Policy & Socio-Economics
Thermodynamic, Economic and Environmental Assessment of Renewable Natural Gas Production Systems
May 2020
Publication
One of the options to reduce the dependence on fossil fuels is to produce gas with the quality of natural gas but based on renewable energy sources. It can encompass among other biogas generation from various types of biomass and its subsequent upgrading. The main aim of this study is to analyze under a combined technical economic and environmental perspective three of the most representative technologies for the production of biomethane (bio-based natural gas): (i) manure fermentation and its subsequent upgrading by CO2 removal (ii) manure fermentation and biogas methanation using renewable hydrogen from electrolysis and (iii) biomass gasification in the atmosphere of oxygen and methanation of the resulted gas. Thermodynamic economic and environmental analyses are conducted to thoroughly compare the three cases. For these purposes detailed models in Aspen Plus software were built while environmental analysis was performed using the Life Cycle Assessment methodology. The results show that the highest efficiency (66.80%) and the lowest break-even price of biomethane (19.2 €/GJ) are reached for the technology involving fermentation and CO2 capture. Concerning environmental assessment the system with the best environmental performance varies depending on the impact category analyzed being the system with biomass gasification and methanation a suitable trade-off solution for biomethane production.
National Hydrogen Roadmap: Pathways to an Economically Sustainable Hydrogen Industry in Australia
Apr 2021
Publication
The National Hydrogen Roadmap provides a blueprint for the development of a hydrogen industry in Australia.
Recently there has been a considerable amount of work undertaken (both globally and domestically) seeking to quantify the economic opportunities associated with hydrogen. The National Hydrogen Roadmap takes that analysis a step further by focusing on how those opportunities can be realised.
National Hydrogen Roadmap
The National Hydrogen Roadmap provides a blueprint for the development of a hydrogen industry in Australia.
The primary objective of the Roadmap is to provide a blueprint for the development of a hydrogen industry in Australia. With a number of activities already underway it is designed to help inform the next series of investment amongst various stakeholder groups (e.g. industry government and research) so that the industry can continue to scale in a coordinated manner.
Pathways to an economically sustainable industry
The low emissions hydrogen value chain now consists of a series of mature technologies. While there is considerable scope for further R&D this level of maturity has meant that the narrative has shifted from one of technology development to market activation.
Barriers to market activation stem from a lack of supporting infrastructure and/or the cost of hydrogen supply. However both barriers can be overcome via a series of strategic investments along the value chain from both the private and public sector.
The report shows that while government assistance is needed to kick-start the industry it can become economically sustainable thereafter. This is demonstrated by first assessing the target price of hydrogen needed for it be competitive with other energy carriers and feedstocks. Second the assessment considers the current state of the industry namely the cost and maturity of the underpinning technologies and infrastructure. It then identifies the material cost drivers and consequently the key priorities and areas for investment needed to make hydrogen competitive in each of the identified markets.
The opportunity for hydrogen to compete favourably on a cost basis in local applications such as transport and remote area power systems is within reach based on potential cost reductions to 2025. Further the development of a hydrogen export industry represents a significant opportunity for Australia and a potential 'game changer' for the local industry and the broader energy sector due to associated increases in scale."
You can read the full report on the CSIRO website at this link
Recently there has been a considerable amount of work undertaken (both globally and domestically) seeking to quantify the economic opportunities associated with hydrogen. The National Hydrogen Roadmap takes that analysis a step further by focusing on how those opportunities can be realised.
National Hydrogen Roadmap
The National Hydrogen Roadmap provides a blueprint for the development of a hydrogen industry in Australia.
The primary objective of the Roadmap is to provide a blueprint for the development of a hydrogen industry in Australia. With a number of activities already underway it is designed to help inform the next series of investment amongst various stakeholder groups (e.g. industry government and research) so that the industry can continue to scale in a coordinated manner.
Pathways to an economically sustainable industry
The low emissions hydrogen value chain now consists of a series of mature technologies. While there is considerable scope for further R&D this level of maturity has meant that the narrative has shifted from one of technology development to market activation.
Barriers to market activation stem from a lack of supporting infrastructure and/or the cost of hydrogen supply. However both barriers can be overcome via a series of strategic investments along the value chain from both the private and public sector.
The report shows that while government assistance is needed to kick-start the industry it can become economically sustainable thereafter. This is demonstrated by first assessing the target price of hydrogen needed for it be competitive with other energy carriers and feedstocks. Second the assessment considers the current state of the industry namely the cost and maturity of the underpinning technologies and infrastructure. It then identifies the material cost drivers and consequently the key priorities and areas for investment needed to make hydrogen competitive in each of the identified markets.
The opportunity for hydrogen to compete favourably on a cost basis in local applications such as transport and remote area power systems is within reach based on potential cost reductions to 2025. Further the development of a hydrogen export industry represents a significant opportunity for Australia and a potential 'game changer' for the local industry and the broader energy sector due to associated increases in scale."
You can read the full report on the CSIRO website at this link
Mind the Gap—A Socio-Economic Analysis on Price Developments of Green Hydrogen, Synthetic Fuels, and Conventional Energy Carriers in Germany
May 2022
Publication
In recent years the development of energy prices in Germany has been frequently accompanied by criticism and warnings of socio-economic disruptions. Especially with respect to the electricity sector the debate on increasing energy bills was strongly correlated with the energy system transition. However whereas fossil fuels have rapidly increased in price recently renewable substitutes such as green hydrogen and synthetic fuels also enter the markets at comparatively high prices. On the other hand the present fossil fuel supply is still considered too low-priced by experts because societal greenhouse gas-induced environmental impact costs are not yet compensated. In this study we investigate the development of the price gap between conventional energy carriers and their renewable substitutes until 2050 as well as a suitable benchmark price incorporating the societal costs of specific energy carriers. The calculated benchmark prices for natural gas (6.3 ct kWh−1 ) petrol (9.9 ct kWh−1 ) and grey hydrogen from steam methane reformation (12 ct kWh−1 ) are nearly 300% above the actual prices for industry customers in 2020 but below the price peaks of early 2022. In addition the price gap between conventional fuels and green hydrogen will be completely closed before 2050 for all investigated energy carriers. Furthermore prognosed future price developments can be considered rather moderate compared to historic and especially to the recent price dynamics in real terms. A gradual implementation of green hydrogen and synthetic fuels next to increasing CO2 prices however may temporarily lead to further increasing expenses for energy but can achieve lower price levels comparable to those of 2020 in the long term.
Potential of New Business Models for Grid Integrated Water Electrolysis
Feb 2018
Publication
Grid integrated water electrolysers have the potential of coupling electric power systems subjected to high shares of renewable energy sources with sectors of hydrogen demand thus contributing to European decarbonization goals in future. We therefore investigate the business potential of future electrolyser applications in cross-commodity arbitrage trading by applying a complex power market simulation method for future scenarios and different European countries. Based on this we evaluate the potential of additional provision of grid services towards grid operators in order to increase the electrolyser utilization ratio. For this we use a method that identifies measures of transmission grid operators in order to ensure secure grid operation. In this context uncertain hydrogen prices and different sectors of hydrogen demand are addressed through sensitivities of different hydrogen sales prices. The analysis shows a high dependency of business model efficiency on the hydrogen price. While cross-commodity arbitrage trading can achieve profitability for the transportation sector applications for the industry sector and natural gas system are less efficient. The results however indicate that for these less efficient applications grid service provision can be an option of increasing the electrolyser utilization ratio thus increasing its profitability.
Uncomfortable Home Truths - Why Britain Urgently Needs a Low Carbon Heat Strategy Future Gas Series Part 3
Nov 2019
Publication
UK homes are primarily heated by fossil fuels and contribute 13% of UK’s carbon footprint (equivalent to all the UK’s 38.4m cars). The report says this is incompatible with UK climate legislation targeting net-zero economy by 2050. New polling finds that consumers are open to cleaner greener ways to heat their homes into the future but that they are “still in the dark about smarter greener heating solutions and lack access to independent advice to help them make better decisions for their homes pockets and the planet”.<br/><br/>The report – Uncomfortable Home Truths: why Britain urgently needs a low carbon heat strategy – says a bold new national roadmap is needed by 2020 which puts consumers and households at the heart of a revolution in green heat innovation. It recommends the creation of an Olympic-style delivery body to catalyse and coordinate regional innovation and local leadership tailored to different parts of the UK and the nation’s diverse housing stock.<br/><br/>This report is the third in the Future Gas Series which has explored the opportunities and challenges associated with using low carbon gas in the energy system and is backed by cross-party parliamentary co-Chairs
Analysing Long-term Opportunities for Offshore Energy System Integration in the Danish North Sea
Aug 2021
Publication
This study analyzes future synergies between the Oil and Gas (O&G) and renewables sectors in a Danish context and explores how exploiting these synergies could lead to economic and environmental benefits. We review and highlight relevant technologies and related projects and synthesize the state of the art in offshore energy system integration. All of these preliminary results serve as input data for a holistic energy system analysis in the Balmorel modeling framework. With a timeframe out to 2050 and model scope including all North Sea neighbouring countries this analysis explores a total of nine future scenarios for the North Sea energy system. The main results include an immediate electrification of all operational Danish platforms by linking them to the shore and/or a planned Danish energy island. These measures result in cost and CO2 emissions savings compared to a BAU scenario of 72% and 85% respectively. When these platforms cease production this is followed by the repurposing of the platforms into hydrogen generators with up to 3.6 GW of electrolysers and the development of up to 5.8 GW of floating wind. The generated hydrogen is assumed to power the future transport sector and is delivered to shore in existing and/or new purpose-built pipelines. The contribution of the O&G sector to this hydrogen production amounts to around 19 TWh which represents about 2% of total European hydrogen demand for transport in 2050. The levelized costs (LCOE) of producing this hydrogen in 2050 are around 4 €2020/kg H2 which is around twice those expected in similar studies. But this does not account for energy policies that may incentivize green hydrogen production in the future which would serve to reduce this LCOE to a level that is more competitive with other sources.
Use of Hydrogen as Fuel: A Trend of the 21st Century
Jan 2022
Publication
The unbridled use of fossil fuels is a serious problem that has become increasingly evident over the years. As such fuels contribute considerably to environmental pollution there is a need to find new sustainable sources of energy with low emissions of greenhouse gases. Climate change poses a substantial challenge for the scientific community. Thus the use of renewable energy through technologies that offer maximum efficiency with minimal pollution and carbon emissions has become a major goal. Technology related to the use of hydrogen as a fuel is one of the most promising solutions for future systems of clean energy. The aim of the present review was to provide an overview of elements related to the potential use of hydrogen as an alternative energy source considering its specific chemical and physical characteristics as well as prospects for an increase in the participation of hydrogen fuel in the world energy matrix.
Lowest Cost Decarbonisation for the UK: The Critical Role of CCS
Sep 2016
Publication
A new report to the Secretary of State for Business Energy and Industrial Strategy from the Parliamentary Advisory Group on Carbon Capture and Storage (CCS) advises that that the UK should kickstart CCS in order to save consumers billions a year from the cost of meeting climate change targets.
Decarbonising Heat in Buildings: Putting Consumers First
Apr 2021
Publication
From an evaluation of the GB housing stock it is clear that a mosaic of low carbon heating technologies will be needed to reach net zero. While heat pumps are an important component of this mix our analysis shows that it is likely to be impractical to heat many GB homes with heat pumps only. A combination of lack of exterior space and/or the thermal properties of the building fabric mean that a heat pump is not capable of meeting the space heating requirement of 8 to 12m homes (or 37% to 54% of the 22.7m homes assessed in this report) or can do so only through the installation of highly disruptive and intrusive measures such as solid wall insulation. Hybrid heat pumps that are designed to optimise efficiency of the system do not have the same requirements of a heat pump and may be a suitable solution for some of these homes. This is likely to mean that decarbonised gas networks are therefore critical to delivery of net zero. 3 to 4m homes1 (or 14% to 18% of homes assessed in our analysis) could be made suitable for heat pump retrofit through energy efficiency measures such as cavity wall insulation. For 7 to 10m homes there are no limiting factors and they require minimal/no upgrade requirements to be made heat pump-ready. Nevertheless given firstly the levels of disruption to the floors and interiors of homes caused by the installation of heat pumps and secondly the cost and disruption associated with the requirement to significantly upgrade the electricity distribution networks to cope with large numbers of heat pumps operating at peak demand times - combined with the availability of a decarbonised gas network which requires a simple like-for-like boiler replacement - is likely to mean that many of these ‘swing’ properties will be better served through a gas based technology such as hydrogen (particularly when consumer choice is factored in) or a hybrid system. A recent trial run in winter 2018-19 by the Energy System Catapult revealed that all participants were reluctant to make expensive investments to improve the energy efficiency of their homes just to enhance the performance of their heat pump. They were more interested in less costly upgrades and tangible benefits such as lower bills or greater comfort. This means that renewable gases including hydrogen as heating fuels are a crucial component of the journey to net zero and the UK’s hydrogen ambitions should be reflective of this. The analysis presented in this paper focuses on the external fabric of the buildings further analysis should be undertaken to consider the internal system changes that would be required for heat pumps and hydrogen boilers for example BEIS Domestic Heat Distribution Systems: Gathering Report from February 2021 which considers the suitability of radiators for the low carbon transition.
Investment Frameworks for Development of CCUS in the UK
Jul 2019
Publication
The CCUS Advisory Group (CAG) established in March 2019 is an industry-led group considering the critical challenges facing the development of CCUS market frameworks and providing insight into potential solutions. The CAG brings together experts from across the CCUS industry finance and legal sectors.<br/>The CAG has examined a range of business models focusing on industrial CCUS power production CO? transport and storage and hydrogen production. It has considered how the proposed business models interact in order to minimise issues such as cross-chain risk and has considered issues such as delivery capability. The conclusions of the CAG can be found in this report.
Climate Change Committee: Progress in Reducing Emissions, 2022 Report to Parliament
Jun 2022
Publication
This statutory report provides a comprehensive overview of the UK Government’s progress to date in reducing emissions. It is accompanied by a new Monitoring Framework which details the CCC’s updated approach to tracking real-world progress through a host of new indicators.<br/>This is a pivotal point in the UK’s journey to Net Zero. The UK is one of the few countries with emissions targets in line with the long-term temperature goal of the Paris Agreement. Policy ambition has moved substantially with the publication of the UK’s Net Zero Strategy. Now is the time to deliver the promised action.
Renewable Hydrogen Economy Outlook in Africa
Jun 2022
Publication
Hydrogen presents an opportunity for Africa to not only decarbonise its own energy use and enable clean energy access for all but also to export renewable energy. This paper developed a framework for assessing renewable resources for hydrogen production and provides a new critical analysis as to how and what role hydrogen can play in the complex African energy landscape. The regional solar wind CSP and bio hydrogen potential ranges from 366 to 1311 Gt/year 162 to 1782 Gt/year 463 to 2738 Gt/year and 0.03 to 0.06 Gt/year respectively. The water availability and sensitivity results showed that the water shortages in some countries can be abated by importing water from regions with high renewable water resources. A techno-economic comparative analysis indicated that a high voltage direct current (HVDC) system presents the most cost-effective transportation system with overall costs per kg hydrogen of 0.038 $/kg followed by water pipeline with 0.084 $/kg seawater desalination 0.1 $/kg liquified hydrogen tank truck 0.12 $/kg compressed hydrogen pipeline 0.16 $/kg liquefied ammonia pipeline 0.38 $/kg liquefied ammonia tank truck 0.60 $/kg and compressed hydrogen tank truck with 0.77 $/kg. The results quantified the significance of economies of scale due to cost effectiveness of systems such as compressed hydrogen pipeline and liquefied hydrogen tank truck systems when hydrogen production is scaled up. Decentralization is favorable under some constraints e.g. compressed hydrogen and liquefied ammonia tank truck systems will be more cost effective below 800 km and 1400 km due to lower investment and operation costs.
Study of the Microstructural and First Hydrogenation Properties of TiFe Alloy with Zr, Mn and V as Additives
Jul 2021
Publication
In this paper we report the effect of adding Zr + V or Zr + V + Mn to TiFe alloy on microstructure and hydrogen storage properties. The addition of only V was not enough to produce a minimum amount of secondary phase and therefore the first hydrogenation at room temperature under a hydrogen pressure of 20 bars was impossible. When 2 wt.% Zr + 2 wt.% V or 2 wt.% Zr + 2 wt.% V + 2 wt.% Mn is added to TiFe the alloy shows a finely distributed Ti2Fe-like secondary phase. These alloys presented a fast first hydrogenation and a high capacity. The rate-limiting step was found to be 3D growth diffusion controlled with decreasing interface velocity. This is consistent with the hypothesis that the fast reaction is likely to be the presence of Ti2Fe-like secondary phases that act as a gateway for hydrogen.
Green Hydrogen and Energy Transition: Current State and Prospects in Portugal
Jan 2023
Publication
Hydrogen is a promising commodity a renewable secondary energy source and feedstock alike to meet greenhouse gas emissions targets and promote economic decarbonization. A common goal pursued by many countries the hydrogen economy receives a blending of public and private capital. After European Green Deal state members created national policies focused on green hydrogen. This paper presents a study of energy transition considering green hydrogen production to identify Portugal’s current state and prospects. The analysis uses energy generation data hydrogen production aspects CO2 emissions indicators and based costs. A comprehensive simulation estimates the total production of green hydrogen related to the ratio of renewable generation in two different scenarios. Then a comparison between EGP goals and Portugal’s transport and energy generation prospects is made. Portugal has an essential renewable energy matrix that supports green hydrogen production and allows for meeting European green hydrogen 2030–2050 goals. Results suggest that promoting the conversion of buses and trucks into H2-based fuel is better for CO2 reduction. On the other hand given energy security thermoelectric plants fueled by H2 are the best option. The aggressive scenario implies at least 5% more costs than the moderate scenario considering economic aspects.
Impact and Challenges of Reducing Petroleum Consumption for Decarbonization
Apr 2022
Publication
This study aimed to identify the impact of achieving the 1.5 ◦C target on the petroleum supply chain in Japan and discuss the feasibility and challenges of decarbonization. First a national material flow was established for the petroleum supply chain in Japan including processes for crude petroleum refining petroleum product manufacturing plastic resin and product manufacturing and by-product manufacturing. In particular by-product manufacturing processes such as hydrogen gaseous carbon dioxide and sulfur were selected because they are utilized in other industries. Next the outlook for the production of plastic resin hydrogen dry ice produced from carbon dioxide gas and sulfur until 2050 was estimated for reducing petroleum consumption required to achieve the 1.5 ◦C target. As a result national petroleum treatment is expected to reduce from 177048.00 thousand kl in 2019 to 126643.00 thousand kl in 2030 if the reduction in petroleum consumption is established. Along with this decrease plastic resin production is expected to decrease from 10500.00 thousand ton in 2019 to 7511.00 thousand ton by 2030. Conversely the plastic market is expected to grow steadily and the estimated plastic resin production in 2030 is expected to be 20079.00 thousand ton. This result indicates that there is a large output gap between plastic supply and demand. To mitigate this gap strongly promoting the recycling of waste plastics and making the price competitiveness of biomass plastics equal to that of petroleum-derived plastics are necessary
The Hydrogen Energy Infrastructure Development in Japan
Nov 2018
Publication
The actual start of the full-scale hydrogen energy infrastructure operations is scheduled to 2020 in Japan. The scope of factors and policy for the hydrogen infrastructure development in Japan is made. The paper provides observation for the major undergoing and already done projects for each link within hydrogen infrastructure chain – from production to end-user applications. Implications for the Russian energy policy are provided.
Law and Policy Review on Green Hydrogen Potential in ECOWAS Countries
Mar 2022
Publication
This paper aims to review existing energy-sector and hydrogen-energy-related legal policy and strategy documents in the ECOWAS region. To achieve this aim current renewable-energyrelated laws acts of parliament executive orders presidential decrees administrative orders and memoranda were analyzed. The study shows that ECOWAS countries have strived to design consistent legal instruments regarding renewable energy in developing comprehensive legislation and bylaws to consolidate it and to encourage investments in renewable energy. Despite all these countries having a legislative basis for regulating renewable energy there are still weaknesses that revolve around the law and policy regarding its possible application in green hydrogen production and use. The central conclusion of this review paper is that ECOWAS member states presently have no official hydrogen policies nor bylaws in place. The hydrogen rise presents a challenge and opportunity for members to play an important role in the fast-growing global hydrogen market. Therefore these countries need to reform their regulatory frameworks and align their policies by introducing green hydrogen production in order to accomplish their green economy transition for the future and to boost the continent’s sustainable development.
Comparative Cost Assessment of Sustainable Energy Carriers Produced from Natural Gas Accounting for Boil-off Gas and Social Cost of Carbon
Jun 2020
Publication
As a result of particular locations of large-scale energy producers and increases in energy demand transporting energy has become one of the key challenges of energy supply. For a long-distance ocean transportation transfer of energy carriers via ocean tankers is considered as a decent solution compared to pipelines. Due to cryogenic temperatures of energy carriers heat leaks into storage tanks of these carriers causes a problem called boil-off gas (BOG). BOG losses reduce the quantity of energy carriers which affects their economic value. Therefore this study proposes to examine the effects of BOG economically in production and transportation phases of potential energy carriers produced from natural gas namely; liquefied natural gas (LNG) dimethyl-ether (DME) methanol liquid ammonia (NH3) and liquid hydrogen (H2). Mathematical approach is used to calculate production and transportation costs of these energy carriers and to account for BOG as a unit cost within the total cost. The results of this study show that transportation costs of LNG liquid ammonia methanol DME and liquid hydrogen from natural gas accounting for BOG are 0.74 $/GJ 1.09 $/GJ 0.68 $/GJ 0.53 $/GJ and 3.24 $/GJ respectively. DME and methanol can be more economic compared to LNG to transport the energy of natural gas for the same ship capacity. Including social cost of carbon (SCC) within the total cost of transporting the energy of natural gas the transportation cost of liquid ammonia is 1.11 $/GJ whereas LNG transportation cost rises significantly to 1.68 $/GJ at SCC of 137 $/t CO2 eq. Consequently liquid ammonia becomes economically favored compared to LNG. Transportation cost of methanol (0.70 $/GJ) and DME (0.55 $/GJ) are also lower than LNG however liquid hydrogen transportation cost (3.24 $/GJ) is still the highest even though the increment of the cost is about 0.1% as SCC included within the transportation cost.
The Effects of Perceived Barriers on Innovation Resistance of Hydrogen-Electric Motorcycles
Jun 2018
Publication
As environmental awareness among the public gradually improves it is predicted that the trend of green consumption will make green products enter the mainstream market. Hydrogen-electric motorcycles with eco-friendly and energy-efficient characteristics have great advantages for development. However as a type of innovative product hydrogen-electric motorcycles require further examination with regard to consumer acceptance and external variables of the products. In this study consumer behavioral intention (BI) for the use of hydrogen-electric motorcycles and its influencing factors are discussed using innovation resistance as the basis and environmental concern as the adjusting variable. Consumers’ willingness-to-pay (WTP) for hydrogen-electric motorcycles is estimated using the contingent valuation method (CVM). The results found that (1) perception barriers viz. usage barrier value barrier risk barrier tradition barrier and price barrier are statistically significant whereas image barrier is not; (2) a high degree of environmental concern will reduce the consumers’ innovation resistance to the hydrogen-electric motorcycles; (3) up to 94.79% of the respondents of the designed questionnaire suggested that the promotion of hydrogen-electric motorcycles requires a subsidy of 21.9% of the total price from the government. The mean WTP of consumers for the purchase of hydrogen-electric motorcycles is 10–15% higher than that of traditional motorcycles.
Roadmap to Achieving Sustainable Development via Green Hydrogen
Jan 2023
Publication
The conversion to renewable energy can be achieved when cities and communities start to depend on sustainable resources capable of providing for the basic needs of the community along with a reduction in the daily problems and issues that people face. These issues such as poverty hunger sanitation and economic difficulties are highlighted in the Sustainable Development Goals (SDGs) which aim to limit and eradicate these problems along with other environmental obstacles including climate change and Greenhouse Gases (GHGs). These SDGs containing 17 goals target each sector and provide propositions to solve such devastating problems. Hydrogen contributes to the targets of these sustainable developments since through its implementation in different industries the levels of GHG will drop and thus contribute to the climate change which Earth is facing. Further through the usage of such resources many job opportunities will also be developed thus enhancing the economy and lifting the status of society. This paper classifies the four different types of hydrogen and outlines the differences between them. The paper then emphasizes the importance of green hydrogen use within the shipping industry transportation and infrastructure along with economic and social development through job opportunities. Furthermore this paper provides case studies tackling green hydrogen status in the United Kingdom United States of America and European Union as well as Africa United Arab of Emirates and Asia. Finally challenges and recommendations concerning the green hydrogen industry are addressed. This paper aims to relate the use of green hydrogen to the direct and indirect goals of SDG.
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