IEA: low-emission hydrogen at risk [Gas in Transition]
IEA: low-emission hydrogen at risk [Gas in Transition]
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Natural Gas News
IEA: low-emission hydrogen at risk [Gas in Transition]
Summary
Lagging policy support and rising cost pressures put investment plans for low-emissions hydrogen at risk globally. [Gas in Transition, Volume 3, Issue 12] by: Charles Ellinas
Green hydrogen took centre stage at COP28 in Dubai, as one of the key technologies that has the potential to be a driver in powering the climate transition and play an important role in energy-intensive sectors such as chemicals, refining and steel. But even though momentum behind green hydrogen continues to grow, cost pressures put its development at risk. In a report Global Hydrogen Review 2023, released in September, the International Energy Agency (IEA) is warning that without stronger political support, policies and regulations, future progress is at risk. Lack of such support “is hindering investment decisions for planned projects whose economic feasibility depends on public support, a situation that has worsened due to the impacts of inflation.” At COP28, the IEA and the World Business Council for Sustainable Development (WBCSD) discussed policy support mechanisms that can stimulate demand for low-emissions hydrogen in hard-to-abate sectors. They warned that “without creating robust demand, low-emissions hydrogen producers will not secure sufficient off-takers to unlock large-scale investments and accelerate deployment.” This was also the subject of the well-attended 4th annual Hydro...
Related Knowledge Center: ENERGY BASICS: hydrogen
Hydrogen, long seen as a theoretical if not practical alternative to petroleum-based transportation fuels, is once again having a day in the sun as industries promote “green hydrogen,” produced using renewable resources.