Green hydrogen is attracting attention as a potential source of clean energy and is frequently denoted as ‘the fuel of the future’. It is looked like an indispensable element for de-carbonizing many sectors which generates high emissions from electricity production, transportation, shipping etc. The Paris Agreement aimed at a global framework to avoid dangerous climate change by limiting global warming to below 2°C and tailing efforts to limit it to at least 1.5°C. It also aims to enhance the countries' ability to deal with the impacts of climate change and support their efforts. Ratul Puri is the chairman of Hindustan Power Projects Private Limited (HPPPL), who is also a philanthropist, entrepreneur, and investor. With his broad knowledge on coal, fired thermal and clean energy, he has been addressing the need for an energy mix and clean energy in India that can cope with the current energy demand.
In today's scenario there are several challenges that exist in the mass adoption of green hydrogen as an alternate source of energy. Ratul Puri a prominent businessman thinks that proper harnessing of green hydrogen will possibly enhance the energy sectors to deal with the current energy demand leading to a sustainable development. Listed below are some of the key challenges in adopting green hydrogen and possible its solutions:
The Production Cost: Green hydrogen has immense potential in decarbonizing many sectors; the cost- effective production of green hydrogen is still unfolding. The current cost of producing 1 kg of green hydrogen is between $5.5 and $6 through the process of electrolysis by using renewable sources of energy. With the usage of natural gas, the cost of production of green hydrogen is only about $1.5 per kg, which is comparatively low. Presently, the capital expenditure of electrolysers used for splitting oxygen and hydrogen is quite high. Although it has decreased nearly 40% in the last 3-4 years, still it is discouraging for many producers. There is a need for an ample investment in research and development (R&D) to increase the efficiency of electrolysis technology and lower the production costs. The government worldwide should motivate the production of green hydrogen by grants, subsidies and tax holidays. This will certainly make it more economically feasible for consumers as well as industries.
Scarcity or shortage of water resources: The production of green hydrogen is not that easy as it requires plenty of water. On average the 1 kg of green hydrogen production requires around 10 - 15 liters of water. The subject to availability of water affects the production of green hydrogen, this has to be expanded or has to be sure in the non-maritime regions across the different parts of the world.
Generating the Renewable Source of Energy: Renewable sources often denoted as non-fossil fuel eg. wind and solar energy act as an agent on which the production of green hydrogen depends. Increasing or boosting up of the renewable sources of energy should take place in an expedite manner in order to avail the benefits of green hydrogen in decarbonizing some of the energy downing sectors of the economy. Effective policies for eg. feed in tariffs and renewable portfolios standards, making renewable energy technology a global public good and improving global access to components and raw materials might be helpful for growth and developments of the projects of renewable energy projects. It also needs international cooperation globally for proper harnessing of clean energy resources. The cross-border transmission infrastructure can play a vital role in addressing the same.
Infrastructure Development: Infrastructure development also plays an important role in setting up a robust green hydrogen. A dependable network of facilities, a network of distribution of pipelines and stations for refueling are required. This requires major investments and collaboration between the government and the private sectors. The policies of our government are quite supportive and today the availability of crucial funding for infrastructure development is visible. The government is also setting up specific regulations in private sectors as well.
Safety View: There are also some of the safety aspects or standards which are associated with the production of green hydrogen such as storage and transportation. The robust practical standards with the regulatory frameworks are very crucial to build confidence among producers and users of green hydrogen.
Enhancing the Demand: There has to be demand for green hydrogen among the conventional and non-conventional users. Even the governments in their respective countries are coming up with such strategies and policies to enhance and promote the usage and demand of green hydrogen. For an enhanced deployment or classification of green hydrogen, innovative carbon mechanisms should be established.
The rising population of India is directly proportional to the energy consumption. Thus there is a need of an alternative resolution in coping the same. Ratul Puri said that we should switch to the harnessing of green hydrogen also known as renewable hydrogen as it is obtained by the electrolysis of water. According to him this is the ‘fuel of the future’ lies in producing clean energy without polluting the environment.
The author Ratul Puri is Chairman of the Hindustan Power projects group.