Policy & Socio-Economics

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.

The Republic of Djibouti has untapped potential in terms of renewable energy resources such as geothermal wind and solar energy. This study examines the economic feasibility of green hydrogen production by water electrolysis using wind and geothermal energy resources in the Asal–Ghoubbet Rift (AG Rift) Republic of Djibouti. It is the first study in Africa that compares the cost per kg of green hydrogen produced by wind and geothermal energy from a single site. The unit cost of electricity produced by the wind turbine (0.042 $/kWh) is more competitive than that of a dry steam geothermal plant (0.086 $/kWh). The cost of producing hydrogen with a suitable electrolyzer powered by wind energy ranges from $0.672/kg H2 to $1.063/kg H2 while that produced by the high-temperature electrolyzer (HTE) powered by geothermal energy ranges from $3.31/kg H2 to $4.78/kg H2 . Thus the AG Rift area can produce electricity and green hydrogen at low-cost using wind energy compared to geothermal energy. The amount of carbon dioxide (CO2 ) emissions reduced by using a “Yinhe GX113-2.5MW” wind turbine and a single flash geothermal power plant instead of fuel-oil generators is 2061.6 tons CO2/MW/year and 2184.8 tons CO2/MW/year respectively.

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.

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.

South Korea developed its hydrogen strategies to achieve carbon neutrality and dominate the hydrogen economy amidst and with the impetus of the coronavirus disease 2019 (COVID-19) pandemic. The government strives toward the goal via continuous investment in green hydrogen technologies as well as strategic collaborations. To facilitate the transition into the hydrogen economy this study presents a research and development (R&D) investment and collaboration framework as a national strategy. The framework offers abundant information to elucidate the technology R&D spectrum and regional dimensions of the strategy. Furthermore the proposed framework was applied to the Korean hydrogen economy comprising 955 nationally funded projects worth USD 565.7 million. The statuses and trends of the government’s investment in nationally funded research projects are illustrated with regard to the value chains of the hydrogen economies of 16 regions as well as nine technology clusters relating to the hydrogen economy thereby determining the research organizations that played crucial roles in each cluster of the 16 regions between 2015 and 2020. The results indicate that the research organizations in Daejeon acquired the highest government R&D funding in many hydrogen-economy-related research fields and that an R&D spectrum-based research/strategic collaboration is required to accomplish specialized complexes in the regions.

The UK’s first-ever Hydrogen Strategy drives forward the commitments laid out in the Prime Minister’s ambitious 10 Point Plan for a green industrial revolution by setting the foundation for how the UK government will work with industry to meet its ambition for 5GW of low carbon hydrogen production capacity by 2030 – the equivalent of replacing natural gas in powering around 3 million UK homes each year as well as powering transport and businesses particularly heavy industry.<br/>A booming UK-wide hydrogen economy could be worth £900 million and create over 9000 high-quality jobs by 2030 potentially rising to 100000 jobs and worth up to £13 billion by 2050. By 2030 hydrogen could play an important role in decarbonising polluting energy-intensive industries like chemicals oil refineries power and heavy transport like shipping HGV lorries and trains by helping these sectors move away from fossil fuels. Low-carbon hydrogen provides opportunities for UK companies and workers across our industrial heartlands.<br/>With government analysis suggesting that 20-35% of the UK’s energy consumption by 2050 could be hydrogen-based this new energy source could be critical to meet our targets of net zero emissions by 2050 and cutting emissions by 78% by 2035 – a view shared by the UK’s independent Climate Change Committee. In the UK a low-carbon hydrogen economy could deliver emissions savings equivalent to the carbon captured by 700 million trees by 2032 and is a key pillar of capitalising on cleaner energy sources as the UK moves away from fossil fuels.

The utilization of hydrogen energy is important for achieving a low-carbon society. Japan has set ambitious goals for hydrogen stations and fuel cell vehicles focusing on the introduction and dissemination of self-refuelling systems. This paper evaluates public trust in the fuel equipment and self-handling technology related to self-refuelling hydrogen stations and compares it with that for widespread gasoline stations. To this end the results of an online survey of 300 people with Japanese driver licenses are reported and analyzed. The results show that trust in the equipment and self-handling is more important for the user than trust in the fuel. In addition to introduce and disseminate new technology such as hydrogen stations users must be made aware of the risk of using the technology until it becomes as familiar as existing gasoline station technology.

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

Over the past three years there has been a rapid increase in discussions across the different levels of Australia's governments about the role that hydrogen might play in helping the world transition to a low carbon future. While those working in the energy industry are aware of the opportunities and challenges that lay ahead the general public is less engaged. However we know from the  introduction of previous technologies that public attitudes towards technologies including whether they view them to be safe can severely impact overall acceptance. Understanding how the public perceives hydrogen both for domestic and export use and the potential benefits it brings to Australia is critical for the industry to progress. In this paper we present the initial findings of a national survey of the Australian public conducted in March 2021 which builds on the results of a previous survey conducted in 2018. The 2021 respondents were drawn from all Australian states and territories (n=3020) and quotas were used to ensure adequate representation of age groups and gender. Overall the respondents have favorable views about using hydrogen for energy in Australia with caveats about production-related environmental impacts and issues such as safety. While there has been a slight increase in support for hydrogen as a possible solution for energy and environmental challenges since the 2018 survey the effect size is very small. This suggests that while hydrogen discussions have increased at a policy level little has been done to improve public understanding of hydrogen in communication strategies will be needed as the Australian hydrogen industry continues to develop and gain more widespread media attention.

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.