COP27 insight series "accelerate the realization of net zero emissions"
On the occasion of world leaders gathered in COP27 ready for next month, we will discuss its net zero emissions transformation need to take action to discuss this important issue.In our new "accelerate the realization of net zero emissions" insight series, our experts will discuss the hydrogen, coal transition, cleaning, cooling, just outside the transition and the value chain of content.We will share the opinion of each of these challenges and opportunities, and illustrate to help us to accelerate the decarburization practical solutions for the future.We will discuss three parts, namely, the hydrogen potential difficulties, deployment, and how to overcome these difficulties, first start from the first part.
Hydrogen rich reserves, not only can store energy, can provide electric power in the high demand period, and the application range from family electricity heating to heavy industry, etc.Everything seems to be so perfect, perfect to let a person can't believe it.However, when things look too perfect, we'd better keep a sober.Must be at least aware of, things may not be so simple.There are several factors lead to the hydrogen deployment of obstacles.Some of the small, less mentioned barriers include:
- Lack of system as a whole to consider -Future energy systems need to use hydrogen and electricity at the same time, not one of them.This means that the system is critical to overall consideration.For commercial vehicle utilization high, for example, electric cars may be more efficient, but the use of hydrogen will come on time, and can reduce the battery weight.These factors may mean that commercial vehicle owners may choose to hydrogen cars rather than electric cars.
- Environmental impact -The global warming ozeme depletion potential of hydrogen is bigger than originally thought.As a kind of indirect greenhouse gas (GHG), interaction between it and other greenhouse gases in the atmosphere and enhance its influence.To avoid leakage of the supply chain to ensure that it will not increase the impact on the environment, will be critical.
- Prejudice and unreliable information -There are many different opinions in the hydrogen industry.These different points of view, coupled with the lack of objective evidence, could damage the confidence of the decision makers, including investors, major commitment.If hydrogen is to be developed into a kind of clean energy solutions, the industry will need to master more fair and objective evidence of a reliable source.
- Policy and regulation -Currently lack the hydrogen regulatory framework, this makes it hard for commercial projects into future costs and revenues.The hydrogen involves many isolated regulatory environment, including natural gas, electricity and water.At present, about how they are combined with hydrogen, also there is no clear point of view.Therefore, encourage investment in the private sector can be difficult.Although there are some of the UK for the hydrogen innovation and deployment of policy support, but still need more policy support to inspire confidence and attract foreign investment.
Besides, there are more difficult to overcome, well known disorders, including:
- High cost of end-to-endAlthough the hydrogen technology continues to advance the development path of the energy industry, but too high end-to-end cost seriously suppress the application process.Net zero legislation makes the decarburization process inevitably to use clean hydrogen, but the cost is still a problem.However, the government of the United States, the European Union recently launched subsidy policy, and loose policy requirements, coupled with high gas prices, prompt hydrogen had lower prices.Britain to remain attractive to investors, the British government also needs to explore similar support mechanism.
- The lack of market -The introduction of appropriate business models will be to stimulate, build the market is very important.The dawn began in April 2022, when British business, energy and industrial strategy (BEIS) released the low hydrocarbon can guide the business model terms outline, has been clear about the direction and mechanism industry need urgently expected investment.You need to solve, is building the development, investment, and other interested parties mutually beneficial win-win hydrogen commercialization operation mechanism.Once the obvious benefits, market interaction which will increase.In the world, other countries are also seeking to support market growth mechanism.For example, Germany and Australia government has launched a joint feasibility study.For HySupply project, Germany and Australia will begin to look for opportunities to make the matching of supply and demand between the two countries, so as to stimulate demand.
- The hydrogen infrastructure is incomplete -Unlike electricity and natural gas, there is no ready-made hydrogen storage and distribution of ecosystems.This means that the entire value chain must be extended at the same time, to overcome the plight of "chicken and egg".Hydrogen supply and demand and establish a supporting infrastructure, requiring the unprecedented cooperation and coordination and clear goals.
- Security question -Hydrogen is highly flammable, this means that must pay attention to the safe use in different applications, especially in the household.Hydrogen is small in size, can pass our existing infrastructure of gas leakage, need people to extreme value.The good news is that this type of infrastructure is upgraded to a hydrogen resistant PVC material from steel materials.
Listed above most of the obstacles is the commercial and social disorder, and some related to the low efficiency of the hydrogen in the entire value chain of technical barriers.There is no universal, there is no solution for all scenarios, the hydrogen is no exception.In order to realize the goal of zero net to the rapid, economic, we need a series of solutions, so as to where it is needed, when it needs, providing clean energy.This makes for each solution to find the right role, and to determine the required innovation that can make every solution as feasible reality.Released in August 2021, the British government announced the long-awaited "hydrogen strategy", which to some extent, solve the problem, but need a wide range of stakeholder participation and more open to innovation.
Our vision is: to the industry based on the system as a whole, the deployment of the hydrogen, to achieve cost-effective net zero transition.We have been trying to understand and grasp, in promoting innovation and solve the obstacles on the role of the mission, this is our "hydrogen accelerated the development of" a part of the action.We are working with academia, the hydrogen production and the end user of local government experts in the field of cooperation.In every stage, we adopt the method is: cooperation, analyze and understand problems, make joint is conducive to the hydrogen industry, and is advantageous to the broader energy system solutions.
In my next and last article, we will share our designed to help industry to overcome the barriers.In addition, if you are the hydrogen innovators, project developers or investors, if you have any questions about the industry or have any idea to promote the development of the industry, please contact us.