New process: price for green hydrogen will soon be half as expensive?

So far, green hydrogen has been expensive and inefficient

Hydrogen is considered the energy carrier of the future. In contrast to the production of hydrogen with electricity from fossil fuels, green hydrogen is produced with electricity from renewable energy sources such as solar energy, wind power or hydropower and has the advantage that no climate-damaging greenhouse gases are released during its production. The advantages of hydrogen are that it can be used in various areas such as industry, transport and power generation, and even modern gas-fired power plants could be powered by hydrogen. “Hydrogen makes it possible to store and transport energy generated with the help of wind or solar parks and later convert it back into electricity and use it where it is needed,” says Tim Holt, member of the Managing Board of Siemens Energy AG. So far, the big problem with the production of green hydrogen has been that the process is very complex and expensive, which is why some scientists, such as Claudia Kemfert from the DIW, have dismissed hydrogen as the “champagne of the energy transition”. The high costs and high energy consumption have made the process inefficient up to now. However, that could soon change with a new processing technology developed by researchers at Australia’s University of Wollongong.

New process technology could reduce costs

Hydrogen is obtained through the process of electrolysis. During electrolysis, water is split into its components, hydrogen and oxygen. To do this, the water is placed in an electrolytic cell, which contains two electrodes that are separated by an electrolyte solution. By applying a voltage to the electrodes, water is split into its components. The difference in the new process technology is that the electrodes are no longer in the water. Instead, it is conducted to the electrodes via thin capillary lines. The gases that are produced during the process can rise and thus do not impede the process, which leads to an increase in efficiency. The process also takes place at a significantly lower temperature of 90 degrees Celsius – compared to the usual temperatures of up to 900 degrees Celsius in high-temperature electrolysis. If the process proves itself in practice, it would use significantly less energy and water and the production costs would be significantly lower.

The cleantech company Hysata, which emerged from the University of Wollongong, is now planning to commercialize the process worldwide. Compared to previous electrolysis processes, the process achieves an overall efficiency of 95 percent compared to the usual electrolysis efficiency of 75 percent. According to the company, by the mid-2020s hydrogen production will be below US$1.50 per kilogram, which would mean the cheapest price for hydrogen and halve the current conventional price. In order to achieve the goal, an electrolysis plant on a gigawatt scale is to go into operation by 2025. “Our electrolyzer will deliver the world’s lowest cost of hydrogen, saving hydrogen producers billions of dollars in electricity costs and enabling green hydrogen to outperform fossil-fuel derived hydrogen,” said Paul Barrett, Hysata CEO, in a company press release.

Federal government already relies on green hydrogen h2>

The previous federal government already decided in the National Hydrogen Strategy in 2020 to promote the expansion of green hydrogen technology. Germany should thus become a pioneer in this area. Since then, various measures have already been taken to promote the production of green hydrogen and reduce costs. Among other things, investments in the expansion of hydrogen infrastructure and comprehensive support for research and development in the field of hydrogen technology. In addition, international energy partnerships have already been concluded with various countries, including Australia and Namibia. The traffic light coalition has set itself the goal of achieving an electrolysis capacity of around 10 gigawatts by 2030. Germany should also become completely emission-free by 2045. Achieving this goal will require significant advances in hydrogen technology.

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