New Oxford Institute for Energy Studies paper looks at how proper measurement of low carbon hydrogen’s carbon intensity reduces regulatory risk 👉 Link to OIES Publication: https://lnkd.in/eyn2SKbK Key points: 💠 Decision on which emissions to include partly determined by system boundary 💠 Related concept Scope Emissions which differentiates emissions according to whether they are a direct or indirect result of a company’s activities 💠 Different system boundaries often described using terms such as ‘well to gate’ or ‘well to wheel’ 1️⃣ ‘Well to factory gate’ includes emissions derived from production and transport of inputs used in production process (e.g. generation of electricity or production of natural gas) and emissions from production process itself up to the point where hydrogen ready to be transported from ‘factory gate’ to end users (referred to as ‘upstream’ emissions) 2️⃣ ‘Well to customer gate’ may include emissions resulting from transportation of hydrogen, including any conversion and reconversion to and from hydrogen carriers to the customer if the ‘gate’ in question is customer’s factory gate i.e. point where the hydrogen is delivered to customer 3️⃣ ‘Well to wheel’ includes same emissions as ‘well to gate’ but adds in emissions from transportation (including any conversion and reconversion to and from hydrogen carriers) and then use of the hydrogen or hydrogen derivatives (sometimes referred to as ‘downstream’ of the production process) 💠 Scope Emissions are based on the Greenhouse Gas Protocol Corporate Accounting and Reporting Standard and are classed as follows: 1️⃣ Scope 1 emissions: A production pathway’s direct GHG emissions 2️⃣ Scope 2 emissions: GHG emissions associated with the generation of electricity outside of the hydrogen production facility, heating/cooling, or steam purchased for own consumption 3️⃣ Scope 3 emissions: A production pathway’s indirect GHG emissions other than those covered in scope 2 💠 Countries have taken different approaches to setting the system boundary and also which Scope Emissions to include; for example US and UK use a ‘well to production gate’ approach whilst the EU uses a ‘well to wheel’ approach 💠 UK, EU and US include upstream Scope 1 and Scope 2 emissions but only EU includes downstream Scope 3 emissions. None of them include Scope 3 emissions resulting from manufacture of equipment used in production of hydrogen #hydrogen #h2 #hydrogeneconomy #emissions #scopeemissions
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Weak Emissions Accounting Can Undermine Hydrogen’s Role in Global Decarbonization by Green Hydrogen Organisation - GH2 and the Green Hydrogen Catapult with analysis led by RMI published this week the analysis that underscores the importance of robust measuring, monitoring, and verification of emissions to ensure that truly clean hydrogen can lead to decarbonization objectives for government and companies. As we have said before, draft methodologies published to date have not been as robust as they need to be. Why is this important? Over 2.5% of global energy-related CO2 emissions today are related to hydrogen production made using unabated fossil fuels. Urgently and drastically reducing the emissions associated with hydrogen production is essential in sectors which depend on hydrogen today such as chemicals and fertiliser, as well as new sectors which cannot be directly electrified by renewable energy such as steelmaking, long haul shipping and aviation. Climate-aligned emissions thresholds and robust accounting methodologies are essential in these efforts. While we at #GH2 see #greenhydrogen made from renewables as having a superior emissions reduction potential (over 90% reduction compared to unabated fossil fuel hydrogen and trending towards near zero as the supply chain decarbonizes) and other benefits, blue hydrogen produced from fossil gas is also set to play a role. The #decarbonisation potential of blue hydrogen depends on stringent upstream methane leakage controls and robust carbon capture processes which have barely been tested at scale. Osama Fawzy Georgy HENEIN, MBA
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SDG Policy Advisor | Advocate for Sustainable Policy Development (Local, National, International) | Evidence-Based Data Insights Provider | Enabling Well-Informed Civil Society & Civil Servants
The image shows a chart illustrating the projected global low carbon hydrogen demand by sector from 2035 to 2050, based on the BP Energy Outlook 2024 edition. Key Takeaways: * Overall Growth: Low carbon hydrogen demand is expected to increase significantly from 2035 to 2050 across all sectors. * Dominant Sectors: The largest consumers are projected to be: * Industry * Transport-derived fuels * Transport-direct use * Sectoral Trends: * Industry: Shows the most significant growth, driven by the need to decarbonize industrial processes. * Transport-derived fuels: Grows rapidly due to the increasing use of hydrogen in synthetic fuels for aviation and shipping. * Transport-direct use: Increases moderately, with hydrogen used in fuel cell vehicles. * Power: Shows moderate growth, with hydrogen used for grid balancing and seasonal storage. * Buildings: Shows limited growth, with hydrogen used for heating and cooking. Note: The chart includes all global low carbon hydrogen demand and considers two scenarios: "Current Trajectory" and "Net Zero." The "Net Zero" scenario assumes stricter climate policies leading to lower overall energy demand. In essence, the chart indicates a growing role for low carbon hydrogen as a global energy source, particularly in industry and transport. #sdg #sdgpolicy #policyanalyst #policyresearch #publicpolicy #internationalpolicy #sdgconsultant #sdgadvisor #policyadvisor #policyconsultant #sustainablity
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It's easy to remember the color of hydrogen! How much CO2 is emitted when producing 1 kg of hydrogen? The graphic shows the different ways to produce hydrogen and the associated CO2 emissions. The most common methods include: 📝Grey hydrogen is produced from fossil fuels and has the highest CO2 emissions. 📝Blue hydrogen is also produced from fossil fuels but uses carbon capture and storage (CCS) to reduce emissions. 📝Green hydrogen is produced from renewable energy sources and has the lowest CO2 emissions. The choice of hydrogen production method depends on the following factors: ✒️Cost ✒️Availability of resources ✒️Environmental impact As we transition to a low-carbon economy, it is important to choose hydrogen production methods that minimize CO2 emissions. Source (s) : LinkedIn (Image, if you need reference PDF, write in comment) #hydrogen #CO2 #emissions #renewableenergy #climatechange #sustainability
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How much does ammonia cost? Let's find out 👇 About the chart 🤓 The chart shows the estimated minimum and maximum shipping costs of both ammonia and liquid hydrogen for delivering hydrogen in 8000-8627 km journeys in 2030. Ammonia as an affordable alternative 💚 Ammonia costs have been reported as significantly more affordable than liquid hydrogen in this use case. With the maximum costs for ammonia shipping only slightly above the minimum for liquid hydrogen, and maximum costs of almost 4 US dollars less per kgH2 transported. Want to know the full story about the potentials of ammonia in shipping? Read the Nium impact report here: https://lnkd.in/e_qjnUTi Reference for the chart: IEA energy technology perspectives 2023, Jan . Available at https://lnkd.in/eK-jbuCD ; clean air task force. Technologic realities of Long-Distance Hydrogen Transport. 2023, September. Available at https://lnkd.in/eR2ymMpy ; Makepeace et al. Techno-economic analysis of green hydrogen export. 2024, Feb. Available at https://lnkd.in/eRbxn7ah IEA International Energy Agency (IEA) #shipping #hydrogen #ammonia #shippingfuel #alternativefuel #transport #greentransition #netzero #sustainability #sustainable #sustainableshipping #green #nium #wearenium #cleanammonia
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Low-carbon #hydrogen will play a crucial role in decarbonising Europe’s economy – but we must ensure that all hydrogen production is climate beneficial. Today’s Council vote for the EU Hydrogen and Decarbonised Gas Market Package is a step in the right direction. Several of Europe’s emissions-intensive industries will need hydrogen to decarbonise. The EU Gas Package aims to create a regulatory framework for the transition to hydrogen. The package reflects key criteria to ensure low-carbon hydrogen is climate beneficial and that all emissions are accurately reflected in the methodology to assess and certify low-carbon hydrogen, with clear references, among others, to the importance of covering methane upstream emissions. With the Gas Package moving closer to adoption, we are looking forward the detailed methodology for emissions assessment in the forthcoming Delegated Act. This is a critical step towards ensuring transparency and accountability in the hydrogen sector and will need to cover all the emissions in a comprehensive and accurate way. The implementation of a robust hydrogen certification system across the EU is essential for ensuring climate beneficial hydrogen production and instilling market confidence. The certification process, including derivatives like ammonia, as well as any hydrogen imported into the EU, should be established as soon as possible. https://lnkd.in/euQTsJG2 #ClimateAction #SustainableEnergy #HydrogenEconomy #EUGasPackage #CleanEnergy #ClimateNGOs #EUClimatePolicy
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As I explained in this article for the Hydrogen Economist. The new rules defining low-carbon hydrogen and fuels are a crucial move towards our collective decarbonisation efforts. However, these developments come with significant implications: 1️⃣ Possible bottlenecks for first movers which could spread the risk sentiment to other market stakeholders: While point-to-point data is consolidated (#EUMethaneRegulation), the spectrum of upstream emissions from natural gas suppliers (CO2+CH4) is so large that setting a one-size-fits-all standard value is a highly perilous exercise with clear winners and losers. Lack of data and ambiguity regarding the future evolution of the threshold may cause regulatory bottlenecks, leading to potential delays in low-carbon hydrogen projects. This particularly affects first-mover projects that should get some warranties during the market scale-up ⏳⚖️ 2️⃣ Economic and competitive impact: Uneven opportunities for member states based on access to clean electricity may slow hydrogen tech deployment across the EU. This disparity could hinder economic growth and broad-scale adoption of hydrogen solutions, impacting our competitive stance globally. 💼🔄 3️⃣ Decarbonization milestones at risk: The current 70% GHG emissions reduction threshold for low-carbon hydrogen production is viewed as inadequate for meeting long-term EU net-zero targets. More stringent criteria and larger regulatory visibility on the evolution of the threshold are necessary to align with our 2050 climate goals. The hydrogen industry is not like the car OEM industry. It cannot afford the uncertainties of introducing new standards every 4-5 years (i.e. Euro 1 regulation was introduced in 1992, and Euro 7 was adopted in 2024) 🌱♻️ These new rules by the EU represent both a challenge and an opportunity for the energy sector to innovate and adapt. As we navigate these complexities, collaboration and continued dialogue within the industry are essential. Let's work together to power a greener future! 🚜🔋 ...The rules are still open for consultation until this Friday Oct. 25... Bernhard Lorentz, Johannes Trüby, Johannes Brauer #Hydrogen #Decarbonization #EURegulations #EnergyTransition #Sustainability #Innovation
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“Yet, these are essential transition technologies, particularly for EU countries without sufficient PV or wind capacity. “ Translation: using PV and wind to generate hydrogen will never make sense. You simply loose to much energy. We already know that. To bad the EU finally realized that blue hydrogen is just meant to fool everyone. So now our plans to delay the energy transition failed. We will become obsolete faster. That hurts. For us.
How the EU is Blocking Innovation and Hydrogen Deployment Through Targeted Regulations The EU has ambitious climate goals: a 70% reduction in greenhouse gas emissions for hydrogen production to meet its 55% CO₂ reduction by 2030 target. This vision was shared in 2021, but examples like the implementation of RED II have shown that visions without a connection to reality lead to significant delays and uncertainties. The current draft of the Low Carbon Delegated Act (DA) for low-carbon hydrogen production exacerbates this trend. What Does This Mean? The European Union has defined clear requirements for hydrogen production with its 70% greenhouse gas (GHG) reduction threshold. This threshold mandates that hydrogen production must generate at least 70% fewer emissions compared to fossil fuels, translating to a maximum of 3.38 kg CO₂e per kilogram of hydrogen (kg CO₂e/kg H₂). This requirement applies to both: Renewable hydrogen, such as hydrogen produced via PEM electrolysis powered by photovoltaics (PV), achieving approximately 2.65 kg CO₂e/kg H₂, and Low-carbon hydrogen from natural gas using innovative technologies like plasma pyrolysis, which, with PV power and methane supply chain emissions, achieves around 2.96 kg CO₂e/kg H₂. At first glance, both technologies seem capable of meeting the threshold. However, the DA introduces targeted barriers, such as the 40% surcharge on methane supply chain emissions and the postponement of recognizing alternative power sources until 2028, effectively preventing the deployment of low-carbon hydrogen from natural gas. This deliberate and unfair regulation makes investments in CCSU technologies for blue/turquoise hydrogen or plasma pyrolysis economically unattractive. Yet, these are essential transition technologies, particularly for EU countries without sufficient PV or wind capacity. These nations have no chance of achieving the ambitious 70% GHG reduction threshold under the current framework. Conclusion: EU policymakers urgently need to act to avoid sabotaging the energy transition and the deployment of hydrogen technologies. The following changes are critical: Eliminate the 40% surcharge: Prioritize project-specific emission calculations to ensure fair treatment of all technologies. Technology-neutral recognition of all low-carbon power sources. Recognize the benefits of byproducts: Solid carbon and high-temperature heat from pyrolysis must be included as emission-reducing factors. Implement flexible rules for countries with limited resources: Introduce transitional provisions to enable countries without sufficient PV or wind capacities to enter the hydrogen economy.
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Technical Development Manager @ XRG | Career Transformation Coach for Executive & Mid-Career Energy Professionals | Creator of the CATALYST Framework (CCML™, PMP)
🌎 Critical Alert: CATF report reveals 95MT/y global hydrogen usage with only 0.1% from clean sources - representing a massive $500B+ decarbonization opportunity in existing industrial applications. The reality of hydrogen deployment faces three key challenges: • Physical constraints: H2's low volumetric density makes transport/storage complex • Production bottlenecks: Current clean H2 capacity severely limited - electrolysis requires 60% of all US renewable power just to meet existing demand • Infrastructure gaps: Maritime transport solutions face significant technical & economic hurdles, with 35-45% energy losses in liquid H2 handling Leading experts at CATF demonstrate clear prioritization needed: Tier 1 (No-regrets): Focus on decarbonizing existing 95MT/y industrial H2 use Tier 2: Strategic expansion into aviation/shipping Tier 3: Selective deployment in power/storage Recent EU regulations requiring 90%+ emissions reduction validate this pragmatic approach. The path forward requires laser focus on proven applications first. Replacing just refinery H2 could cut 240-380MT CO2/year - equivalent to the UK's total emissions. 💡 Question for energy leaders: Which industrial hydrogen application offers the best near-term decarbonization ROI - refining, ammonia, or methanol? #CleanHydrogen #EnergyTransition #IndustrialDecarbonization #CarbonReduction
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An extract from a recent article in the Financial Times that summarises well the impact that approval delays and spotty government funding are having on the potential of blue hydrogen to help get us to net-zero: "Hydrogen has been pitched as a clean superfuel that can decarbonise our heavy industry, power our vehicles and heat our homes - but its producers are finding that new projects are taking far longer to approve than expected. In 2021, the International Energy Agency (IEA) estimated that the world would need about 150mn tonnes of low-carbon hydrogen per year by 2030 to be on course to cut global emissions to net zero by the middle of the century. Now, three years later, analysts predict that available supply at the start of the next decade will be closer to a 10th of that level. Projects are not being developed fast enough. More than 1,600 worldwide have the potential to produce a combined 65 million tonnes per annum of low carbon hydrogen by 2030. Of those, however, only 477 are likely to be online at that point, according to a recent study by consultancy BNEF. ...Rising interest rates have significantly increased the cost of new projects. In Europe and the US, government schemes have been set up to subsidise low-carbon hydrogen but payments are yet to start flowing and - in many cases - customers are yet to materialise." #Carbon #NetZero #BlueHydrogen
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🌍 Hydrogen: From Chemical Element to Political Element! 🚀 Once upon a time, hydrogen was just a humble chemical element, the simplest and most abundant in the universe. But oh, how the tables have turned! Now, it’s the superstar of the political world, strutting its stuff on the global stage. European Court of Auditors recently published a special report on Renewable Hydrogen and associated policies .The ECA’s special reports set out the results of its audits of EU policies and programmes, or of management-related topics from specific budgetary areas. 🔹 Ambitious Yet Realistic Targets Needed 🔹 Funding and Investment Challenges 🔹 Low Strategic Cooridnation: Commission, Member States and Industry 🔹 Demand stimulation is low, so supply eventually would have to wait 🔹 Geographic Discrepancy Between Production and Industrial Demand 🌱🔋💧 The path to a hydrogen-powered Europe is filled with opportunities and challenges. It's crucial for the EU to continually adapt and ensure that strategic choices are grounded in reality, avoiding new dependencies while fostering sustainable growth. #hydrogen #sustainability #renewableenergy For more details, check out the full ECA Special Report 11/2024: https://lnkd.in/dTHnb8rJ
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