Green Hydrogen Energy: from Fiction to Fact
In 1875, French science fiction novelist Jules Verne imagined a future where water could be used as a fuel, underlining the inexhaustible potential of hydrogen and oxygen for heat and light, surpassing the intensity of coal. Today, decarbonised hydrogen is considered a compelling solution to one of the most pressing challenges faced by industries: reducing greenhouse gas emissions without compromising on performance or productivity. Its production, primarily through water electrolysis, represents a clean alternative to traditional hydrogen production methods, which are heavily reliant on fossil fuels and associated with significant CO₂ emissions.
Since many years, Equans, a leader in energy services, has dedicated itself to making Jules Verne's 150-year-old futuristic vision a reality by incorporating green hydrogen into its strategy to meet environmental sustainability and energy efficiency objectives.
Back to Basics: What is Decarbonised Hydrogen
Hydrogen, often referred to as “H2” because of its diatomic form, is an energy carrier that needs to be produced. Current methods to do so are mainly based on steam methane reforming (SMR) of natural gas. In this process, methane reacts with water to produce a mixture of hydrogen and CO₂. Another method, gasification, produces hydrogen and carbon monoxide by burning coal, biomass, or biogas, with significant CO₂ emissions released from coal combustion. The CO₂ can be captured and stored to produce so-called decarbonised hydrogen. However, the most environmentally friendly method is water electrolysis, in which water is split into hydrogen and oxygen without releasing CO₂.
The principle of green hydrogen production through water electrolysis underpins the shift towards low-carbon and renewable hydrogen. In contrast to methane cracking with steam, which releases around 10 tonnes of CO₂ for every tonne of hydrogen produced, electrolysis offers a way to produce hydrogen with minimal greenhouse gas emissions using water molecules and electricity from renewable energy such as solar, wind, geothermal or hydroelectric.
Increased investments in the past ten years have enabled technological advances that make electrolysis more competitive compared to the traditional SMR method, especially in the face of rising natural gas prices.
Hydrogen Production and its Impact
When it comes to energy production from hydrogen, the environmental impacts are categorised by "colour" to differentiate the methods:
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Grey hydrogen is produced from natural gas by steam methane reforming (SMR) and releases large amounts of CO₂.
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Blue hydrogen follows a similar production pathway but uses carbon capture, storage (CCS) and utilisation or carbon sequestration techniques to reduce emissions.
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The more environmentally taxing methods of producing hydrogen include brown and black hydrogen which use the most carbon-intensive fossil fuel, coal, releasing the most significant amounts of CO₂ and carbon monoxide into the atmosphere.
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Pink (sometimes call red or purple) hydrogen is produced through electrolysis powered by nuclear energy.
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White or golden hydrogen occurs naturally in the Earth’s subsurface along tectonic plates, both under water and on the surface.
The Advantages of Green Hydrogen
Green hydrogen is the most desirable for decarbonising industry, offering numerous advantages, above all its lower environmental impact. As a clean energy carrier, it emits no CO₂ when produced using renewable energy. This characteristic makes it an ideal solution for energy storage. It enables the management of excess renewable energy by storing surplus electricity generated during peak times in the form of hydrogen, which can then be converted back into electricity when demand increases.
Furthermore, the versatility of green hydrogen means it can be used in a variety of sectors including mobility (in road, rail and air transport as a fuel), in industry (as a substitute for fossil fuels in processes) and in energy networks and district heating (through its ability to balance supply and demand through storage and delivery). This adaptability not only contributes to the decarbonisation of these sectors, but also increases energy security, stability, and efficiency.
The Shift to Green Hydrogen: Stepping up Incentives
Despite the problem of the still limited availability of green hydrogen, extensive projects are underway in the UK, France, the Netherlands, Belgium, and Germany to increase production. Notable examples include the 200 MW project in Dunkirk, France, which promises to avoid 280,000 tonnes of CO₂ emissions per year, and the HyNet project in the UK, which aims to decarbonise industrial clusters by replacing fossil gas with low-carbon hydrogen.
Governments are also willing to financially support large green hydrogen projects to reduce dependence on imported gas. The World Bank has just approved a plan to accelerate the global use of clean hydrogen by providing $1.65 billion in hydrogen production loans to reach 10 GW of capacity worldwide, ten times the current global production of hydrogen from renewable sources. Over the past year, governments in the European Union, India, Australia, and the United States have accelerated action. The Inflation Reduction Act, the Biden administration’s landmark climate bill, aims to reduce the domestic cost of green hydrogen to a quarter of its current price in less than a decade through tax incentives and $9.5 billion in subsidies. In 2023, the European Commission approved the Important Project of Common European Interest (IPCEI) “Hy2use”, a €5.2bn initiative, which intends to fund 35 large-scale green hydrogen projects in 13 countries by 2036.
A Surge in Collaborative Initiatives
The partnership between Mitsubishi and Shell to produce green hydrogen from offshore wind farms, the launch of a low-carbon hydrogen industrial plan by EDF and the partnerships between ENGIE and ALSTOM to supply renewable hydrogen for rail freight transport in Europe illustrate the industry's collaborative approach to deploying green hydrogen at scale. In addition, Bouygues Telecom's initiative to use green hydrogen energy solutions with the aim of reducing CO₂ emissions by 70% demonstrates the versatility of green hydrogen to reduce the carbon footprint in different sectors.
The momentum behind green hydrogen as a sustainable energy source is undeniable and is evidenced by the flurry of collaborative projects and partnerships for its production and application. These initiatives not only emphasise the environmental benefits of green hydrogen for industry, but also its growing role, support, and wider acceptance across the global energy landscape.
Green Hydrogen: A Pathway to Sustainable Industry
The industrial sector, which is known for its high carbon footprint, can benefit significantly from green hydrogen. By replacing fossil fuels with hydrogen in processes such as high-temperature heating, the industry can drastically reduce its CO₂ emissions. Equans, for example, is championing the use of green hydrogen to facilitate the transition to low-carbon industrial processes.
Equans Driving Innovation in Industrial Hydrogen and Mobility
Equans' industrial hydrogen solutions aim to replace fossil fuel-derived hydrogen and natural gas with low-carbon hydrogen produced by electrolysis. The company offers turnkey solutions for on-site low-carbon hydrogen production for industry and mobility, ensuring a high-quality hydrogen supply and securing production processes.
The turnkey offerings include the construction of electrolysis plants and the supply of technical packages for comprehensive system integration. In the field of hydrogen mobility, Equans is building an infrastructure for the production and distribution of renewable or low-carbon hydrogen, providing an alternative fuel source for heavy and intensive mobility applications.
Expanding the Transition with Low-Carbon Hydrogen and E-Fuels
As an active member of “France Hydrogène”, Equans is spearheading the integration of low-carbon hydrogen and e-fuels into industry and communities. By focusing on locally and sustainably produced hydrogen, our comprehensive approach ranges from preliminary studies and design to project management and industrial risk studies to the construction, distribution and maintenance of production facilities and emphasises the central role of low-carbon hydrogen and e-fuels for a sustainable industrial future.
Hydrogen to Decarbonise Transport
The transport sector, another major emitter of greenhouse gases, also stands to gain from green hydrogen. It offers a clean alternative to fossil fuels for powering vehicles, from cars to buses and ships. Equans has been actively involved in projects aimed at integrating hydrogen into transport infrastructure, emphasising the role of hydrogen in the decarbonisation of maritime transport and beyond. The use of hydrogen fuel cells in vehicles not only reduces emissions, but also promotes energy efficiency and sustainability in the transport sector overall.
Advancing E-Fuels for Sustainable Transport and Agriculture
Equans is driving the synthesis of molecules for sustainable applications and supporting the conception, design, and construction of plants for the production of e-biokerosene, e-methanol and e-ammonia. These efforts are crucial for replacing fossil fuels in maritime and aviation transport and to produce low-carbon fertilisers, thus contributing to the overall goal of decarbonisation.
Hydrogen to Decarbonise Heating
In the context of heating, green hydrogen is a viable solution for reducing carbon emissions from residential and commercial buildings. By replacing natural gas and other fossil fuels with hydrogen in heating systems, emissions can be significantly reduced, contributing to the goals of a hydrogen economy.
Hydrogen Recovery in Boilers: A Step Towards Fossil-Free Steam Generation
In Pont de Claix, France, an ERAS-led project to reduce the consumption of fossil natural gas by replacing it with hydrogen produced in an electrolysis workshop marks an important step towards sustainable industrial enterprises. Our approach for VENCOREX FRANCE comprises a comprehensive strategy that includes compression and drying technologies, ensuring the effective use of hydrogen in steam boilers and expert advice on applying for funding.
In addition, Equans is committed to the creation of decarbonised hydrogen hubs that bring together industrial players within territories to structure the hydrogen sector regionally. The hybrid combustion solution that combines hydrogen with another fuel to support the decarbonisation of industrial sites is another example of Equans' tailor-made approach to the integration of process gases from planning to maintenance.
Hydrogen's Role in Decarbonisation Strategies
The importance of decarbonised hydrogen projects goes beyond their individual contribution to CO₂ reduction. They represent a broader shift towards the integration of green hydrogen into wider decarbonisation strategies in various industries. Equans’ Net Zero North West project in the UK, for example, aims to make the North West the first zero-carbon industrial cluster by 2040 and emphasises the central role of hydrogen in achieving this ambitious goal. Our development of a green hydrogen production plant in the port of Den Helder, in the Netherlands, which is to be used for both sea and road transport by connecting it to a refuelling station, also illustrates the potential of hydrogen to revolutionise energy networks and mobility solutions.
Equans' Strategic Approach to Hydrogen
Equans aims to achieve a breakthrough in the hydrogen market by promoting cross-border cooperation and a modular strategy for scalability. The company's preference for small projects in the initial phase enables faster implementation, direct contact with end users and a comprehensive learning experience, which is essential for scaling up to larger projects.
Equans’ Comprehensive Expertise in Decarbonised Hydrogen Projects
As projects expand in capacity (exceeding 10MW, with several ranging between 15 and 100 MW), the importance of hiring an EPC (Engineering, Procurement, and Construction) partner with specialised knowledge in high voltage, high pressure, and process safety becomes increasingly critical for managing the Balance of Plant effectively.
Design and Engineering
Equans offers a complete range of engineering and project management services tailored to hydrogen and e-fuel projects. These include concept and feasibility studies, preliminary and detailed design studies (pre-FEED and FEED), industrial risk analyses and support with permitting and administrative procedures. This thorough approach ensures that projects not only start on a solid footing, but also meet the highest safety and environmental standards.
EPC Realisation and Integration for a Greener Future
Equans’ expertise extends to the realisation of hydrogen projects, managing the intricate details of industrial risk and ensuring seamless integration into existing processes. Our expertise encompasses managing hydrogen logistics, optimising consumption, and improving the overall sustainability of hydrogen plants, thereby improving the carbon footprint and reducing noise pollution. Key areas of expertise include the automation of electricity metering, piping, purification, compression, storage, distribution, regulation, and process integration, supported by industrial computers and digital tools.
Maintenance and Operational Excellence
The maintenance of hydrogen plants is crucial for their long-term performance and reliability. Equans supports operators and equipment manufacturers with comprehensive maintenance services that ensure optimal equipment performance across four levels of maintenance. This commitment to operational excellence underpins the reliability and safety of hydrogen-based solutions.
Learning from Real Projects in Low-Carbon Energy Solutions
Equans is not only advocating for a hydrogen-powered future but is also actively contributing to making the hydrogen economy a reality. Our projects range from small, containerised solutions to larger projects of more than 10 MW. The company's partnership with Bouygues Energies & Services has led to several ground-breaking projects, such as:
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The commissioning of an industrial plant in Saillat-sur-Vienne, France, for gas turbine tests with hydrogen-natural gas mixtures.
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The development of a 1-2 MW hydrogen production plant as part of the Alp'hyne Mont Blanc consortium in France.
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The construction of a 5 MW hydrogen production plant in Pfeffenhausen, Germany.
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The operation of the ammonia cracker in Tyseley (UK), which enables hydrogen to be transported over long distances.
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The development of a hydrogen production plant in the harbour of Den Helder in the Netherlands, which is currently being completed.
Innovative Applications and Achievements
Equans has been instrumental in the development of several key projects such as Hydrospider and Hyflexpower. Here, the company is contributing to the technical and mechanical aspects of the development of a hydrogen turbine for a recycled paper production plant, the world’s first industrial-scale power-to-H2-to-power demonstrator and a showcase of our capabilities in medium and high-pressure piping systems. In the field of hydrogen mobility, we are involved in projects such as Alp'hyne, H2Bycol and Hympulsion, which involve the construction of hydrogen refuelling stations with safety and monitoring systems.
Pioneering Power-to-H2-to-Power
The HYFLEXPOWER project in Saillat-sur-Vienne, France, is an example of the innovative steps being taken to integrate hydrogen into the energy mix. The project, which is being carried out by two of our subsidiaries AXIMA and ERAS, involves testing a combined heat and power turbine fuelled by decarbonised hydrogen with the ambitious goal of achieving a 100% hydrogen energy mix by 2023. Key aspects of the HYFLEXPOWER project include addressing safety, environmental and performance aspects, providing a technical and economic compromise through two pilot plant demonstration campaigns and an investment of more than € 1 million.
Autonomous Electro-Hydrogen Unit and Optimised Renewable Electricity Storage
Equans' HYVISION initiative, which includes a smart connected platform, is an example of the innovation of containerised electrolysers and compression and distribution stations that replace diesel generators to reduce CO₂ emissions and noise pollution on construction sites, at cultural or sporting events, in mobility and in remote areas that are not connected to the electricity grid. This end-to-end solution ensures the generation, storage, and distribution of renewable energy, optimises the consumption and storage of intermittent renewable energy, anticipates supply interruptions, and detects leaks through real-time data monitoring.
Challenges Ahead: Fuelling Demand
Chemical production, steel, and cement manufacturing account for almost a tenth of global carbon dioxide emissions. Blast furnaces, freight trains, cargo ships and the gigantic lorries used in mining rely on heavy fuels such as coal and oil. Emissions coming from sprawling heavy industry and heavy-duty transportation are in technical jargon “hard-to-abate.”
Even when these industries are electrified, they will put an enormous strain on the grids. Due to its versatility and grid-balancing ability, green hydrogen could help decarbonise these hard-to-abate industries, from steel production to heavy goods transport. This means low or zero-carbon hydrogen will need to replace the 95 million tonnes or so per year already consumed for mining, refining, fertiliser, and chemical production that already come from black, grey or brown fossil fuels.
In 2024, the hydrogen market is expected to accelerate at a compound annual growth rate (CAGR) of 10.2%[1] as governments provide more support, and investors and developers get involved to push projects further. However, more robust demand-side support measures need to be introduced to facilitate the purchase of clean hydrogen produced in such projects and enable the H2 transition for existing users. Now that we are starting to see substantial support for production, it is important to give the demand side the same level of attention and differentiated support.
Shaping the Future of Green Hydrogen Together
Experts predict that low or zero-carbon hydrogen will dominate the global supply mix with a share of between 50 and 65 per cent[2] as the cost of renewables and electrolysers falls and production becomes more competitive. This forecast, together with the ongoing development of innovative projects and supporting policy measures, makes green hydrogen a key player in the energy transition. Equans' proactive stance, ranging from participation in pioneering projects to partnerships for large-scale collaborative projects, reflects our decade-long mission to shape the future of energy with green hydrogen at its core.
But it will take more than competitive costs to persuade existing users to switch to clean hydrogen. Industrial heavyweights will need more secure production in the quantities they need, delivered at a steady, uninterrupted rate as required for their specific applications. Equans is committed to continue its growth as a global partner in the design, construction, and maintenance of hydrogen projects, leveraging its specific H2 engineering expertise. Moreover, by expanding its international partnership network, Equans aims to activate the transition to the decarbonised hydrogen economy, by developing infrastructure — from pipelines to storage and transport — to securely distribute clean hydrogen from the point of production to the point of use.
Conclusion
The path to a sustainable and low-carbon future, while complex, has been recently brightened by the progress made in the production of green hydrogen and its application in various sectors. Equans' commitment to the integration of green hydrogen, underpinned by comprehensive services and pioneering projects as well as strategic partnerships to stimulate demand, emphasises the potential of this energy carrier to meet our UN climate targets and promote a cleaner, safer, more efficient, and sustainable energy landscape. A green hydrogen energy transition is not just possible, it is feasible.
[1] https://www.marketsandmarkets.com/Market-Reports/hydrogen-generation-market-494.html#:~:text=%5B293%20Pages%20Report%5D%20The%20global,10.2%25%20from%202023%20to%202028.
[2] https://www.mckinsey.com/industries/oil-and-gas/our-insights/global-energy-perspective-2023-hydrogen-outlook