Sands of Change: The Colours of Hydrogen

Green. Blue. Grey. Pink - when you hear this in the energy world, it’s all about hydrogen. Each colour tells a different story about how this clean fuel is made and how it impacts our planet. Let’s break down what these terms mean for hydrogen and where hydrogen fits into our team of #AvengersofClimateTech for #ClimatetechintheUAE

Why is Hydrogen Technology Important?

Hydrogen energy is an emerging field in the renewable energy landscape, offering a promising alternative to traditional fossil fuels. However, hydrogen is not easily found in the natural world and must be created.

Hydrogen can be produced from various resources, including natural gas, nuclear power, biomass, and renewable energy sources like solar and wind. Its primary appeal lies in its versatility and potential for being an alternative fuel source which does not release carbon dioxide when burned. However, hydrogen’s benefit as an alternative depends largely on the production process. The infographic below shows some colours of hydrogen, their energy source, and the production process.

The gold standard for hydrogen is Green Hydrogen, which is produced through a process called electrolysis, where water is separated into oxygen and hydrogen. Electrolytic processes take place in an electrolyzer, which functions like a fuel cell in reverse—instead of using the energy of a hydrogen molecule, like a fuel cell does, an electrolyzer creates hydrogen from water molecules. This process results in the least carbon emissions compared to other hydrogen production.

Grey and Blue hydrogen are produced through steam reforming, a high-temperature process in which steam reacts with a hydrocarbon fuel to produce hydrogen. Many hydrocarbon fuels can be reformed to produce hydrogen, including natural gas, diesel, renewable liquid fuels, gasified coal, or gasified biomass.?

Currently, more than 90% of? all hydrogen is produced is Grey Hydrogen. According to a Mckinsey report, by 2050, green hydrogen is expected to dominate the mix, accounting for 50-65% of hydrogen produced.?

Opportunities in the Middle East

The Middle East has the potential to benefit from cost-competitive natural gas availability and carbon storage solutions. The projected mix for the Middle East by 2050 is 30 mt of hydrogen produced, 70% + driven by blue hydrogen.?

The UAE released its National Hydrogen Strategy 2031 last year, aiming to produce 1.4 million tonnes of hydrogen annually by 2031. The UAE has the potential to produce blue and green hydrogen, benefitting from ample reserves of natural gas (the UAE holds the world's seventh-largest natural gas reserves at 215 trillion cubic feet), and abundant solar energy.?

Investment into Hydrogen is already underway in the UAE. One example is the Green Hydrogen project, a US$14 million initiative between DEWA, Expo 2020 Dubai, and Siemens Energy. The pilot plant will leverage solar power at the Mohammed bin Rashid Al Maktoum Solar Park to produce green hydrogen via electrolysis.

Challenges:

• High Production Costs: Currently, producing hydrogen from low-carbon energy sources is expensive. However, the IEA predicts costs could drop by 30% by 2030 due to cheaper renewables and mass production of hydrogen technologies.
• Slow Infrastructure Development: The slow growth of refueling infrastructure hinders the adoption of hydrogen. Consumer prices depend on the number of refueling stations, their usage, and hydrogen delivery volumes. Coordinated efforts between governments, industry, and investors are needed to improve this.
• Dependence on Fossil Fuels: Most hydrogen today comes from natural gas and coal, leading to significant CO2 emissions. Transitioning to a clean energy future involves capturing CO2 from fossil-fuel-based hydrogen production and increasing hydrogen from renewable sources.
• Regulatory Barriers: Existing regulations can impede the growth of a clean hydrogen industry. Governments and industries must collaborate to remove these barriers, establish international standards for the safe transport and storage of hydrogen, and track its environmental impact.

Stay tuned for our series on #ClimatetechintheUAE, and check out our previous posts by clicking on the hashtag!