Increasing electrolysis and technological advancements will be needed for green hydrogen production to save most of its costs in the future.
FREMONT, CA: If green hydrogen is to be utilized to reduce carbon dioxide, it is crucial to concentrate on the applications that will result in the greatest reductions in emissions. Creating green hydrogen is now far more expensive than creating less clean hydrogen, although the applications in the (green) top row are effective users of precious green hydrogen. It would significantly influence food costs if it were utilized to generate the 180 million tons of ammonia necessary globally for fertilizer manufacture.
The nature of this change is therefore difficult to predict.
Commercialization: Despite the falling costs of producing electricity from renewable sources, electrolysis is still a commercial hurdle. It is estimated that the price of green hydrogen at the plant gate might range from USD 250 to 400 per barrel of oil. Although they are anticipated, future cost reductions could be more questionable. It is far less expensive to replace traditional petroleum goods with green hydrogen than to use oil at the present pricing.
Resources: Due to hydrogen physics, cheap hydrogen transport is difficult. Compared to liquefied petroleum gas, natural gas, or oil-based liquid fuels, it is far more difficult to transport since it must be done at extremely low temperatures (-253°C) in the ocean. Because gasoline and diesel are carried at room temperature, costly refrigeration is unnecessary. Because hydrogen only contains 25 percent as much energy as a liter of gasoline, it is far more costly to transport and store hydrogen than gasoline. Hydrogen substitutes have been researched. The International Renewable Energy Agency advises storing hydrogen in ammonia for shipment since ammonia (NH3) is more convenient and less expensive to convey than hydrogen.
However, extra machinery is needed to transform hydrogen into ammonia and strip it off at its destination. It is more difficult to handle hydrogen than it is to handle traditional fossil fuels. Hydrogen is colorless, odorless, and tasteless, which makes it more difficult to detect leaks than common hydrocarbons. Hydrogen flames cannot be seen because they are invisible to the human eye. In the past, trained personnel regulated and handled hydrogen inside industries. When hydrogen is widely integrated into society, we will require additional precautions and expertise in insurance, material handling, firefighting, and disaster management.
Attracting investments: Numerous ground-breaking projects are being planned in the southern hemisphere. A gigawatt-scale hydrogen power station has previously been constructed. They are perfect for this since they are less inhabited and have more renewable energy sources (solar and wind) than the rest of the globe. Megaprojects involving hydrogen may appear advantageous for developing nations but come with concerns. According to the "iron law" of megaprojects, they frequently go over budget, over schedule, and under benefit expectations. Project owners also incur the risk of project execution and the risks associated with currency rates, remote locations, cutting-edge technology, and a lack of expertise.
Prospective host nations must weigh these dangers against the allure of boosted investment, employment, and balance of payments. They would be wise to demand guarantees from their client nations to prevent the unfairness of the global south financing the global north as it transitions to greener energy.
