(Karlsruhe) – Green hydrogen plays a major role in both the national and European hydrogen strategies. However, there is not yet enough cheap renewable electricity available for its production in Germany and the EU. Therefore, the import of sustainably produced hydrogen will be necessary. The Fraunhofer Institute for Systems and Innovation Research ISI has examined the associated questions and compiled them in a report called a “Policy Brief”. Climate neutrality and sustainability, the technical and economic potential, but also the availability of capital as well as governance and local impacts are discussed.
Market of up to 700 billion euros
The researchers estimate that the future market for hydrogen imports in Germany and Europe is likely to be between 100 and 700 billion euros per year. The wide range is due to the fact that there is still uncertainty regarding the possible areas of application of hydrogen and the energy sources derived from it. “However, an import is considered necessary because the potential for renewable energies in Germany and the EU is very likely not sufficient to cover future hydrogen needs cost-effectively due to availability, cost-effectiveness and acceptance.”
Difficult to use on airplanes and ships
Green hydrogen can be used in steel production, in refinery processes, in basic chemistry, but also in sectors such as the glass or paper industry, according to the study. The use of hydrogen is currently more difficult in applications with high energy densities such as international air or sea transport. Here one has to rely on synthetic products. However, these require further conversion steps as well as CO2, and one has to rely on combustion processes, which leads to losses in efficiency and costs.
Promote export countries
In order to keep possible import risks low, “long-term partnership relationships should be established with democratically, politically and economically stable producing countries,” advise the experts. It is also important to develop and apply sustainability criteria so that these countries can achieve their own energy and climate policy goals. Promoting investments and “secure hydrogen demand” would help create attractive market conditions for hydrogen production and transport. Newly created jobs and the expansion of local value creation are “central drivers for the development of a globally networked hydrogen economy”.
Energy efficiency remains a priority
The hydrogen economy should be integrated into the entire energy system. Energy efficiency must continue to be a top priority and energy demand must be reduced. The electricity sector needs to be decarbonized. The use of renewable energies should be given priority over the development of the hydrogen economy. “The complexity of importing green hydrogen is currently not well understood, and the challenges are therefore partly underestimated,” says Martin Wietschel, 
who coordinates research work on the topic of hydrogen at Fraunhofer ISI. Therefore, a possible hydrogen import and its consequences should continue to be “comprehensively analyzed”.
The study “Opportunities and challenges when importing green hydrogen and synthetic products” is available as a PDF (40 pages) for free download (see link below).
deep link
https://www.isi.fraunhofer.de/content/dam/isi/dokumente/cce/2020/policy_brief_wasserstoff.pdf
Photos
© Fraunhofer ISI
