latest developments in the emerging hydrogen economy

Latest Developments in the Emerging Hydrogen Economy

T I M OT HY C . L I N DSEY, PH. D.

SEN I OR A DVI SOR

UN I VERS I TY OF I LL I NOIS

SMA RT ENERGY DES I GN A ND A SS I STANCE CENT ER

S E P T E M B E R 1 0 , 2 0 2 0

[email protected]

mailto:[email protected]

University of Illinois at Urbana-Champaign

Smart Energy DESIGN ASSISTANCE CENTER (SEDAC)

August 2020

© 2020 Timothy C. Lindsey. All Rights Reserved.

Today’s Topics

➢Technical Breakthroughs and Opportunities

➢Global Developments

➢US and State Initiatives

➢Key Corporate Initiatives

➢Midwest Hydrogen Partnership



August 2020


''With a new national commitment, our scientists

and engineers will overcome obstacles to taking

these cars from laboratory to showroom, so that the

first car driven by a child born today could be powered by hydrogen, and pollution-free.’’

…..George W. Bush January 28, 2003



August 2020


Source: Rogers (2003)

Innovation Diffusion Curve



August 2020


Initial Enthusiasm

Commercialization Challenges

WidespreadAdoption

Critical Mass

Time

InnovationAdoption

Early Stage Innovation Adoption



August 2020


• Significant planning and investment took place in the early 2000s

• Fuel cell technologies failed to deliver satisfactory performance and

financial returns for investors

• Technology developers have continued to work to address

shortfalls

• Considerable progress has been made toward improving the technology’s performance and reducing costs

Interest in Hydrogen and Fuel Cells is Growing (Again)

Technical Breakthroughs and Opportunities



August 2020


Breakthroughs in Fuel Cell Technology



August 2020


• Reduced overall costs

• Cheaper and better catalysts

• Higher durability

• Higher gas purity

• Better materials

• Renewable (green) hydrogen

• Expanding renewable energy sector

Recent Breakthroughs in Hydrogen Technology



August 2020


Types of Hydrogen Production

Grey – Produced from fossil fuels by steam reforming

Blue-Produced with low CO2 emissions• Nuclear energy using electrolysis

• Fossil fuels with carbon sequestration

Green- produced from renewable energy• Electrolysis powered by wind, solar, or hydro

• Steam reforming of renewable natural gas



August 2020


1. Cost of renewables has declined

2. Availability of renewables has increased

3. Increased intermittency challenges

4. Increased need for grid storage and stability

Net effect: cost of hydrogen production is declining while the demand is increasing

Expanding Renewable Energy Sector



August 2020


• Early investments by NextEra Energy Inc. and Dominion Energy Inc.• Los Angeles Department of Water and Power

➢ $1.9 billion effort to convert a coal-fired power plant in Utah ➢ Will run on hydrogen produced with excess wind and solar power.

Hydrogen’s Role in Grid Storage



August 2020


Hydrogen Power for Data Centers

Microsoft is conducting a demonstration project, with a 250-kW fuel cell system to power a data center in Utah

Source: GreenBiz (July, 2020)



August 2020


14

This is an electric

vehicle!!

Hydrogen’s Role in Transportation



August 2020


15

• Fewer emissions• Fast fueling• Range• Performance• Scalability• Future innovation

Advantages of Fuel Cell Electric Vehicles



August 2020


• Lack of fueling infrastructure • 95% of commercial hydrogen is produced from natural gas

and generates CO2 as a by-product – but that is changing• Fuel cell drive trains are expensive• H2 must be stored at high pressure• Codes and standards for storing and dispensing H2 are

complicated

Disadvantages of FCEVs



August 2020


Hydrogen EconomicsFuel Cost

Hydrogen made from fossil fuels currently costs between $1-$1.8/kg.

Green hydrogen can cost around $5-8/kg (heavily dependent on the cost of power)

A kg of H2 contains about the same energy as a gallon of gasoline

Recent analyses by:

• IEA (June, 2019)

• MIT (August, 2020) and

• Wood Mackenzie (August, 2020)

project that the cost of green

hydrogen will fall 30% by 2030 “

Fuel ConsumptionA FCEV drive train is about twice as efficient as an internal combustion drive train



August 2020


Truck Comparison: Battery vs. Hydrogen



August 2020


Hydrogen in Trucking

➢ Nikola➢ Hyundai/Cummins ➢ Toyota/Kenworth➢ Daimler/Volvo➢ Honda/Isuzu➢ Weichai



August 2020


Hydrogen Powered Locomotives

➢ Alstom has successfully piloted 2 -H2 powered trains in Germany for the past 1.5 years

➢ Plans to begin replacing 14 diesel units in 2022 Source: (Alstom, May 2020)



August 2020


Other Hydrogen Applications Under Development

➢H2 in machinery applications

➢H2 in maritime applications

➢H2 for heating applications

➢H2 based steel production

Global Developments



August 2020


European Hydrogen Initiatives

➢European Commission recently formed the European Clean H2 Alliance

➢Just launched a 430B euro hydrogen strategy• Key to the EU’s goal of cutting greenhouse gas emissions by at least 50% by 2030

• Hydrogen’s share of Europe’s energy mix is projected to grow from < 2% to 13-14% by 2050

Source: Reuters (July 2020)

➢Germany is planning a 2-year 130B euro CoVid recovery program that includes a focus on green hydrogen Source: Renew Economy (June, 2020)

➢France is planning to invest 7B euro in hydrogen by 2030 Source: Bloomberg (Sept 2020)

➢Other notable projects underway in the UK, Belgium, Portugal and The Netherlands



August 2020


Hydrogen Initiatives in Asia Pacific Region

➢Japan plans to deploy to 40,000 FCEVs by the end of 2020; 200,000 FCEVs by 2025; and 800,000 FCEVs by 2030 Source: GTM (April, 2018)

➢China set goals of 50,000 FCEVs on the road by 2025; 1 million FCEVs on the road by 2030 Source: South China Morning Post (Sept. 2019)

➢South Korea set goals for 80,000 FCEVs by 2022 Source: Korea Herald (Jan. 2019)

➢Australia set aside $300 million ($191 million USD) to jumpstart hydrogen projects Source: Reuters (May, 2020)



August 2020


Oil and Gas Companies Playing a Role➢Shell proposes 'Europe's largest' green hydrogen project in North Sea

Source: Edie (July, 2020)

➢Shell announces plans to add hydrogen infrastructure at 48 California stations

Source: Shell (Sept, 2020)

➢BP commits $5 billion a year in renewable energy like wind, solar and hydrogen

Source: New York Times (August, 2020)

➢Saudi green hydrogen project announced to be largest in world

Source: H2 Fuel News (July, 2020)



August 2020


Board Consists of CEOs from Major Corporations•Air Liquide•Anglo American•China Energy•Cummins•ENGIE•Faurecia•Hyundai Motor Group

• Global coalition of 90+ CEOs working to enable the energy transition through hydrogen

• Uses its global reach to promote collaboration between governments, industry and investors

• Provides guidance on accelerating the deployment of hydrogen solutions around the world

Hydrogen could deliver 18% of global energy demand, abate 6 Gt of CO2 annually and create 30 million jobs by mid-century

•Johnson Matthey•Royal Dutch Shell•Sinopec•Linde•Total•Toyota

The Hydrogen Council

US and State Initiatives



August 2020


US Hydrogen Initiatives

➢California is currently the leading state •8,500+ vehicles

•42 current fueling stations (allocated funding for 123 more)

➢15 other States have committed to 100% of all new medium-and heavy-duty vehicle sales be zero emission vehicles by 2050

➢Hydrogen Could Become A $130B U.S. Industry By 2050 Source: Forbes (October, 2019)



August 2020


USDOE’s Hydrogen @ Scale Concept

Partnership Opportunities

The University of Illinois is partnering with Argonne National Labs to establish a Midwest Hydrogen Partnership to facilitate technology development and deployment.

In June, the DOE announced their intention to invest up to $100 million over five years in two new DOE National Laboratory-led consortia to advance hydrogen and fuel cell technologies research and development

Potential USDOE Support



August 2020


Framework for Technology Development and Deployment

ProductDevelopment

• Fuel Cells• Electrolyzers• Trucks• Locomotives• Maritime• Aircraft

ProcessDevelopment

• Electrolysis• Renewable H2

• CO2 Free Steel• Grid scale storage• Distributed power

generation

MaterialsDevelopment

• Structural• Membranes• Catalysts• Carbon fiber• Coatings• Graphene

InfrastructureDevelopment

• Pipelines• Storage• Fueling• Smart Grid

technologies• Safety & Codes• Permitting

MarketDeployment

• Stakeholder engagement

• Case studies• Workshops• Demonstrations• Pilot trials• Website

Midwest Hydrogen Partnership



August 2020


Contact Tim Lindsey [email protected]

Initial stakeholders’ workshop will be afternoon of November 12th

mailto:[email protected]



August 2020


Questions?

latest developments in the emerging hydrogen economy

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