Policy & Socio-Economics
Green Hydrogen Credit Subsidized Renewable Energy-hydrogen Business Models for Achieving the Carbon Netural Future
Feb 2024
Publication
The global resurgence of hydrogen as a clean energy source particularly green hydrogen derived from renewable energy is pivotal for achieving a carbon-neutral future. However scalability poses a significant challenge. This research proposes innovative business models leveraging the low-emission property of green hydrogen to reduce its financial costs thereby fostering its widespread adoption. Key components of the business workflow are elaborated mathematical formulations of market parameters are derived and case studies are presented to demonstrate the feasibility and efficiency of these models. Results demonstrate that the substantial costs associated with the current hydrogen industry can be effectively subsidized via the implementation of proposed business models. When the carbon emission price falls within the range of approximately 86–105 USD/ton free access to hydrogen becomes a viable option for end-users. This highlights the significance and promising potential of the proposed business models within the green hydrogen credit framework.
Energy Sustainability: A Pragmatic Approach and Illustrations
Mar 2009
Publication
Many factors to be appropriately addressed in moving towards energy sustainability are examined. These include harnessing sustainable energy sources utilizing sustainable energy carriers increasing efficiency reducing environmental impact and improving socioeconomic acceptability. The latter factor includes community involvement and social acceptability economic affordability and equity lifestyles land use and aesthetics. Numerous illustrations demonstrate measures consistent with the approach put forward and options for energy sustainability and the broader objective of sustainability. Energy sustainability is of great importance to overall sustainability given the pervasiveness of energy use its importance in economic development and living standards and its impact on the environment.
An Overview of Hydrogen Valleys: Current Status, Challenges and their Role in Increased Renewable Energy Penetration
Sep 2024
Publication
Renewable hydrogen is a flexible and versatile energy vector that can facilitate the decarbonization of several sectors and simultaneously ease the stress on the electricity grids that are currently being saturated with intermittent renewable power. But hydrogen technologies are currently facing limitations related to existing infrastructure limitations available markets as well as production storage and distribution costs. These challenges will be gradually addressed through the establishment operation and scaling-up of hydrogen valleys. Hydrogen valleys are an important stepping stone towards the full-scale implementation of the hydrogen economy with the target to foster sustainability lower carbon emissions and derisk the associated hydrogen technologies. These hydrogen ecosystems integrate renewable energy sources efficient hydrogen production storage transportation technologies as well as diverse end-users within a defined geographical region. This study offers an overview of the hydrogen valleys concept analyzing the critical aspects of their design and the key segments that constitute the framework of a hydrogen valley. А holistic overview of the key characteristics of a hydrogen valley is provided whereas an overview of key on-going hydrogen valley projects is presented. This work underscores the importance of addressing challenges related to the integration of renewable energy sources into electricity grids as well as scale-up challenges associated with economic and market conditions society awareness and political decision-making.
Hydrogen Production, Transporting and Storage Processes—A Brief Review
Sep 2024
Publication
This review aims to enhance the understanding of the fundamentals applications and future directions in hydrogen production techniques. It highlights that the hydrogen economy depends on abundant non-dispatchable renewable energy from wind and solar to produce green hydrogen using excess electricity. The approach is not limited solely to existing methodologies but also explores the latest innovations in this dynamic field. It explores parameters that influence hydrogen production highlighting the importance of adequately controlling the temperature and concentration of the electrolytic medium to optimize the chemical reactions involved and ensure more efficient production. Additionally a synthesis of the means of transport and materials used for the efficient storage of hydrogen is conducted. These factors are essential for the practical feasibility and successful deployment of technologies utilizing this energy resource. Finally the technological innovations that are shaping the future of sustainable use of this energy resource are emphasized presenting a more efficient alternative compared to the fossil fuels currently used by society. In this context concrete examples that illustrate the application of hydrogen in emerging technologies are highlighted encompassing sectors such as transportation and the harnessing of renewable energy for green hydrogen production.
Strategic Analysis of Hydrogen Market Dynamics Across Collaboration Models
Oct 2024
Publication
The global energy landscape is experiencing a transformative shift with an increasing emphasis on sustainable and clean energy sources. Hydrogen remains a promising candidate for decarbonization energy storage and as an alternative fuel. This study explores the landscape of hydrogen pricing and demand dynamics by evaluating three collaboration scenarios: market-based pricing cooperative integration and coordinated decision-making. It incorporates price-sensitive demand environmentally friendly production methods and market penetration effects to provide insights into maximizing market share profitability and sustainability within the hydrogen industry. This study contributes to understanding the complexities of collaboration by analyzing those structures and their role in a fast transition to clean hydrogen production by balancing economic viability and environmental goals. The findings reveal that the cooperative integration strategy is the most effective for sustainable growth increasing green hydrogen’s market share to 19.06 % and highlighting the potential for environmentally conscious hydrogen production. They also suggest that the coordinated decision-making approach enhances profitability through collaborative tariff contracts while balancing economic viability and environmental goals. This study also underscores the importance of strategic pricing mechanisms policy alignment and the role of hydrogen hubs in achieving sustainable growth in the hydrogen sector. By highlighting the uncertainties and potential barriers this research offers actionable guidance for policymakers and industry players in shaping a competitive and sustainable energy marketplace.
Hydrogen Revolution in Europe: Bibliometric Review of Industrial Hydrogen Applications for a Sustainable Future
Jul 2024
Publication
Industrial applications of hydrogen are key to the transition towards a sustainable lowcarbon economy. Hydrogen has the potential to decarbonize industrial sectors that currently rely heavily on fossil fuels. Hydrogen with its unique and versatile properties has several in-industrial applications that are fundamental for sustainability and energy efficiency such as the following: (i) chemical industry; (ii) metallurgical sector; (iii) transport; (iv) energy sector; and (v) agrifood sector. The development of a bibliometric analysis of industrial hydrogen applications in Europe is crucial to understand and guide developments in this emerging field. Such an analysis can identify research trends collaborations between institutions and countries and the areas of greatest impact and growth. By examining the scientific literature and comparing it with final hydrogen consumption in different regions of Europe the main actors and technologies that are driving innovation in industrial hydrogen use on the continent can be identified. The results obtained allow for an assessment of the knowledge gaps and technological challenges that need to be addressed to accelerate the uptake of hydrogen in various industrial sectors. This is essential to guide future investments and public policies towards strategic areas that maximize the economic and environmental impact of industrial hydrogen applications in Europe.
Hopes and Fears for a Sustainable Energy Future: Enter the Hydrogen Acceptance Matrix
Feb 2024
Publication
Hydrogen-fuelled technologies for home heating and cooking may provide a low-carbon solution for decarbonising parts of the global housing stock. For the transition to transpire the attitudes and perceptions of consumers must be factored into policy making efforts. However empirical studies are yet to explore potential levels of consumer heterogeneity regarding domestic hydrogen acceptance. In response this study explores a wide spectrum of consumer responses towards the prospect of hydrogen homes. The proposed spectrum is conceptualised in terms of the ‘domestic hydrogen acceptance matrix’ which is examined through a nationally representative online survey conducted in the United Kingdom. The results draw attention to the importance of interest and engagement in environmental issues knowledge and awareness of renewable energy technologies and early adoption potential as key drivers of domestic hydrogen acceptance. Critically strategic measures should be taken to convert hydrogen scepticism and pessimism into hope and optimism by recognising the multidimensional nature of consumer acceptance. To this end resources should be dedicated towards increasing the observability and trialability of hydrogen homes in proximity to industrial clusters and hubs where the stakes for consumer acceptance are highest. Progress towards realising a net-zero society can be supported by early stakeholder engagement with the domestic hydrogen acceptance matrix.
Sustainability Certification for Renewable Hydrogen: An International Survey of Energy Professionals
Jun 2024
Publication
Hydrogen produced from renewable energy is being promoted to decarbonise global energy systems. To support this energy transition standards certification and labelling schemes (SCLs) aim to differentiate hydrogen products based on their system-wide carbon emissions and method of production characteristics. However being certified as low-carbon clean or green hydrogen does not guarantee broader sustainability across economic environmental social or governance dimensions. Through an international survey of energy-sector and sustainability professionals (n = 179) we investigated the desirable sustainability features for renewable hydrogen SCLs and the perceived advantages and disadvantages of sustainability certification. Our mixed-method study revealed general accordance on the feasible inclusion of diverse sustainability criteria in SCLs albeit with varying degrees of perceived essentiality. Within the confines of the data some differences in viewpoints emerged based on respondents’ geographical and supply chain locations which were associated with the sharing of costs and benefits. Qualitatively respondents found the idea of SCL harmonisation attractive but weighed this against the risks of duplication complicated administrative procedures and contradictory regulation. The implications of this research centre on the need for further studies to inform policy recommendations for an overarching SCL sustainability framework that embodies the principles of harmonisation in the context of multistakeholder governance.
The Development of a Green Hydrogen Economy: Review
Jun 2024
Publication
Building a hydrogen economy is perceived as a way to achieve the decarbonization goals set out in the Paris Agreement to limit global warming as well as to meet the goals resulting from the European Green Deal for the decarbonization of Europe. This article presents a literature review of various aspects of this economy. The full added value chain of hydrogen was analyzed from its production through to storage transport distribution and use in various economic sectors. The current state of knowledge about hydrogen is presented with particular emphasis on its features that may determine the positives and negatives of its development. It was noted that although hydrogen has been known for many years its production methods are mainly related to fossil fuels which result in greenhouse gas emissions. The area of interest of modern science is limited to green hydrogen produced as a result of electrolysis from electricity produced from renewable energy sources. The development of a clean hydrogen economy is limited by many factors the most important of which are the excessive costs of producing clean hydrogen. Research and development on all elements of the hydrogen production and use chain is necessary to contribute to increasing the scale of production and use of this raw material and thus reducing costs as a result of the efficiencies of scale and experience gained. The development of the hydrogen economy will be related to the development of the hydrogen trade and the centers of this trade will differ significantly from the current centers of energy carrier trade.
Mid-century Net-zero Emissions Pathways for Japan: Potential Roles of Global Mitigation Scenarios in Informing National Decarbonisation Strategies
Jan 2024
Publication
Japan has formulated a net-zero emissions target by 2050. Existing scenarios consistent with this target generally depend on carbon dioxide removal (CDR). In addition to domestic mitigation actions the import of low-carbon energy carriers such as hydrogen and synfuels and negative emissions credits are alternative options for achieving net-zero emissions in Japan. Although the potential and costs of these actions depend on global energy system transition characteristics which can potentially be informed by the global integrated assessment models they are not considered in current national scenario assessments. This study explores diverse options for achieving Japan's net-zero emissions target by 2050 using a national energy system model informed by international energy trade and emission credits costs estimated with a global energy system model. We found that demand-side electrification and approximately 100 Mt-CO2 per year of CDR implementation equivalent to approximately 10% of the current national CO2 emissions are essential across all net-zero emissions scenarios. Upscaling of domestically generated hydrogen-based alternative fuels and energy demand reduction can avoid further reliance on CDR. While imports of hydrogen-based energy carriers and emission credits are effective options annual import costs exceed the current cost of fossil fuel imports. In addition import dependency reaches approximately 50% in the scenario relying on hydrogen imports. This study highlights the importance of considering global trade when developing national net-zero emissions scenarios and describes potential new roles for global models.
A SWOT Analysis of the Green Hydrogen Market
Jun 2024
Publication
Since the Industrial Revolution humanity has heavily depended on fossil fuels. Recognizing the negative environmental impacts of the unmoderated consumption of fossil fuels including global warming and consequent climate change new plans and initiatives have been established to implement renewable and sustainable energy sources worldwide. This has led to a rapid increase in the installed solar and wind energy capacity. However considering the fluctuating nature of these renewable energy sources green hydrogen has been proposed as a suitable energy carrier to improve the efficiency of energy production and storage. Thus green hydrogen produced by water electrolysis using renewable electricity is a promising solution for the future energy market. Moreover it has the potential to be used for the decarbonization of the heavy industry and transportation sectors. Research and development (R&D) on green hydrogen has grown considerably over the past few decades aiming to maximize production and expand its market share. The present work uses a SWOT (strengths weaknesses opportunities and threats) analysis to evaluate the current status of the green hydrogen market. The external and internal factors that affect its market position are assessed. The results show that green hydrogen is on the right track to becoming a competitive alternative to fossil fuels soon. Supported by environmental benefits government incentives and carbon taxes roadmaps to position green hydrogen on the energy map have been outlined. Nevertheless increased investments are required for further R&D as costs must be reduced and policies enforced. These measures will gradually decrease global dependency on fossil fuels and ensure that roadmaps are followed through.
Research & Innovation for Climate Neutrality 2050: Challenges, Opportunities & the Path Forward
Jan 2024
Publication
Transforming Europe into a climate neutral economy and society by 2050 requires extraordinary efforts and the mobilisation of all sectors and economic actors coupled with all the creative and brain power one can imagine. Each sector has to fundamentally rethink the way it operates to ensure it can be transformed towards this new net-zero paradigm without jeopardising other environmental and societal objectives both within the EU and globally. Given the scale of the transformation ahead our ability to meet climate neutrality targets directly depends on our ability to innovate. In this context Research & Innovation programmes have a key role to play and it is crucial to ensure they are fit for purpose and well equipped to support the next wave of breakthrough innovations that will be required to achieve climate neutrality in the EU and globally by 2050. The objective of this study is to contribute to these strategic planning discussions by not only identifying high-risk and high-impact climate mitigation solutions but most importantly look beyond individual solutions and consider how systemic interactions of climate change mitigation approaches can be integrated in the development of R&I agendas.
Coupling Green Hydrogen Production to Community Benefits: A Pathway to Social Acceptance?
Feb 2024
Publication
Hydrogen energy technologies are forecasted to play a critical supporting role in global decarbonisation efforts as reflected by the growth of national hydrogen energy strategies in recent years. Notably the UK government published its Hydrogen Strategy in August 2021 to support decarbonisation targets and energy security ambitions. While establishing techno-economic feasibility for hydrogen energy systems is a prerequisite of the prospective transition social acceptability is also needed to support visions for the ‘hydrogen economy’. However to date societal factors are yet to be embedded into policy prescriptions. Securing social acceptance is especially critical in the context of ‘hydrogen homes’ which entails replacing natural gas boilers and hobs with low-carbon hydrogen appliances. Reflecting the nascency of hydrogen heating and cooking technologies the dynamics of social acceptance are yet to be explored in a comprehensive way. Similarly public perceptions of the hydrogen economy and emerging national strategies remain poorly understood. Given the paucity of conceptual and empirical insights this study develops an integrated acceptance framework and tests its predictive power using partial least squares structural equation modelling. Results highlight the importance of risk perceptions trust dynamics and emotions in shaping consumer perceptions. Foremost prospects for deploying hydrogen homes at scale may rest with coupling renewable-based hydrogen production to local environmental and socio-economic benefits. Policy prescriptions should embed societal factors into the technological pursuit of large-scale sustainable energy solutions to support socially acceptable transition pathways.
Evaluating the Economic Viability of Decentralised Solar PV-based Green Hydrogen for Cooking in Ghana
Jul 2024
Publication
Developing countries including Ghana face challenges ensuring access to clean and reliable cooking fuels and technologies. Traditional biomass sources mainly used in most developing countries for cooking contribute to deforestation and indoor air pollution necessitating a shift towards environmentally friendly alternatives. The study’s primary objective is to evaluate the economic viability of using solar PV-based green hydrogen as a sustainable fuel for cooking in Ghana. The study adopted well-established equations to investigate the economic performance of the proposed system. The findings revealed that the levelized cost of hydrogen using the discounted cash flow approach is about 89% 155% and 190% more than electricity liquefied petroleum gas (LPG) and charcoal. This implies that using the hydrogen produced for cooking fuel is not cost-competitive compared to LPG charcoal and electricity. However with sufficient capital subsidies to lower the upfront costs the analysis suggests solar PV-based hydrogen could become an attractive alternative cooking fuel. In addition switching from firewood to solar PVbased hydrogen for cooking yields the highest carbon dioxide (CO2) emissions savings across the cities analysed. Likewise replacing charcoal with hydrogen also offers substantial CO2 emissions savings though lower than switching from firewood. Correspondingly switching from LPG to hydrogen produces lower CO2 emissions savings than firewood and charcoal. The study findings could contribute to the growing body of knowledge on sustainable energy solutions offering practical insights for policymakers researchers and industry stakeholders seeking to promote clean cooking adoption in developing economies.
Multiplier Effect on Reducing Carbon Emissions of Joint Demand and Supply Side Measures in the Hydrogen Market
Jun 2024
Publication
Hydrogen energy is critical in replacing fossil fuels and achieving net zero carbon emissions by 2050. Three measures can be implemented to promote hydrogen energy: reduce the cost of low-carbon hydrogen through technological improvements increase the production capacity of low-carbon hydrogen by stimulating investment and enhance hydrogen use as an energy carrier and in industrial processes by demand-side policies. This article examines how effective these measures are if successfully implemented in boosting the hydrogen market and reducing global economy-wide carbon emissions using a global computable general equilibrium model. The results show that all the measures increase the production and use of low-carbon hydrogen whether implemented alone or jointly. Notably the emissions reduced by joint implementation of all the measures in 2050 become 2.5 times the sum of emissions reduced by individual implementation indicating a considerable multiplier effect. This suggests supply and demand side policies be implemented jointly to maximize their impact on reducing emissions.
Supply and Demand Drivers of Global Hydrogen Deployment in the Transition Toward a Decarbonized Energy System
Nov 2023
Publication
The role of hydrogen in energy system decarbonization is being actively examined by the research and policy communities. We evaluate the potential “hydrogen economy” in global climate change mitigation scenarios using the Global Change Analysis Model (GCAM). We consider major hydrogen production methods in conjunction with delivery options to understand how hydrogen infrastructure affects its deployment. We also consider a rich set of hydrogen end-use technologies and vary their costs to understand how demand technologies affect deployment. We find that the availability of hydrogen transmission and distribution infrastructure primarily affects the hydrogen production mix particularly the share produced centrally versus on-site whereas assumptions about end-use technology primarily affect the scale of hydrogen deployment. In effect hydrogen can be a source of distributed energy enabled by on-site renewable electrolysis and to a lesser extent by on-site production at industrial facilities using natural gas with carbon capture and storage (CCS). While the share of hydrogen in final energy is small relative to the share of other major energy carriers in our scenarios hydrogen enables decarbonization in difficult-to-electrify end uses such as industrial high-temperature heat. Hydrogen deployment and in turn its contribution to greenhouse gas mitigation increases as the climate objective is tightened.
The Technopolitics of Hydrogen: Arab Gulf States' Pursuit of Significance in a Climate-Constrained World
Nov 2024
Publication
Despite uncertainties surrounding the hydrogen economy’s emergence in terms of technological innovation production storage and transport policy and regulation economic viability and environmental impact coun tries worldwide actively pursue initiatives to engage in this critical energy transition. Politicians analysts and global experts see ‘clean’ hydrogen as the ultimate solution for addressing the climate crisis. This optimism is shared by several major oil and gas-exporting nations which are investing heavily in hydrogen infrastructure to establish themselves as future global hubs. Oman Saudi Arabia and the United Arab Emirates (UAE) are especially well-positioned benefiting from strategic advantages over other hydrogen-producing regions in the Global South. Advocates in these countries view hydrogen as a potential ‘silver bullet’ for sustaining political and economic influence in a world increasingly shaped by climate constraints. Western technology and expertise play a significant role in supporting these efforts. By using various qualitative methods this paper employs and expand the concept of technopolitics to evaluate the role of industrialized nations in endorsing the Gulf states’ authoritarian top-down techno-optimistic approach to their sustainability agenda.
Advanced Biofuels in the European Union - Status Report on Technology Development, Trends, Value Chains & Markets
Jan 2024
Publication
The report provides a detailed examination of the biofuel sector and advanced biofuel sector within the European Union (EU) focusing on its economic environmental and technological dimensions. The report is an update of the CETO 2023 report. The EU is highlighted as the central point of view with specific references to EU Member States showcasing their roles in the sector. The report is essential for understanding the multifaceted role of advanced biofuels in the EU's strategy to reduce greenhouse gas emissions and enhance energy security. The report underscores the EU's commitment through various policies and directives such as the Renewable Energy Directive and its amendment which set sustainability criteria and define advanced biofuels. The report details the EU's leadership in scientific publications and high-value patents in the advanced biofuel sector. It gives insights into the current state of innovation and the areas where the EU is leading. The report delves into technological advancements and challenges in the biofuel sector. It discusses various advanced biofuel technologies currently being developed and commercialised. The report covers the trends in installed capacity and production of biofuels within the EU providing a comparative analysis with other regions. It details the production capacities and operational plants for bioethanol and biodiesel. The report provides comprehensive data on the economic contributions of the advanced biofuel sector to the EU's economy. The report details the sector's impact on GDP and employment highlighting the significant contributions from operation and maintenance feedstock supply construction and equipment manufacturing. The report emphasises the importance of continued investment technological development and international collaboration to ensure the advanced biofuel sector's growth and sustainability.
Progress in Green Hydrogen Adoption in the African Context
Aug 2024
Publication
Hydrogen is an abundant element and a flexible energy carrier offering substantial potential as an environmentally friendly energy source to tackle global energy issues. When used as a fuel hydrogen generates only water vapor upon combustion or in fuel cells presenting a means to reduce carbon emissions in various sectors including transportation industry and power generation. Nevertheless conventional hydrogen production methods often depend on fossil fuels leading to carbon emissions unless integrated with carbon capture and storage solutions. Conversely green hydrogen is generated through electrolysis powered by renewable energy sources like solar and wind energy. This production method guarantees zero carbon emissions throughout the hydrogen’s lifecycle positioning it as a critical component of global sustainable energy transitions. In Africa where there are extensive renewable energy resources such as solar and wind power green hydrogen is emerging as a viable solution to sustainably address the increasing energy demands. This research explores the influence of policy frameworks technological innovations and market forces in promoting green hydrogen adoption across Africa. Despite growing investments and favorable policies challenges such as high production costs and inadequate infrastructure significantly hinder widespread adoption. To overcome these challenges and speed up the shift towards a sustainable hydrogen economy in Africa strategic investments and collaborative efforts are essential. By harnessing its renewable energy potential and establishing strong policy frameworks Africa can not only fulfill its energy requirements but also support global initiatives to mitigate climate change and achieve sustainable development objectives.
Analysing the Prospects of Grid-connected Green Hydrogen Production in Predominantly Fossil-based Countries - A Case Study of South Africa
Aug 2024
Publication
Importing substantial amount of green hydrogen from countries like South Africa which have abundant solar and wind potentials to replace fossil fuels has attracted interest in developed regions. This study analyses South African strategies for improving and decarbonizing the power sector while also producing hydrogen for export. These strategies include the Integrated Resource Plan the Transmission Development Plan Just Energy Transition and Hydrogen Society Roadmap for grid connected hydrogen production in 2030. Results based on an hourly resolution optimisation in Plexos indicate that annual grid-connected hydrogen production of 500 kt can lead to a 20–25% increase in the cost of electricity in scenarios with lower renewable energy penetration due to South African emission constraints by 2030. While the price of electricity is still in acceptable range and the price of hydrogen can be competitive on the international market (2–3 USD/kgH2 for production) the emission factor of this hydrogen is higher than the one of grey hydrogen ranging from 13 to 24 kgCO2/kgh2. When attempting to reach emission factors based on EU directives the three policy roadmaps become unfeasible and free capacity expansion results in significant sixteen-fold increase of wind and seven-fold increase in solar installations compared to 2023 levels by 2030 in South Africa.
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