Hydrogen economy

The hydrogen economy is an umbrella term that draws together the roles hydrogen can play alongside renewable electricity to decarbonize specific economic sectors, sub-sectors and activities which may be technically difficult to decarbonize through other means, or where cheaper and more energy-efficient clean solutions are not available.[2] In this context, hydrogen economy encompasses hydrogen’s production through to end-uses in ways that substantively contribute to avoiding the use of fossil fuels and mitigating greenhouse gas emissions.

According to the International Renewable Energy Agency, hydrogen has the most potential to reduce greenhouse gas emissions when used in chemical production, refineries, international shipping, and steelmaking.[1]

Most hydrogen produced today is ‘gray’ hydrogen, made from natural gas through steam methane reforming (SMR) which accounted for 1.8% of global greenhouse gas emissions in 2021.[3] Low-carbon hydrogen, which is made using SMR with carbon capture and storage ('blue' hydrogen), or through electrolysis of water using renewable power ('green' hydrogen), accounted for under 1% of production.[4] Virtually all hydrogen produced is used in oil refining (43% in 2021) and industry (57%), principally in the manufacture of ammonia for fertilizers, and methanol.[5]: 18, 22, 29 

In its contribution to limiting global warming to 1.5°C, it is broadly envisaged that the future hydrogen economy replaces gray hydrogen with blue and predominantly green hydrogen, produced in greater total volumes, to provide for an expanded set of end-uses.[6] These are likely to be in heavy industry (e.g. high temperature processes alongside electricity, feedstock for production of green ammonia and organic chemicals, as alternative to coal-derived coke for steelmaking), long-haul transport (e.g. shipping, aviation and to a lesser extent heavy goods vehicles), and long-term energy storage.[7][8] Other applications, such as light duty vehicles and heating in buildings, are increasingly found to be out of scope for the future hydrogen economy, primarily for economic and environmental reasons.[9][10] These reasons include the difficulty of developing long-term storage, pipelines, and engine equipment, safety concerns since hydrogen is highly explosive, and the inefficiency of hydrogen compared to direct use of electricity.

The extent to which hydrogen will be used to decarbonise appropriate applications in heavy industry, long haul transport and long-term energy storage is likely to be influenced by the evolving production costs of low- and zero-carbon hydrogen. Estimates of future costs face numerous uncertainties – such as the introduction of carbon taxes, geography and geopolitics of energy, energy prices, technology choices, and their raw material requirements – but it is likely that green hydrogen will see the greatest reductions in production cost over time.[11]

History and contemporary rationale

Origins

The concept of the hydrogen economy, though not the term, was by geneticist J.B.S. Haldane in 1923, who, anticipating the exhaustion of Britain’s coal reserves for power generation, proposed a network of wind turbines to produce hydrogen for long-term energy storage through electrolysis, to help address renewable power’s variable output.[12] The term itself was coined by John Bockris during a talk he gave in 1970 at General Motors (GM) Technical Center.[13] Bockris viewed it as an economy in which hydrogen, underpinned by nuclear and solar power, would help address growing concern about fossil fuel depletion and environmental pollution, by serving as energy carrier for end-uses in which electrification was not suitable.[2]

A hydrogen economy was proposed by the University of Michigan to solve some of the negative effects of using hydrocarbon fuels where the carbon is released to the atmosphere (as carbon dioxide, carbon monoxide, unburnt hydrocarbons, etc.). Modern interest in the hydrogen economy can generally be traced to a 1970 technical report by Lawrence W. Jones of the University of Michigan,[14] in which he echoed Bockris’ dual rationale of addressing energy security and environmental challenges. Unlike Haldane and Bockris, Jones only focused on nuclear power as the energy source for electrolysis, and principally on the use of hydrogen in transport, where he regarded aviation and heavy goods transport as the top priorities.[15]

Later evolution
Contemporary view of the hydrogen economy from the International Renewable Energy Agency

A spike in attention for the hydrogen economy concept during the 2000s was repeatedly described as hype by some critics and proponents of alternative technologies,[16][17][18] and investors lost money in the bubble.[19] Interest in the energy carrier resurged in the 2010s, notably with the forming of the World Hydrogen Council in 2017. Several manufacturers released hydrogen fuel cell cars commercially, with manufacturers such as Toyota, Hyundai, and industry groups in China having planned to increase numbers of the cars into the hundreds of thousands over the next decade.[20][21]

The global scope for hydrogen’s role in cars is shrinking relative to earlier expectations.[22][23] By the end of 2022, 70,200 hydrogen vehicles had been sold worldwide,[24] compared with 26 million plug-in electric vehicles.[25]

Contemporary takes on the hydrogen economy share earlier perspectives’ emphasis on the complementarity of electricity and hydrogen, and the use of electrolysis as the mainstay of hydrogen production.[26] They focus on the need to limit global warming to 1.5C and prioritise the production, transportation and use of green hydrogen for heavy industry (e.g. high-temperature processes alongside electricity,[27] feedstock for production of green ammonia and organic chemicals,[28] as alternative to coal-derived coke for steelmaking),[29] long-haul transport (e.g. shipping, aviation and to a lesser extent heavy goods vehicles), and long-term energy storage.[26][30]

Current hydrogen market

Hydrogen production globally was valued at over US$155 billion in 2022 and is expected to grow over 9% annually through 2030.[31]

In 2021, 94 million tonnes (Mt) of molecular hydrogen (H2) was produced.[32] Of this total, approximately one sixth was as a by-product of petrochemical industry processes.[33] Most hydrogen comes from dedicated production facilities, over 99% of which is from fossil fuels, mainly via steam reforming of natural gas (70%) and coal gasification (30%, almost all of which in China).[33] Less than 1% of dedicated hydrogen production is low carbon: steam fossil fuel reforming with carbon capture and storage, green hydrogen produced using electrolysis, and hydrogen produced from biomass.[33] CO2 emissions from 2021 production, at 915 MtCO2,[34] amounted to 2.5% of energy-related CO2 emissions[35] and 1.8% of global greenhouse gas emissions.[36]

Virtually all hydrogen produced for the current market is used in oil refining (40 MtH2 in 2021) and industry (54 MtH2).[37]: 18, 22  In oil refining, hydrogen is used, in a process known as hydrocracking, to convert heavy petroleum sources into lighter fractions suitable for use as fuels. Industrial uses mainly comprise ammonia production to make fertilisers (34 MtH2 in 2021), methanol production (15 MtH2) and the manufacture of direct reduced iron (5 MtH2).[37]: 29 

Production
Main article: Hydrogen technologies
Further information: Timeline of hydrogen technologies

As of 2022, more than 95% of global hydrogen production is sourced from fossil gas and coal without carbon abatement.[38]: 1 

Color codes

Hydrogen is often referred to by various colors to indicate its origin (perhaps because gray symbolizes "dirty hydrogen"[19]).[39]

Colors that refer to method of production[40]
Color Production sourceNotesReferences
greenrenewable electricityvia electrolysis of water[41]: 28 
turquoisethermal splitting of methanevia methane pyrolysis[41]: 28  [42]: 2 
bluehydrocarbons with carbon capture and storageCCS networks required[41]: 28 
grayfossil hydrocarbons, mainly steam reforming of natural gas[41]: 28  [43]: 10  [42]: 2 
brown or blackfossil hydrocarbons: brown (lignite) or black coal[44]: 91 
pink or purplenuclear powervia electrolysis of water, or contributing steam to natural gas reforming[42]: 2 [19]
yellow sometimes understood to mean solar photovoltaics, or a mix of renewable and fossil electricity via photovoltaic [39]
gold or whitehydrogen that occurs naturally deep within the Earth's crustobtained by mining; also referred to as white[45]

Methods of production
Main article: Hydrogen production

Molecular hydrogen was discovered in the Kola Superdeep Borehole. It is unclear how much molecular hydrogen is available in natural reservoirs, but at least one company[46] specializes in drilling wells to extract hydrogen. Most hydrogen in the lithosphere is bonded to oxygen in water. Manufacturing elemental hydrogen requires the consumption of a hydrogen carrier such as a fossil fuel or water. The former carrier consumes the fossil resource and in the steam methane reforming (SMR) process produces greenhouse gas carbon dioxide. However, in the newer methane pyrolysis process no greenhouse gas carbon dioxide is produced. These processes typically require no further energy input beyond the fossil fuel.

Illustrating inputs and outputs of steam reforming of natural gas, a process to produce hydrogen. As of 2020, the carbon sequestrastion step is not in commercial use.

Decomposing water, the latter carrier, requires electrical or heat input, generated from some primary energy source (fossil fuel, nuclear power or a renewable energy). Hydrogen produced by electrolysis of water using renewable energy sources such as wind and solar power, referred to as green hydrogen.[47] When derived from natural gas by zero greenhouse emission methane pyrolysis, it is referred to as turquoise hydrogen.[48]

When fossil fuel derived with greenhouse gas emissions, is generally referred to as grey hydrogen. If most of the carbon dioxide emission is captured, it is referred to as blue hydrogen.[49] Hydrogen produced from coal may be referred to as brown or black hydrogen.[50]

Steam reforming – gray or blue

Hydrogen is industrially produced from steam reforming (SMR), which uses natural gas.[51] The energy content of the produced hydrogen is around 74% of the energy content of the original fuel,[52] as some energy is lost as excess heat during production. In general, steam reforming emits carbon dioxide, a greenhouse gas, and is known as gray hydrogen. If the carbon dioxide is captured and stored, the hydrogen produced is known as blue hydrogen.

Electrolysis of water – green, pink or yellow
Hydrogen production via Electrolysis graphic
Illustrating inputs and outputs of simple electrolysis of water production of hydrogen

Hydrogen can be made via high pressure electrolysis, low pressure electrolysis of water, or a range of other emerging electrochemical processes such as high temperature electrolysis or carbon assisted electrolysis.[53] However, current best processes for water electrolysis have an effective electrical efficiency of 70-80%,[54][55][56] so that producing 1 kg of hydrogen (which has a specific energy of 143 MJ/kg or about 40 kWh/kg) requires 50–55 kWh of electricity.

In parts of the world, steam methane reforming is between $1–3/kg on average excluding hydrogen gas pressurization cost. This makes production of hydrogen via electrolysis cost competitive in many regions already, as outlined by Nel Hydrogen[57] and others, including an article by the IEA[58] examining the conditions which could lead to a competitive advantage for electrolysis.

A small part (2% in 2019[59]) is produced by electrolysis using electricity and water, consuming approximately 50 to 55 kilowatt-hours of electricity per kilogram of hydrogen produced.[60]

Hydrogen as a byproduct of other chemical processes
Main article: Mekog

The industrial production of chlorine and caustic soda by electrolysis generates a sizable amount of Hydrogen as a byproduct. In the port of Antwerp a 1MW demonstration fuel cell power plant is powered by such byproduct. This unit has been operational since late 2011.[61] The excess hydrogen is often managed with a hydrogen pinch analysis.

Gas generated from coke ovens in steel production is similar to Syngas with 60% hydrogen by volume.[62] The hydrogen can be extracted from the coke oven gas economically.[63]

Use as an energy carrier
Hydrogen fuel requires the development of a specific infrastructure for processing, transport and storage.

Hydrogen can be deployed as a fuel in two distinct ways: in fuel cells which produce electricity, and via combustion to generate heat.[64] When hydrogen is consumed in fuel cells, the only emission at the point of use is water vapour.[64] Combustion of hydrogen can lead to the thermal formation of harmful nitrogen oxides emissions.[64]

Industry

In the context of limiting global warming, low-carbon hydrogen (particularly green hydrogen) is likely to play an important role in decarbonising industry.[65] Hydrogen fuel can produce the intense heat required for industrial production of steel, cement, glass, and chemicals, thus contributing to the decarbonisation of industry alongside other technologies, such as electric arc furnaces for steelmaking.[66] However, it is likely to play a larger role in providing industrial feedstock for cleaner production of ammonia and organic chemicals.[65] For example, in steelmaking, hydrogen could function as a clean energy carrier and also as a low-carbon catalyst replacing coal-derived coke.[67]

The imperative to use low-carbon hydrogen to reduce greenhouse gas emissions has the potential to reshape the geography of industrial activities, as locations with appropriate hydrogen production potential in different regions will interact in new ways with logistics infrastructure, raw material availability, human and technological capital.[65]

Transport
Main article: Hydrogen vehicle

Much of the interest in the hydrogen economy concept is focused on the use of fuel cells to power hydrogen vehicles, particularly large trucks. Hydrogen vehicles produce significantly less local air pollution than conventional vehicles.[68] By 2050, the energy requirement for transportation might be between 20% and 30% fulfilled by hydrogen and synthetic fuels.[69][70][71]

Hydrogen used to decarbonise transportation is likely to find its largest applications in shipping, aviation and to a lesser extent heavy goods vehicles, through the use of hydrogen-derived synthetic fuels such as ammonia and methanol, and fuel cell technology.[72] Hydrogen has been used in fuel cell buses for many years. It is also used as a fuel for spacecraft propulsion.

In the light road vehicle segment including passenger cars, by the end of 2022, 70,200 fuel cell electric vehicles had been sold worldwide,[73] compared with 26 million plug-in electric vehicles.[74] With the rapid rise of electric vehicles and associated battery technology and infrastructure, the global scope for hydrogen’s role in cars is shrinking relative to earlier expectations.[75][76]

In the International Energy Agency’s 2022 Net Zero Emissions Scenario (NZE), hydrogen is forecast to account for 2% of rail energy demand in 2050, while 90% of rail travel is expected to be electrified by then (up from 45% today). Hydrogen’s role in rail would likely be focused on lines that prove difficult or costly to electrify.[77] The NZE foresees hydrogen meeting approximately 30% of heavy truck energy demand in 2050, mainly for long-distance heavy freight (with battery electric power accounting for around 60%).[78]

Although hydrogen can be used in adapted internal combustion engines, fuel cells, being electrochemical, have an efficiency advantage over heat engines. Fuel cells are more expensive to produce than common internal combustion engines.

Buildings

Numerous industry groups (gas networks, gas boiler manufacturers) across the natural gas supply chain are promoting hydrogen combustion boilers for space and water heating, and hydrogen appliances for cooking, to reduce energy-related CO2 emissions from residential and commercial buildings.[79][80][81] The proposition is that current end-users of piped natural gas can await the conversion of and supply of hydrogen to existing natural gas grids, and then swap heating and cooking appliances, and that there is no need for consumers to do anything now.[79][80][81]

A review of 32 studies on the question of hydrogen for heating buildings, independent of commercial interests, found that the economics and climate benefits of hydrogen for heating and cooking generally compare very poorly with the deployment of district heating networks, electrification of heating (principally through heat pumps) and cooking, the use of solar thermal, waste heat and the installation of energy efficiency measures to reduce energy demand for heat.[81] Due to inefficiencies in hydrogen production, using blue hydrogen to replace natural gas for heating could require three times as much methane, while using green hydrogen would need two to three times as much electricity as heat pumps.[81] Hybrid heat pumps, which combine the use of an electric heat pump with a hydrogen boiler, may play a role in residential heating in areas where upgrading networks to meet peak electrical demand would otherwise be costly.[81]

The widespread use of hydrogen for heating buildings would entail higher energy system costs, higher heating costs and higher environmental impacts than the alternatives, although a niche role may be appropriate in specific contexts and geographies.[81] If deployed, using hydrogen in buildings would drive up the cost of hydrogen for harder-to-decarbonise applications in industry and transport.[81]

Energy system balancing and storage

Green hydrogen, from electrolysis of water, has the potential to address the variability of renewable energy output. Producing green hydrogen can both reduce the need for renewable power curtailment during periods of high renewables output and be stored long-term to provide for power generation during periods of low output.[82][83]

Ammonia

An alternative to gaseous hydrogen as an energy carrier is to bond it with nitrogen from the air to produce ammonia, which can be easily liquefied, transported, and used (directly or indirectly) as a clean and renewable fuel.[84][85] Among disadvantages of ammonia as an energy carrier are its high toxicity, extremely low energy efficiency of NH3 production from N2 and H2, and poisoning of PEM Fuel Cells by traces of non-decomposed NH3 after NH3 to N2 conversion.

Bio-SNG

As of 2019 although technically possible production of syngas from hydrogen and carbon-dioxide from bio-energy with carbon capture and storage (BECCS) via the Sabatier reaction is limited by the amount of sustainable bioenergy available:[86] therefore any bio-SNG made may be reserved for production of aviation biofuel.[87]

Storage
Main article: Hydrogen storage

Although molecular hydrogen has very high energy density on a mass basis, partly because of its low molecular weight, as a gas at ambient conditions it has very low energy density by volume. If it is to be used as fuel stored on board the vehicle, pure hydrogen gas must be stored in an energy-dense form to provide sufficient driving range. Because hydrogen is the smallest molecule, it easily escapes from containers, and leaked hydrogen has a global warming effect 11.6 times stronger than CO₂.[88]

Pressurized hydrogen gas
See also: Compressed hydrogen

Increasing gas pressure improves the energy density by volume making for smaller container tanks. The standard material for holding pressurised hydrogen in tube trailers is steel (there is no hydrogen embrittlement problem with hydrogen gas). Tanks made of carbon and glass fibres reinforcing plastic as fitted in Toyota Marai and Kenworth trucks are required to meet safety standards. Few materials are suitable for tanks as hydrogen being a small molecule tends to diffuse through many polymeric materials. The most common on board hydrogen storage in today's 2020 vehicles is hydrogen at pressure 700bar = 70MPa. The energy cost of compressing hydrogen to this pressure is significant.

Pressurized gas pipelines are always made of steel and operate at much lower pressures than tube trailers.

Liquid hydrogen
See also: Liquid hydrogen

Alternatively, higher volumetric energy density liquid hydrogen or slush hydrogen may be used. However, liquid hydrogen is cryogenic and boils at 20.268 K (–252.882 °C or –423.188 °F). Cryogenic storage cuts weight but requires large liquification energies. The liquefaction process, involving pressurizing and cooling steps, is energy intensive.[89] The liquefied hydrogen has lower energy density by volume than gasoline by approximately a factor of four, because of the low density of liquid hydrogen – there are actually more oxidizable hydrogen atoms in a litre of gasoline (116 grams) than there are in a litre of pure liquid hydrogen (71 grams). Like any other liquid at cryogenic temperatures, the liquid hydrogen storage tanks must also be well insulated to minimize boil off.

Japan has a liquid hydrogen (LH2) storage facility at a terminal in Kobe, and was expected to receive the first shipment of liquid hydrogen via LH2 carrier in 2020.[90] Hydrogen is liquified by reducing its temperature to -253 °C, similar to liquified natural gas (LNG) which is stored at -162 °C. A potential efficiency loss of 12.79% can be achieved, or 4.26kWh/kg out of 33.3kWh/kg.[91]

Liquid organic hydrogen carriers (LOHC)
Main article: Liquid organic hydrogen carriers

Storage as hydride

Distinct from storing molecular hydrogen, hydrogen can be stored as a chemical hydride or in some other hydrogen-containing compound. Hydrogen gas is reacted with some other materials to produce the hydrogen storage material, which can be transported relatively easily. At the point of use the hydrogen storage material can be made to decompose, yielding hydrogen gas. As well as the mass and volume density problems associated with molecular hydrogen storage, current barriers to practical storage schemes stem from the high pressure and temperature conditions needed for hydride formation and hydrogen release.

For many potential systems hydriding and dehydriding kinetics and heat management are also issues that need to be overcome. A French company McPhy Energy is developing the first industrial product, based on Magnesium Hydrate, already sold to some major clients such as Iwatani and ENEL. Emergent hydride hydrogen storage technologies have achieved a compressed volume of less than 1/500.

Adsorption

A third approach is to adsorb molecular hydrogen on the surface of a solid storage material. Unlike in the hydrides mentioned above, the hydrogen does not dissociate/recombine upon charging/discharging the storage system, and hence does not suffer from the kinetic limitations of many hydride storage systems. Hydrogen densities similar to liquefied hydrogen can be achieved with appropriate adsorbent materials. Some suggested adsorbents include activated carbon, nanostructured carbons (including CNTs), MOFs, and hydrogen clathrate hydrate.

Underground hydrogen storage
'Available storage technologies, their capacity and discharge time.' COMMISSION STAFF WORKING DOCUMENT Energy storage – the role of electricity

Underground hydrogen storage is the practice of hydrogen storage in caverns, salt domes and depleted oil and gas fields. Large quantities of gaseous hydrogen have been stored in caverns by ICI for many years without any difficulties.[92] The storage of large quantities of liquid hydrogen underground can function as grid energy storage. The round-trip efficiency is approximately 40% (vs. 75-80% for pumped-hydro (PHES)), and the cost is slightly higher than pumped hydro.[93]

Another study referenced by a European staff working paper found that for large scale storage, the cheapest option is hydrogen at €140/MWh for 2,000 hours of storage using an electrolyser, salt cavern storage and combined-cycle power plant.[94] The European project Hyunder[95] indicated in 2013 that for the storage of wind and solar energy an additional 85 caverns are required as it cannot be covered by PHES and CAES systems.[96]

A German case study on storage of hydrogen in salt caverns found that if the German power surplus (7% of total variable renewable generation by 2025 and 20% by 2050) would be converted to hydrogen and stored underground, these quantities would require some 15 caverns of 500,000 cubic metres each by 2025 and some 60 caverns by 2050 – corresponding to approximately one third of the number of gas caverns currently operated in Germany.[97] In the US, Sandia Labs are conducting research into the storage of hydrogen in depleted oil and gas fields, which could easily absorb large amounts of renewably produced hydrogen as there are some 2.7 million depleted wells in existence.[98]

Infrastructure
Main article: Hydrogen infrastructure
Hydrogen gasification plant for Belinka Perkemija, 2015

The hydrogen infrastructure would consist mainly of industrial hydrogen pipeline transport and hydrogen-equipped filling stations like those found on a hydrogen highway. Hydrogen stations which were not situated near a hydrogen pipeline would get supply via hydrogen tanks, compressed hydrogen tube trailers, liquid hydrogen trailers, liquid hydrogen tank trucks or dedicated onsite production.

Over 700 miles of hydrogen pipeline currently exist in the United States. Although expensive, pipelines are the cheapest way to move hydrogen over long distances. Hydrogen gas piping is routine in large oil-refineries, because hydrogen is used to hydrocrack fuels from crude oil.

Hydrogen embrittlement is not a problem for hydrogen gas pipelines. Hydrogen embrittlement only happens with 'diffusible' hydrogen, i.e. atoms or ions. Hydrogen gas, however, is molecular (H2), and there is a very significant energy barrier to splitting it into atoms.[99]

The IEA recommends existing industrial ports be used for production and existing natural gas pipelines for transport: also international co-operation and shipping.[100]

South Korea and Japan,[101] which as of 2019 lack international electrical interconnectors, are investing in the hydrogen economy.[102] In March 2020, the Fukushima Hydrogen Energy Research Field was opened in Japan, claiming to be the world's largest hydrogen production facility.[103] The site occupies 180,000 m2 (1,900,000 sq ft) of land, much of which is occupied by a solar array; power from the grid is also used for electrolysis of water to produce hydrogen fuel.[104]

A key tradeoff: centralized vs. distributed production

In a future full hydrogen economy, primary energy sources and feedstock would be used to produce hydrogen gas as stored energy for use in various sectors of the economy. Producing hydrogen from primary energy sources other than coal and oil would result in lower production of the greenhouse gases characteristic of the combustion of coal and oil fossil energy resources. The importance of non-polluting methane pyrolysis of natural gas is becoming a recognized method for using current natural gas infrastructure investment to produce hydrogen and no greenhouse gas.

One key feature of a hydrogen economy would be that in mobile applications (primarily vehicular transport) energy generation and use could be decoupled. The primary energy source would need no longer travel with the vehicle, as it currently does with hydrocarbon fuels. Instead of tailpipes creating dispersed emissions, the energy (and pollution) could be generated from point sources such as large-scale, centralized facilities with improved efficiency. This would allow the possibility of technologies such as carbon sequestration, which are otherwise impossible for mobile applications. Alternatively, distributed energy generation schemes (such as small scale renewable energy sources) could be used, possibly associated with hydrogen stations.

Aside from the energy generation, hydrogen production could be centralized, distributed or a mixture of both. While generating hydrogen at centralized primary energy plants promises higher hydrogen production efficiency, difficulties in high-volume, long range hydrogen transportation (due to factors such as hydrogen damage and the ease of hydrogen diffusion through solid materials) makes electrical energy distribution attractive within a hydrogen economy.

In such a scenario, small regional plants or even local filling stations could generate hydrogen using energy provided through the electrical distribution grid or methane pyrolysis of natural gas. While hydrogen generation efficiency is likely to be lower than for centralized hydrogen generation, losses in hydrogen transport could make such a scheme more efficient in terms of the primary energy used per kilogram of hydrogen delivered to the end user.

The proper balance between hydrogen distribution, long-distance electrical distribution and destination converted pyrolysis of natural gas is one of the primary questions that arises about the hydrogen economy.

Again the dilemmas of production sources and transportation of hydrogen can now be overcome using on site (home, business, or fuel station) generation of hydrogen from off grid renewable sources.

Distributed electrolysis

Distributed electrolysis would bypass the problems of distributing hydrogen by distributing electricity instead. It would use existing electrical networks to transport electricity to small, on-site electrolysers located at filling stations. However, accounting for the energy used to produce the electricity and transmission losses would reduce the overall efficiency.

Safety
Main article: Hydrogen safety

Hydrogen has one of the widest explosive/ignition mix range with air of all the gases with few exceptions such as acetylene, silane, and ethylene oxide, and in terms of minimum necessary ignition energy and mixture ratios has extremely low requirements for an explosion to occur. This means that whatever the mix proportion between air and hydrogen, when ignited in an enclosed space a hydrogen leak will most likely lead to an explosion, not a mere flame.[105] Systems and procedures to avoid accidents involve considering:

  • Inerting hydrogen lines
  • Systems to quickly purge hydrogen or ventilate an area
  • Flaring off hydrogen
  • Ignition source management
  • Taking into account mechanical integrity issues
  • Identifying possible hydrogen gas as a byproduct in certain chemical reactions
  • Detecting hydrogen leaks or flames
  • Inventory management
  • Properly spacing hydrogen and other flammable material
  • Specialized pressurized hydrogen containment tanks, in particular with cryogenic hydrogen
  • Other human factors

There are many codes and standards regarding hydrogen safety in storage, transport, and use. These range from federal regulations,[106] ANSI/AIAA,[107] NFPA,[108] and ISO[109] standards. The Canadian Hydrogen Safety Program concluded that hydrogen fueling is as safe as, or safer than, compressed natural gas (CNG) fueling,[110]

Costs

More widespread use of hydrogen in economies entails the need for investment and costs in its production, storage, distribution and use. Estimates of hydrogen’s cost are therefore complex and need to make assumptions about the cost of energy inputs (typically gas and electricity), production plant and method (e.g. green or blue hydrogen), technologies used (e.g. alkaline or proton exchange membrane electrolysers), storage and distribution methods, and how different cost elements might change over time.[111]: 49–65  These factors are incorporated into calculations of the levelized costs of hydrogen (LCOH). The following table shows a range of estimates of the levelized costs of gray, blue, and green hydrogen, expressed in terms of US$ per kg of H2.[note 1]

Production method Note Current cost (2020-2022) Projected 2030 cost Projected 2050 cost
Gray hydrogen (not including a carbon tax)
International Energy Agency[112] 2022 costs estimated for June, when gas prices peaked in the wake of Russia’s invasion of Ukraine 2021: 1.0-2.5 - -
2022: 4.8-7.8
PWC[113] 2021: 1.2-2.4
Blue hydrogen
International Energy Agency[112] 2022 costs estimated for June, when gas prices peaked in the wake of Russia’s invasion of Ukraine 2021: 1.5-3.0 - -
2022: 5.3-8.6
UK government[114] Range dependent on gas price 2020: 1.6-2.7 1.6-2.7 1.6-2.8
GEP[115] 2022: 2.8-3.5 - -
Energy Transitions Commission[111]: 28  2020: 1.5-2.4 1.3-2.3 1.4-2.2
Green hydrogen
International Energy Agency[112] 2030 and 2050 estimates are using solar power in regions with good solar conditions 2021: 4.0-9.0 <1.5 <1.0
2022: 3.0-4.3
UK government[114] Using grid electricity, UK specific; range dependent on electricity price, and electrolyser technology and cost 2020: 4.9-7.9 4.4-6.6 4.0-6.3
Using otherwise curtailed renewable electricity, UK specific; range dependent on electrolyser technology and cost 2020: 2.4-7.9 1.7-5.6 1.5-4.6
IRENA[116] 2020: 2.2-5.2 1.4-4.1 1.1-3.4
GEP[115] Source notes green H2 production cost has fallen by 60% since 2010 2022: 3.0-6.0
Lazard[117] 2022: 2.8-5.3
PWC[113] 2021: 3.5-9.5 1.8-4.8 1.2-2.4
Energy Transitions Commission[111]: 28  2020: 2.6-3.6 1.0-1.7 0.7-1.2

The range of cost estimates for commercially available hydrogen production methods is broad, As of 2022, gray hydrogen is cheapest to produce without a tax on its CO2 emissions, followed by blue and green hydrogen. Blue hydrogen production costs are not anticipated to fall substantially by 2050,[114][111]: 28  can be expected to fluctuate with natural gas prices and could face carbon taxes for uncaptured emissions.[111]: 79  The cost of electrolysers fell by 60% from 2010 to 2022,[115] before rising slightly due to an increasing cost of capital.[19] Their cost is projected to fall significantly to 2030 and 2050,[118]: 26  driving down the cost of green hydrogen alongside the falling cost of renewable power generation.[119][111]: 28  It is cheapest to produce green hydrogen with surplus renewable power that would otherwise be curtailed, which favours electrolysers capable of responding to low and variable power levels.[118]: 5 

A 2022 Goldman Sachs analysis anticipates that globally green hydrogen will achieve cost parity with grey hydrogen by 2030, earlier if a global carbon tax is placed on gray hydrogen.[120] In terms of cost per unit of energy, blue and gray hydrogen will always cost more than the fossil fuels used in its production, while green hydrogen will always cost more than the renewable electricity used to make it.

Subsidies for clean hydrogen production are much higher in the US and EU than in India.[121]

Examples and pilot programs
A Mercedes-Benz O530 Citaro powered by hydrogen fuel cells, in Brno, Czech Republic.

The distribution of hydrogen for the purpose of transportation is being tested around the world, particularly in the US (California, Massachusetts), Canada, Japan, the EU (Portugal, Norway, Denmark, Germany), and Iceland.

Several domestic U.S. automobile have developed vehicles using hydrogen, such as GM and Toyota.[122] However, as of February 2020, infrastructure for hydrogen was underdeveloped except in some parts of California.[123] The United States have their own hydrogen policy. A joint venture between NREL and Xcel Energy is combining wind power and hydrogen power in the same way in Colorado.[124] Hydro in Newfoundland and Labrador are converting the current wind-diesel Power System on the remote island of Ramea into a Wind-Hydrogen Hybrid Power Systems facility.[125]

A similar pilot project on Stuart Island uses solar power, instead of wind power, to generate electricity. When excess electricity is available after the batteries are fully charged, hydrogen is generated by electrolysis and stored for later production of electricity by fuel cell.[126] The US also have a large natural gas pipeline system already in place.[127]

Countries in the EU which have a relatively large natural gas pipeline system already in place include Belgium, Germany, France, and the Netherlands.[127] In 2020, The EU launched its European Clean Hydrogen Alliance (ECHA).[128][129]

The UK started a fuel cell pilot program in January 2004, the program ran two Fuel cell buses on route 25 in London until December 2005, and switched to route RV1 until January 2007.[130] The Hydrogen Expedition is currently working to create a hydrogen fuel cell-powered ship and using it to circumnavigate the globe, as a way to demonstrate the capability of hydrogen fuel cells.[131] In August 2021 the UK Government claimed it was the first to have a Hydrogen Strategy and produced a document.[132]

Western Australia's Department of Planning and Infrastructure operated three Daimler Chrysler Citaro fuel cell buses as part of its Sustainable Transport Energy for Perth Fuel Cells Bus Trial in Perth.[133] The buses were operated by Path Transit on regular Transperth public bus routes. The trial began in September 2004 and concluded in September 2007. The buses' fuel cells used a proton exchange membrane system and were supplied with raw hydrogen from a BP refinery in Kwinana, south of Perth. The hydrogen was a byproduct of the refinery's industrial process. The buses were refueled at a station in the northern Perth suburb of Malaga.

Iceland has committed to becoming the world's first hydrogen economy by the year 2050.[134] Iceland is in a unique position. Presently, it imports all the petroleum products necessary to power its automobiles and fishing fleet. Iceland has large geothermal resources, so much that the local price of electricity actually is lower than the price of the hydrocarbons that could be used to produce that electricity.

Iceland already converts its surplus electricity into exportable goods and hydrocarbon replacements. In 2002, it produced 2,000 tons of hydrogen gas by electrolysis, primarily for the production of ammonia (NH3) for fertilizer. Ammonia is produced, transported, and used throughout the world, and 90% of the cost of ammonia is the cost of the energy to produce it.

Neither industry directly replaces hydrocarbons. Reykjavík, Iceland, had a small pilot fleet of city buses running on compressed hydrogen,[135] and research on powering the nation's fishing fleet with hydrogen is under way (for example by companies as Icelandic New Energy). For more practical purposes, Iceland might process imported oil with hydrogen to extend it, rather than to replace it altogether.

The Reykjavík buses are part of a larger program, HyFLEET:CUTE,[136] operating hydrogen fueled buses in eight European cities. HyFLEET:CUTE buses were also operated in Beijing, China and Perth, Australia (see below). A pilot project demonstrating a hydrogen economy is operational on the Norwegian island of Utsira. The installation combines wind power and hydrogen power. In periods when there is surplus wind energy, the excess power is used for generating hydrogen by electrolysis. The hydrogen is stored, and is available for power generation in periods when there is little wind.

India is said to adopt hydrogen and H-CNG, due to several reasons, amongst which the fact that a national rollout of natural gas networks is already taking place and natural gas is already a major vehicle fuel. In addition, India suffers from extreme air pollution in urban areas.[137][138] According to some estimates, nearly 80% of India's hydrogen is projected to be green, driven by cost declines and new production technologies.[139]

Currently however, hydrogen energy is just at the Research, Development and Demonstration (RD&D) stage.[140][141] As a result, the number of hydrogen stations may still be low,[142] although much more are expected to be introduced soon.[143][144][145]

The Turkish Ministry of Energy and Natural Resources and the United Nations Industrial Development Organization have signed a $40 million trust fund agreement in 2003 for the creation of the International Centre for Hydrogen Energy Technologies (UNIDO-ICHET) in Istanbul, which started operation in 2004.[146] A hydrogen forklift, a hydrogen cart and a mobile house powered by renewable energies are being demonstrated in UNIDO-ICHET's premises. An uninterruptible power supply system has been working since April 2009 in the headquarters of Istanbul Sea Buses company.

Another indicator of the presence of large natural gas infrastructures already in place in countries and in use by citizens is the number of natural gas vehicles present in the country. The countries with the largest amount of natural gas vehicles are (in order of magnitude):[147] Iran, China, Pakistan, Argentina, India, Brasil, Italy, Colombia, Thailand, Uzbekistan, Bolivia, Armenia, Bangladesh, Egypt, Peru, Ukraine, United States. Natural gas vehicles can also be converted to run on hydrogen.

Some hospitals have installed combined electrolyser-storage-fuel cell units for local emergency power. These are advantageous for emergency use because of their low maintenance requirement and ease of location compared to internal combustion driven generators.

Also, in some private homes, fuel cell micro-CHP plants can be found, which can operate on hydrogen, or other fuels as natural gas or LPG.[148][149] When running on natural gas, it relies on steam reforming of natural gas to convert the natural gas to hydrogen prior to use in the fuel cell. This hence still emits CO2 (see reaction) but (temporarily) running on this can be a good solution until the point where the hydrogen is starting to become distributed through the (natural gas) piping system.

In October 2021, Queensland Premier Annastacia Palaszczuk and Andrew Forrest announced that Queensland will be home to the world's largest hydrogen plant.[150]

German car manufacturer BMW has also been working with hydrogen for years.[151]

Saudi Arabia as a part of the NEOM project, is looking to produce roughly 1.2 million tonnes of green ammonia a year, beginning production in 2025.[152]

In Australia, the Australian Renewable Energy Agency (ARENA) has invested $55 million in 28 hydrogen projects, from early stage research and development to early stage trials and deployments. The agency's stated goal is to produce hydrogen by electrolysis for $2 per kilogram, announced by Minister for Energy and Emissions Angus Taylor in a 2021 Low Emissions Technology Statement.[153]

In August 2021, Chris Jackson quit as chair of the UK Hydrogen and Fuel Cell Association, a leading hydrogen industry association, claiming that UK and Norwegian oil companies had intentionally inflated their cost projections for blue hydrogen in order to maximize future technology support payments by the UK government.[154]

Green hydrogen has become more common in France. A €150 million Green Hydrogen Plan was established in 2019, and it calls for building the infrastructure necessary to create, store, and distribute hydrogen as well as using the fuel to power local transportation systems like buses and trains. Corridor H2, a similar initiative, will create a network of hydrogen distribution facilities in Occitania along the route between the Mediterranean and the North Sea. The Corridor H2 project will get a €40 million loan from the EIB.[155][156]

Timeline of results
This section is an excerpt from Timeline of sustainable energy research 2020–present § Hydrogen energy.[edit]
2022
  • Researchers increase water electrolysis performance of renewable hydrogen via capillary-fed electrolysis cells.[157][158]
  • A novel energy-efficient strategy for hydrogen release from liquid hydrogen carriers with the potential to reduce costs of storage and transportation is reported.[159][160]
  • Researchers report the development of a potential efficient, secure and convenient method to separate, purify, store and transport large amounts of hydrogen for energy storage in renewables-based energy systems as powder using ball milling.[161][162]
  • A way method for hydrogen production from the air, useful for off-the-grid settings, is demonstrated.[163][164]
  • A novel type of effective hydrogen storage using readily available salts is reported.[165][166]
  • An electrolysis system for viable hydrogen production from seawater without requiring a pre-desalination process is reported, which could allow for more flexible and less costly hydrogen production.[167][168]
  • Chemical engineers report a method to substantially increase conversion efficiency and reduce material costs of green hydrogen production by using sound waves during electrolysis.[169][170]
2023

Experimental production methods

Methane pyrolysis – turquoise
Illustrating inputs and outputs of methane pyrolysis, a process to produce Hydrogen

Pyrolysis of methane (natural gas) with a one-step process[182] bubbling methane through a molten metal catalyst is a "no greenhouse gas" approach to produce hydrogen that was demonstrated in laboratory conditions in 2017 and now being tested at larger scales.[183][48] The process is conducted at high temperatures (1065 °C).[184][185][186][187] Producing 1 kg of hydrogen requires about 18 kWh of electricity for process heat.[188] The pyrolysis of methane can be expressed by the following reaction equation.[189]

CH
4(g) → C(s) + 2 H
2(g) ΔH° = 74.8 kJ/mol

The industrial quality solid carbon may be sold as manufacturing feedstock or landfilled (no pollution).

Biological production
Main article: Biological hydrogen production (Algae)

Fermentative hydrogen production is the fermentative conversion of organic substrate to biohydrogen manifested by a diverse group of bacteria using multi enzyme systems involving three steps similar to anaerobic conversion. Dark fermentation reactions do not require light energy, so they are capable of constantly producing hydrogen from organic compounds throughout the day and night. Photofermentation differs from dark fermentation because it only proceeds in the presence of light. For example, photo-fermentation with Rhodobacter sphaeroides SH2C can be employed to convert small molecular fatty acids into hydrogen.[190] Electrohydrogenesis is used in microbial fuel cells where hydrogen is produced from organic matter (e.g. from sewage, or solid matter[191]) while 0.2 - 0.8 V is applied.

Biological hydrogen can be produced in an algae bioreactor. In the late 1990s it was discovered that if the algae is deprived of sulfur it will switch from the production of oxygen, i.e. normal photosynthesis, to the production of hydrogen.[192]

Biological hydrogen can be produced in bioreactors that use feedstocks other than algae, the most common feedstock being waste streams. The process involves bacteria feeding on hydrocarbons and excreting hydrogen and CO2. The CO2 can be sequestered successfully by several methods, leaving hydrogen gas. In 2006–2007, NanoLogix first demonstrated a prototype hydrogen bioreactor using waste as a feedstock at Welch's grape juice factory in North East, Pennsylvania (U.S.).[193]

Biocatalysed electrolysis

Besides regular electrolysis, electrolysis using microbes is another possibility. With biocatalysed electrolysis, hydrogen is generated after running through the microbial fuel cell and a variety of aquatic plants can be used. These include reed sweetgrass, cordgrass, rice, tomatoes, lupines, and algae[194]

High-pressure electrolysis

High pressure electrolysis is the electrolysis of water by decomposition of water (H2O) into oxygen (O2) and hydrogen gas (H2) by means of an electric current being passed through the water. The difference with a standard electrolyzer is the compressed hydrogen output around 120-200 bar (1740-2900 psi, 12–20 MPa).[195] By pressurising the hydrogen in the electrolyser, through a process known as chemical compression, the need for an external hydrogen compressor is eliminated,[196] the average energy consumption for internal compression is around 3%.[197] European largest (1 400 000 kg/a, High-pressure Electrolysis of water, alkaline technology) hydrogen production plant is operating at Kokkola, Finland.[198]

High-temperature electrolysis
Main article: High-temperature electrolysis

Hydrogen can be generated from energy supplied in the form of heat and electricity through high-temperature electrolysis (HTE). Because some of the energy in HTE is supplied in the form of heat, less of the energy must be converted twice (from heat to electricity, and then to chemical form), and so potentially far less energy is required per kilogram of hydrogen produced.

While nuclear-generated electricity could be used for electrolysis, nuclear heat can be directly applied to split hydrogen from water. High temperature (950–1000 °C) gas cooled nuclear reactors have the potential to split hydrogen from water by thermochemical means using nuclear heat. Research into high-temperature nuclear reactors may eventually lead to a hydrogen supply that is cost-competitive with natural gas steam reforming. General Atomics predicts that hydrogen produced in a High Temperature Gas Cooled Reactor (HTGR) would cost $1.53/kg. In 2003, steam reforming of natural gas yielded hydrogen at $1.40/kg. In 2005 natural gas prices, hydrogen costs $2.70/kg.

High-temperature electrolysis has been demonstrated in a laboratory, at 108 MJ (thermal) per kilogram of hydrogen produced,[199] but not at a commercial scale. In addition, this is lower-quality "commercial" grade Hydrogen, unsuitable for use in fuel cells.[200]

Photoelectrochemical water splitting
Main article: Photoelectrolysis of water

Using electricity produced by photovoltaic systems offers the cleanest way to produce hydrogen. Water is broken into hydrogen and oxygen by electrolysis – a photoelectrochemical cell (PEC) process which is also named artificial photosynthesis.[201] William Ayers at Energy Conversion Devices demonstrated and patented the first multijunction high efficiency photoelectrochemical system for direct splitting of water in 1983.[202] This group demonstrated direct water splitting now referred to as an "artificial leaf" or "wireless solar water splitting" with a low cost thin film amorphous silicon multijunction sheet immersed directly in water.[203][204]

Hydrogen evolved on the front amorphous silicon surface decorated with various catalysts while oxygen evolved off the back metal substrate. A Nafion membrane above the multijunction cell provided a path for ion transport. Their patent also lists a variety of other semiconductor multijunction materials for the direct water splitting in addition to amorphous silicon and silicon germanium alloys. Research continues towards developing high-efficiency multi-junction cell technology at universities and the photovoltaic industry. If this process is assisted by photocatalysts suspended directly in water instead of using photovoltaic and an electrolytic system, the reaction is in just one step, which can improve efficiency.[203][204]

Photoelectrocatalytic production

A method studied by Thomas Nann and his team at the University of East Anglia consists of a gold electrode covered in layers of indium phosphide (InP) nanoparticles. They introduced an iron-sulfur complex into the layered arrangement, which when submerged in water and irradiated with light under a small electric current, produced hydrogen with an efficiency of 60%.[205]

In 2015, it was reported that Panasonic Corp. has developed a photocatalyst based on niobium nitride that can absorb 57% of sunlight to support the decomposition of water to produce hydrogen gas.[206] The company plans to achieve commercial application "as early as possible", not before 2020.

Concentrating solar thermal

Very high temperatures are required to dissociate water into hydrogen and oxygen. A catalyst is required to make the process operate at feasible temperatures. Heating the water can be achieved through the use of water concentrating solar power. Hydrosol-2 is a 100-kilowatt pilot plant at the Plataforma Solar de Almería in Spain which uses sunlight to obtain the required 800 to 1,200 °C to heat water. Hydrosol II has been in operation since 2008. The design of this 100-kilowatt pilot plant is based on a modular concept. As a result, it may be possible that this technology could be readily scaled up to the megawatt range by multiplying the available reactor units and by connecting the plant to heliostat fields (fields of sun-tracking mirrors) of a suitable size.[207]

Thermochemical production

There are more than 352[208] thermochemical cycles which can be used for water splitting,[209] around a dozen of these cycles such as the iron oxide cycle, cerium(IV) oxide-cerium(III) oxide cycle, zinc zinc-oxide cycle, sulfur-iodine cycle, copper-chlorine cycle and hybrid sulfur cycle, aluminum aluminum-oxide cycle, are under research and in testing phase to produce hydrogen and oxygen from water and heat without using electricity.[210] These processes can be more efficient than high-temperature electrolysis, typical in the range from 35% - 49% LHV efficiency. Thermochemical production of hydrogen using chemical energy from coal or natural gas is generally not considered, because the direct chemical path is more efficient.

None of the thermochemical hydrogen production processes have been demonstrated at production levels, although several have been demonstrated in laboratories.

Microwaving plastics

A 97% recovery of hydrogen has been achieved through microwaving plastics for a few seconds that have been ground and mixed with iron oxide and aluminium oxide.[211]

Kværner process

The Kværner process or Kvaerner carbon black and hydrogen process (CB&H)[212] is a method, developed in the 1980s by a Norwegian company of the same name, for the production of hydrogen from hydrocarbons (CnHm), such as methane, natural gas and biogas. Of the available energy of the feed, approximately 48% is contained in the hydrogen, 40% is contained in activated carbon and 10% in superheated steam.[213]

Éric_Claude_Gaucher=== Extraction of naturally-occurring hydrogen === As of 2019, hydrogen is mainly used as an industrial feedstock, primarily for the production of ammonia and methanol, and in petroleum refining. Although initially hydrogen gas was thought not to occur naturally in convenient reservoirs, it is now demonstrated that this is not the case; a hydrogen system is currently being exploited near Bourakebougou, Koulikoro Region in Mali, producing electricity for the surrounding villages.[214] More discoveries of naturally occurring hydrogen in continental, on-shore geological environments have been made in recent years[215] and open the way to the novel field of natural or native hydrogen, supporting energy transition efforts.[216][217]

See also

Notes
  1. Where data provided in other currencies or units, the average exchange rate to US dollars in the given year are used, and 1kg of H2 is assumed to have a calorific value of 33.3kWh.

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