Green Hydrogen

5- SESSIONS
Hydrogen market
segmentation and
assessment.

Developing and Examining key

growing hydrogen
hydrogen value applications and
propositions. markets.

Producing
Storing and
hydrogen from
moving
renewable
hydrogen.
power.
OVERSEAS DEVELOPERS
Germany’s green hydrogen import initial H2Global:
 Expects physical delivery of a first cargo into Germany by end 2024.
 Aim is to support 500 MW of electrolyser projects.
Demand Side: Annual auctions for “HSAs (Hydrogen Sales Agreements)
 First HSA auction “is planned for 2023”.
 Likely to focus on green hydrogen and derivatives (e.g. ammonia,
methanol or SAF).
Telecommunication Towers
Telecoms is a primary market for fuel cell back-up
power
 Early fuel cell solutions often focused on PEM,
requiring pure hydrogen.
 This combination creates significant logistical and
performance issues related to securing hydrogen of
sufficient purity and having it delivered to sites when
needed.
Most telecom tower systems today use methanol-or
ammonia-based fuel cells.
 These fuels can be more easily procured and stored
for longer than hydrogen.
POWER: Coal Gas Hydrogen
World-first green hydrogen and storage plan to help turn Los Angeles 100% renewable.
Gas turbines to transition to run on renewable-produced hydrogen stored in underground
caverns the size of the Empire State Building.
 The Intermountain Power Plant (IPP) site in Delta, Utah
 Run by the Los Angeles Department of water and power (LADWP)
A coal power plant is being switched first to gas/H2, later to 100% H2.
 2025: Two combined-cycle gas turbines (840 MW) will come online in 2025.
 The plant will enter operation with a 30% blend of green hydrogen.
Light and Heavy Commercial Vehicles

 Hyundai bringing hydrogen fuel cell trucks to California.

 Opel and Vauxhall present Vivaro-e Hydrogen fuel cell plug-in
 A 10.5 KWh battery that is good for up to 50 km.
 400 km full range will launch “in late 2021” (or 2023 in UK form)
Hydrogen trucks in China
 Hyzon motor to supply up to 500 hydrogen fuel cell electric vehicles to
Shanghai logistics company.
 Great well motor delivers 100 hydrogen trucks to china with 111KW hydrogen
fuel cell engines.
 Claim to be 28% cheaper than diesel alternatives.
Limits to hydrogen: Practicality
40

35
35

30
30

25
25

20
20

15
15

10
10

5
5

0
0
Battery 2020 Battery 2025 Ammonia Methanol Diesel Gasoline Methane Hydrogen
 Breakdown of system costs (example)
300

269

250

200
Capital Cost (€

150
m)

105
100

70
64
57
50

26 30
21

2
0
Electrolyser HV electrical Water Supply Pipeline Capex Equipment Capex Construction Engineering & Contigency & Total Cost
Capex Capex Capex Other Cost Escalation
 Electrolyzer simple economics…
INPUTS
Installed cost of electrolyzer
$/kW 1200
O&M cost (annual, fixed) % of installed 4.00%
Electricity usage kWh/kgH2 58
Degradation rate %/1000 hrs 0.15%
Electricity cost $/MWh 60
Water usage I/kgH2 10
Water cost $/m3 1
Value of oxygen $/kg 0.18
Oxygen sold % 0%
Value of waste heat $/MWh 30
Heat sold % 0%
Grid services value $/MW/h 30
Flexible operation time % of operating 0%
Cost of capital/discount rate % 15%
Stack lifetime hrs 80,000
Required payback period yrs 15
Hydrogen Production
Electrolysis Technologies
Electrolyser type Common abbreviations Key attributes

Alkaline ALK,AEC,AE,AES • Most mature

• Cheapest

Proton exchange / PEM • More flexible

Polymer Electrolyte Membrane • Smaller footprint

Anion Exchange Membrance AEM • Limited deployment to date

• Small scale to date

Solid Oxide SOE, SOEC • High efficiency (waste heat)

(also HTE : high- • Pilot stage, limited sacle
Temperature electrolyser)
 The “stack” dominates energy use
Non-stack components account for 10% of
total energy use
Water supply

Electrical current supply AC Supply

Energy Use
<2% fugitive emission
Hyrdrogen from hydrogen lost in
membranes
1.9 kqhw/kg Rectifier, transformer

5 nine
Water Water de- Drying and purity
Pressurisation Stack deoxygenation
distribution ionisation hydrogen

0.05 0.05 1.1 1.2 Kwhe/kg additional

kWhe/kg kWhe/kg 50-55 KWhe/kg Kwhe/kg (mostly pressurisation)
Inputs, Outputs & Efficiencies
Some essential numbers:
1 KG of H2 contains…
 39.4 KWh of energy
 33.3 KWh of energy

To produce 1 KG of H2 requires…
9 litres of water
At least 39.4 KWh of energy input
Also Produces….
 8 Kg of O2
 (+Some heat)
Hydrogen colours (simple version)
The Suiso Frontier liquid hydrogen carrier moored at the Port of Hastings,
Victoria, Australia, on Friday, Jan. 21, 2022.
 
Solid hydrogen storage
Advantages :
 High purity storage
 Safety (low pressure storage)
 No boil-off or blow-off losses
 Low rate of release, in the case of leakage
 80-90% efficiency?
 Compactness : (up to 150 kgH2/m3 vs.39 kgH2/m3 for gas at 700 bar)
Disadvantages :
 Dehydrogenatiom consumes heat (could use waste heat from fuel-cells, cooling the fuel-cell at the same
time)
 Heavy
 Limited lifetime
 Lengthy charge & discharge
 Other aspects worth keeping an eye on…
Green hydrogen inherent safety practices on large industrial scale
Feb 2022:
 Institute for Sustainable Process Technology (ISPT) plus partners HyCC, Orsted, Shell, Yara, DNV, RHDHV and TNO
A project to increase awareness of safety for large electrolysis plants
 “Advance all related safety aspects and develop a uniform safety approach”
 “Tools, methods, and data for assessments of risks”
 “Communicate about safety risks transparently”

DNV launches green hydrogen JIP

Feb 2022:
New Joint Industry Project (JIP) with 18 industry partners
Aims to “enhance the standardisation” of reliable, safe, and cost-efficient green
hydrogen production systems
Green hydrogen project support in India

Free wheeling of power, open access in National Hydrogen Policy

 Targeting production of 5 million tonnes of green hydrogen by 2030

 ‘Free-wheeling’ of electricity: if used for electrolysis, access is “free of cost (waiver
of inter-state transmission charges)
 Valid “for a period of 25 years for green hydrogen & green ammonia projects
commissioned before June 30, 2025”
 Renewable power not consumed can be “banked… for up to 30 days, with the
distribution company”
 “Connectivity to the grid on a priority basis to avoid procedural delays”
 “Goods and Services Tax (GST) rate at nil for domestically-manufactured
electrolysers for a five-year period”
 A mandate for green hydrogen and ammonia in end-use industries is “under
discussion”
Demand & Policy Drivers

Not just carbon / global climate change…

 Local air quality

 Energy security
 Energy access & affordability
 Industrial strategy
 …?
How does Hydrogen fit
with Policy Objectives?
Green hydrogen biz case
Revenues > Costs Installed Cost (Capex)($)
“Stuff”(Equipment)
Labour
H2(kg) X Price ($/kg) & “soft” costs

+ Other Revenues? ($)

 Carbon Credits / ‘Green Premium’
 Oxygen sales
 Grid Services (‘flexibility’)
 Heat sales
THANK YOU