Policy & Socio-Economics

Green hydrogen is becoming increasingly popular with academics institutions and governments concentrating on its development efficiency improvement and cost reduction. The objective of the Ministry of Petroleum Mines and Energy is to achieve a 35% proportion of renewable energy in the overall energy composition by the year 2030 followed by a 50% commitment by 2050. This goal will be achieved through the implementation of feed-in tariffs and the integration of independent power generators. The present study focused on the economic feasibility of green hydrogen and its production process utilizing renewable energy resources on the northern coast of Mauritania. The current investigation also explored the wind potential along the northern coast of Mauritania spanning over 600 km between Nouakchott and Nouadhibou. Wind data from masts Lidar stations and satellites at 10 and 80 m heights from 2022 to 2023 were used to assess wind characteristics and evaluate five turbine types for local conditions. A comprehensive techno-economic analysis was carried out at five specific sites encompassing the measures of levelized cost of electricity (LCOE) and levelized cost of green hydrogen (LCOGH) as well as sensitivity analysis and economic performance indicators. The results showed an annual average wind speed of 7.6 m/s in Nouakchott to 9.8 m/s in Nouadhibou at 80 m. The GOLDWIND 3.0 MW model showed the highest capacity factor of 50.81% due to its low cut-in speed of 2.5 m/s and its rated wind speed of 10.5 to 11 m/s. The NORDEX 4 MW model forecasted an annual production of 21.97 GWh in Nouadhibou and 19.23 GWh in Boulanoir with the LCOE ranging from USD 5.69 to 6.51 cents/kWh below the local electricity tariff and an LCOGH of USD 1.85 to 2.11 US/kg H2 . Multiple economic indicators confirmed the feasibility of wind energy and green hydrogen projects in assessed sites. These results boosted the confidence of the techno-economic model highlighting the resilience of future investments in these sustainable energy infrastructures. Mauritania’s north coast has potential for wind energy aiding green hydrogen production for energy goals.

This study investigates the spillover effects between hydrogen energy nuclear energy and artificial intelligence (AI) sectors in the context of the global clean energy transition with a particular focus on the impact of climate policy uncertainty (CPU) and geopolitical risks (GPR). Employing the TVP-VAR extended joint connectedness approach the findings show a high connectedness that indicates significant spillovers among these sectors. Hydrogen energy emerges as a dominant transmitter of shocks reflecting its sensitivity to regulatory changes and fluctuating demand. However nuclear energy acts as a stabilising force that offers hedging opportunities and resilience against market turbulence. The AI sector exhibits strong connectedness primarily as a net receiver of shocks driven by its dependency on clean energy sources and vulnerability to energy market volatility. Using the GARCHMIDAS framework the study identifies a temporal asymmetry in market responses to CPU and GPR. CPU triggers immediate but short-lived disruptions while GPR induces delayed yet persistent effects that intensify cross-sector spillovers over time. These results underline the vulnerabilities of sectors reliant on regulatory clarity and geopolitical stability. This study provides practical insights for investors policymakers technology and energy companies to better manage systemic risks at the crossroads of clean energy technological innovation and uncertainty.

The development of a Clean Hydrogen Standard based on life-cycle greenhouse gas (GHG) emissions is gaining prominence on the international agenda. Thus a framework for assessing life-cycle GHG emissions for clean hydrogen pathways is necessary. In this study the comprehensive datasets and effects of various scenarios encompassing hydrogen production carriers (liquid hydrogen ammonia methylcyclohexane) carbon capture and storage (CCS) target analysis year (2021 2030) to reflect trends of greening grid electricity and potential import countries on aggregated life-cycle GHG emissions were presented. South Korea was chosen as a case study region and the low-carbon alternatives were suggested for reducing aggregated emissions to meet the Korean standard (5 kgCO2e/kgH2). First capturing and storing nearly entire (>90%) CO2 from fossil- and waste-based production pathways is deemed essential. Second when repurposing the use of hydrogen that was otherwise used internally applying a penalty for substitution is appropriate leading to results notably exceeding the standard. Third for electrolysis-based hydrogen using renewable or nuclear electricity is essential. Lastly when hydrogen is imported in a well-to-point-of-delivery (WtP) perspective using renewable electricity during hydrogen conversion into a carrier and reusing the produced hydrogen for endothermic reconversion reaction are recommended. By implementing the developed calculation framework to other countries' cases it was observed that importing hydrogen to regions having scope of WtP or above (e.g. well-to-wheel) might not meet the threshold due to additional emissions from importation processes. Additionally for hydrogen carriers undergoing the endothermic reconversion the approach to reduce WtP emissions (reusing produced hydrogen) may conflict with the approach to reduce well-to-gate (WtG) emission (using external fossilbased fuel). The discrepancy highlights the need to set a broader scope of emissions assessment to effectively promote the life-cycle emission reduction efforts of hydrogen importers. This study contributes to the field of clean hydrogen GHG emission assessment offering a robust database and calculation framework while addressing the effects of greening grid electricity and CCS implementation proposing low-carbon alternatives and GHG assessment scope to achieve global GHG reduction.

By 2060 the Kingdom of Saudi Arabia (KSA) aims to achieve net zero greenhouse gas (GHG) emissions targeting 50% renewable energy and reducing 278 million tonnes of CO2 equivalent annually by 2030 under Vision 2030. This ambitious roadmap focuses on economic diversification global engagement and enhanced quality of life. The electricity sector with a 90 GW installed capacity as of 2020 is central to decarbonization aiming for a 55% reduction in emissions by 2030. Saudi Energy Efficiency Centre’s Energy Efficiency Action Plan aims to reduce power intensity by 30% by 2030 while the NEOM project showcases a 4 GW green hydrogen facility reflecting the country’s commitments to sustainability and technological innovation. Despite being the largest oil producer and user Saudi Arabia must align with international CO2 emission reduction targets. Currently there is no state-of-the-art energy policy framework to guide a sustainable energy transition. In the academic literature there is also lack of effort in developing comprehensive energy policy framework. This study provides a thorough and comprehensive analysis of the entire energy industry spanning from the stage of production to consumption incorporating sustainability factors into the wider discussion on energy policy. It establishes a conceptual framework for the energy policy of Saudi Arabia that corresponds with Vision 2030. A total of hundred documents (e.g. 25 original articles and 75 industry reports) were retrieved from Google Scholar Web of Science Core Collection Database and Google Search and then analyzed. Results showed that for advancing the green energy transition areas such as strategies for regional and cross-sectoral collaboration adoption of international models human capital development and public engagement technological innovation and research; and resource conservation environmental protection and climate change should move forward exclusively from an energy policy perspective. This article's main contribution is developing a comprehensive and conceptual policy framework for Saudi Arabia's sustainable green energy transition aligned with Vision 2030. The framework integrates social economic and environmental criteria and provides critical policy implications and research directions for advancing energy policy and sustainable practices in the country.

Hydrogen is crucial in achieving global energy transition and carbon neutrality goals. Existing market estimates typically presume linear or exponential growth but fail to consider how market demand responds to the declining cost of underlying technologies. To address this this study utilizes a learning curve model to project the cost of electrolyzers and its subsequent impact on hydrogen market aligning with a premise that the market demand is proportional to the cost of hydrogen. In a case study of China’s hydrogen market projecting from 2020 to 2060 we observed substantial differences in market evolution compared to exponential growth scenarios. Contrary to exponential growth scenarios China’s hydrogen market experiences faster growth during the 2020–2040 period rather than later. Such differences underscore the necessity for proactive strategic planning in emerging technology markets particularly for those experiencing rapid cost decline such as hydrogen. The framework can also be extended to other markets by using local data providing valuable insights to investors policymakers and developers engaged in the hydrogen market.

Green hydrogen is central to the global energy transition. This paper introduces a renewable hydrogen production system model that optimizes hydrogen production on a worldwide 50 km × 50 km grid considering country-specific investment risks. Besides the renewable energy’s impact on the hydrogen production system (HPS) design we analyze the effect of country-specific interest rates on the levelized cost of hydrogen (LCOH) production. Over one-third (40.0%) of all cells have an installed solar PV capacity share between 50% and 70% 76.4% have a hybrid (onshore wind and solar PV) configuration. Hydrogen storage is deployed rather than battery storage to balance hydrogen production via electrolysis and hydrogen demand. Hybrid HPSs can significantly reduce the LCOH production compared to non-hybrid designs whereas country-specific interest rates can lead to significant increases diminishing the relative competitiveness of countries with abundant renewable energy resources compared to countries with fewer resources but fewer investment risks.

Widely available and low-cost solar photovoltaics and wind power can enable production of renewable electricity-based hydrogen at many locations throughout the world. Hydrogen is expected to emerge as an important energy carrier constituting some of the final energy demand; however its most important role will be as feedstock for further processing to e-fuels e-chemicals and e-steel. Apart from meeting their own hydrogen demand countries may have opportunities to export hydrogen to countries with area limitations or higher production costs. This paper assesses the feasibility of e-hydrogen imports to Germany and Finland from two case regions with a high availability of low-cost renewable electricity Chile and Morocco in comparison to domestic supply. Special attention is paid to the transport infrastructure which has a crucial impact on the economic viability of imports via two routes shipping and pipelines. This study has found that despite lower e-hydrogen production costs in Morocco and Chile compared to Germany and Finland additional transportation costs make imports of e-hydrogen economically unattractive. In early 2020s imported fuel costs are 39–79% and 34–100% higher than e-hydrogen produced in Germany and Finland respectively. In 2050 imported e-hydrogen is projected to be 39–70% more expensive than locally produced e-hydrogen in Germany and 43–54% in the case of Finland. e-Hydrogen may become a fuel that is mostly produced domestically and may be feasible for imports only in specific locations. Local e-hydrogen production may also lower dependence on imports enhance energy security and add jobs.

The global trend towards decarbonization and the demand for energy security have put hydrogen energy into the spotlight of industry politics and societies. Numerous governments worldwide are adopting policies and strategies to facilitate the transition towards hydrogen-based economies. To assess the determinants of such transition this study presents a comparative analysis of the technological innovation systems (TISs) for hydrogen technologies in Germany and South Korea both recognized as global front-runners in advancing and implementing hydrogen-based solutions. By providing a multi-dimensional assessment of pathways to the hydrogen economy our analysis introduces two novel and crucial elements to the TIS analysis: (i) We integrate the concept of ‘quality infrastructure’ given the relevance of safety and quality assurance for technology adoption and social acceptance and (ii) we emphasize the social perspective within the hydrogen TIS. To this end we conducted 24 semi-structured expert interviews applying qualitative open coding to analyze the data. Our results indicate that the hydrogen TISs in both countries have undergone significant developments across various dimensions. However several barriers still hinder the further realization of a hydrogen economy. Based on our findings we propose policy implications that can facilitate informed policy decisions for a successful hydrogen transition.

Is there a place for today’s fossil fuel exporters in a low-carbon future? This study explores trade channels between energy exporters and importers using a novel electricity-hydrogen-steel energy systems model calibrated to Norway a major natural gas producer and Germany a major energy consumer. Under tight emission constraints Norway can supply Germany with electricity (blue) hydrogen or natural gas with re-import of captured CO2. Alternatively it can use hydrogen to produce steel through direct reduction and supply it to the world market an export route not available to other energy carriers due to high transport costs. Although results show that natural gas imports with CO2 capture in Germany is the least-cost solution avoiding local CO2 handling via imports of blue hydrogen (direct or embodied in steel) involves only moderately higher costs. A robust hydrogen demand would allow Norway to profitably export all its natural gas production as blue hydrogen. However diversification into local steel production as one example of easy-to-export industrial base products offers an effective hedge against the possibility of lower European blue hydrogen demand. Looking beyond Europe the findings of this study are also relevant for the world’s largest energy exporters (e.g. OPEC+) and importers (e.g. developing Asia). Thus it is recommended that large hydrocarbon exporters consider a strategic energy export transition to a diversified mix of blue hydrogen and climate-neutral industrial base products.

The report considers the full end-to-end nature of the hydrogen economy to ensure there is a common understanding of the economic opportunity it could represent by 2050. Insights from across industry have brought clarity to both market and technology requirements identifying four focus areas that represent the greatest potential benefit for the UK. It highlights the steps needed to build the UK industrial capability and capacity to position the UK as a market leader. The UK Hydrogen Innovation Opportunity has been developed with and for industry with the first phase of industrial engagement involving over 250 businesses and 12 sector bodies. A second phase of industrial engagement will expand to a broader set of consulted stakeholder groups concluding with a report entitled Hydrogen Innovation: The Case for Action in summer 2024. This will seek to validate the proposed focus areas provide more detailed scope definition the size of the opportunity and outline the steps required to secure them for the UK.

This report can also be downloaded for free on the Hydrogen Innovation Initiative website.