(Munich / Germany) – Numerous countries worldwide are currently working intensively on establishing a hydrogen economy. Climate protection is cited as the primary goal, but economic considerations also play a role.

Hydrogen using electricity from renewables

A now published meta-analysis examined the hydrogen strategies of 43 countries and regions. When it comes to the future use of hydrogen, states largely agree that hydrogen should be replaced based on fossil resources, according to the authors.

Dechema and Acatech have now published their update of the analysis on international hydrogen strategies, based on data from 2023. © Dechema / Acatech

All countries are relying on the use of electrolysis to produce hydrogen, primarily based on electricity from renewable energies. However, hydrogen production based on fossil raw materials with CO2 capture is mentioned as a transitional solution in some strategies. However, all evaluated strategies were written before the war of aggression in Ukraine. In this respect, it is to be expected that “European countries in particular will evaluate this option differently in the near future”. The use of natural gas to produce hydrogen “beyond existing levels” does not appear likely in the near future.

25 countries and regions want to export hydrogen. Nine rely on hydrogen imports, including European countries, Japan and Singapore. © Dechema / Acatech

In total, European strategies have announced around 52 gigawatts (GW) of generation capacity, which exceeds the goals of the EU strategy from 2020: This envisages 40 GW by 2030. Chile has particularly high targets with 25 GW and India with a range of 25 to 60 GW. Overall, the capacity targets of the 25 strategy papers that contained quantitative information totaled 108 to 151 GW.

The future price of hydrogen is important for the planning security of various players. However, not all strategy papers would specify goals. The long-term price assumptions were very different: they fluctuated between 60 cents (India) and 4,50 euros (Korea) for a kilo of hydrogen.

Cost parity is an important goal

In general, possible applications for hydrogen are the focus of the papers. But the establishment of international cooperation, the development and expansion of the necessary infrastructure or the further strengthening of R&D activities would also be mentioned. Regulatory measures also played a role with the stated goal of achieving “cost parity between hydrogen based on renewable energies and hydrogen based on fossil raw materials”. In most cases, this involves introducing or increasing CO2 pricing.

Electrolysis capacities planned in Germany by federal state until 2030. Projects for which a location has not yet been determined are not listed in this illustration. These are approximate figures, we have rounded the numbers down. © Dechema / Acatech

In terms of application areas, the aim in the transport sector is in most cases to use hydrogen in heavy-duty transport and in fleet networks on a short to medium-term basis. In the passenger car sector, country strategies differed greatly: either use is expected in the next few years or the use of hydrogen for cars is not addressed at all.

The aim is to use the energy source in industry in the short and medium term, particularly in areas that already have high hydrogen requirements and an existing infrastructure, such as the chemical industry and refineries. In the context of heat and energy applications, the use of hydrogen is mostly seen in the medium to long term.

A third of the countries see themselves as exporters

A total of 25 countries and regions say they want to export hydrogen. In contrast, nine rely on hydrogen imports, including European countries, Japan and Singapore. The development of a global hydrogen economy is therefore “of great interest” for countries like Germany, which position themselves as clear hydrogen importers, according to the authors.

The comparison was compiled as part of the "Hydrogen Compass" project by the German Academy of Science and Engineering (acatech) and the German Society for Chemical Engineering and Biotechnology (DECHEMA). It is an update to the previous country analysis from December 2022. This update includes 21 additional countries – primarily in South America, Africa, and Asia, such as Brazil, Colombia, South Africa, Namibia, the United Arab Emirates, Turkey, India, and New Zealand, all of which see themselves as future hydrogen exporters. The project is funded by the Federal Ministry of Education and Research and the Federal Ministry for Economic Affairs and Energy.

The “Country Analysis 2023 – International Hydrogen Strategies in Comparison” (as of 02/2024) is available free of charge as a PDF (43 pages).

Photos
Meta-analysis: Many countries around the world are currently working at full speed on establishing a hydrogen economy. © EBRD