are unevenly distributed geographically and contributed to only 20% of total primary energy consumption (TPEC) in 2015. The dominant forms of renewable energies are hydropower solar photovoltaic and bioenergy. However both hydropower and bioenergy have substantial sustainability issues. Fossil energies depend heavily on coal and oil and contribute to 80% of TPEC. More importantly renewable energies’ contribution to TPEC has been decreasing in the last two decades despite the increasing installation capacity. This suggests that the current rate of the addition of renewable energy capacity is inadequate to allow ASEAN to reach net-zero by 2050. Therefore fossil energies will continue to be an important part of ASEAN’s energy mix. More tools such as carbon capture and storage (CCS) and hydrogen will be needed for decarbonization. CCS will be needed to decarbonize ASEAN’s fossil power and industrial plants while blue hydrogen will be needed to decarbonize hard-to-decarbonize industrial plants. Based on recent research into regional CO2 source-sink mapping this paper proposes six large-scale CCS projects in four countries which can mitigate up to 300 Mtpa CO2 . Furthermore this paper identifies common pathways for ASEAN decarbonization and their policy implications.
Next Steps for the Gas Grid- Future Gas Series Part 1
Sep 2014
Publication
Policy Connect Carbon Connect and sector and Parliamentary experts have collaborated to present options for the gas grid to play a useful role in the UK’s transition to a low carbon energy system through the widespread use of low carbon gas. The report calls on Government to support the transition to a more flexible gas grid that uses various forms of gas including low carbon gases such as hydrogen and biomethane.
The Role of Hydrogen in Powering Industry: APPG on Hydrogen report
Jul 2021
Publication
The APPG on Hydrogen has published its report urging the Government to deliver beyond its existing net zero commitments and set ambitious hydrogen targets in forthcoming strategies to reach net zero by 2050.
The All-Party Parliamentary Group (APPG) on Hydrogen’s report on the role of ‘Hydrogen in powering industry’ sets out 10 recommendations to support and accelerate the growth of the UK’s hydrogen sector and enable a sustainable energy transition.
The All-Party Parliamentary Group (APPG) on Hydrogen’s report on the role of ‘Hydrogen in powering industry’ sets out 10 recommendations to support and accelerate the growth of the UK’s hydrogen sector and enable a sustainable energy transition.
- The Government must continue to expand beyond its existing commitments of 5GW production in the forthcoming Hydrogen Strategy.
- Any forthcoming Government and devolved policies must be complementary of the wider UK low-carbon commitments.
- Industrial clusters should be prioritised for hydrogen use and will be the key catalyst for driving forward the UK’s decarbonisation of industry.
- The Government must commit to incentivising hydrogen production within the UK as opposed to importing this.
- The Government must align hydrogen production pathways with nuclear technology to enhance hydrogen production.
- The Government must develop a UK wide hydrogen network to support the transport sector including a larger-scale implementation of hydrogen refuelling stations.
- Regulators must act quickly to update energy regulations and guidance to support hydrogen’s role in powering industry.
- For hydrogen to expand in the UK a technology neutral approach is required for all types of energy systems.
- Significant and long-term financial support is required for the development deployment and operation of hydrogen technologies.
- Ofgem must ensure the hydrogen market is subject to effective competition to drive down prices for consumers.
Economic and Technical Analysis of Power to Gas Factory Taking Karamay as an Example
May 2022
Publication
Power to gas (PTG) refers to the technology of converting power into energy-storage gas which can absorb excess power when there is excess power and release energy-storage gas when needed. Based on the carbon dioxide (CO2 ) emission of Karamay City in Northwest China this study designed a process flow of the CO2 absorption process and the hydrogen and CO2 methanation process in PTG technology. The results show that the efficiency of the CO2 absorption process was 91.5% and the methanation efficiency was 77.5%. The heat recovery module was set during the process and the total heat recovered was 17.85 MW. The cost of producing synthetic natural gas (SNG) in the PTG factory was 1782 USD/ton. In terms of cost the cost of hydrogen production from electrolyzed water accounted for the largest proportion. In terms of product profit the sale of pure oxygen was the largest part of the profit. At present the carbon emission reduction index profit brought by SNG production accounted for a small proportion. In the future with technological progress industrial upgrading and the improvement in the carbon trading market PTG technology is expected to become one of the ways to achieve carbon-emission-reduction targets.
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