Is the UK ready for hydrogen fuel?
21 March 2023
Is the UK ready for hydrogen fuel?
Hydrogen is considered to be a promising alternative to
traditional fossil fuels, as it has the potential to be a clean and sustainable
source of energy. The UK government has set out ambitious plans to achieve net-zero carbon emissions by 2050, and to achieve this, has pledged £4billion in funding to support the development of low-carbon hydrogen as it
is expected to play a key role in achieving this goal.
The commercial implications of this move towards hydrogen
are significant. The shift from fossil fuels towards hydrogen will impact the
infrastructure required to support this change, creating new business
opportunities across sectors such as energy and transportation.
In this article, we will explore the UK's readiness for
hydrogen, with a focus on the commercial implications of the move.
Hydrogen sources
Hydrogen can be produced from a variety of sources including
natural gas, coal and water.
The most common method of producing hydrogen is through the
process of steam methane reforming (SMR). This process involves the reaction of
methane with steam to produce hydrogen and carbon dioxide and, as it uses
fossil fuels, it is not sustainable in the long term and produces significant
carbon emissions, which does not help achieve the UK’s net-zero goals.
Therefore, the fuel and energy industries, in partnership
with the UK government, need to explore alternative methods of producing
hydrogen that are more sustainable, including the use of renewable energy
sources like wind, water and solar power.
Another method called Electrolysis produces hydrogen by
splitting water molecules into hydrogen and oxygen using an electric current.
This method can be powered by renewable energy sources, resulting in a
zero-carbon source of hydrogen.
Once these sustainable sources become a reality and more
widely used, the number of hydrogen sources will drastically increase, allowing
for this fuel to become more widely used. Until this happens, it’s not
commercially viable to introduce hydrogen as a main fuel and therefore the UK
is not ready.
Hydrogen refuelling and commercial vehicles
One of the main challenges facing the growth of hydrogen in
the UK is the lack of refueling infrastructure. Currently, there is only a
handful of refueling stations in the UK and this is not enough to support the
growth of hydrogen fuel. It is also not enough to support the commercial supply
chain and distribution networks that run throughout the UK.
Although refuelling isn’t currently widespread, neither is
the availability of commercial vehicles that are powered by hydrogen, though
there has been some development in this area. Hydrogen-powered
HGVs either use fuel cells which convert hydrogen gas into electricity that
can power the vehicle's electric motor or the more traditional approach which
still uses the combustion engine. Both of these vehicles are already being
introduced and are expected to become more prevalent as the technology develops
and costs reduce.As the commercial demand grows, this is likely to help
increase investment in the much-needed infrastructure.
Hydrogen tankers are also being developed but as they are
still a very new technology, the rollout of this type of vehicle is likely to
be slow. One of the main challenges that come with slow development is the
availability and infrastructure for producing, storing, and transporting
hydrogen fuel.
Nevertheless, as the demand for sustainable shipping
solutions grows, more investment will likely be made into developing the
necessary infrastructure to support hydrogen-powered shipping.
Although there
are promising steps and movements towards hydrogen, the UK is not currently
ready for a large rollout of hydrogen-powered commercial vehicles.
Industrial heating
Hydrogen can also be used as a fuel for industrial heating,
providing an alternative to traditional fossil fuels like natural gas. It can
simply be burned in a furnace or boiler with the heat generated pumped around a
heating system. As an alternative fuel, it’s growing in popularity as not only does
it hit the government’s net-zero targets, but hydrogen also helps businesses
achieve their own sustainability targets by reducing their carbon footprint.
However, as it’s still in its early stages, more research
and development are needed to understand the technical and economic feasibility,
as well as develop the workforce.
As hydrogen production becomes more efficient
and cost-effective, there will likely be more widespread adoption of
hydrogen-powered heating systems in industrial settings.
What impacts the readiness of the UK oil & gas sector for hydrogen?
-
Technology
readiness: The technology for hydrogen production, storage, and use is
still developing, and it will take time to reach a level of maturity that
can support large-scale deployment. In addition, the costs of hydrogen
technology will need to come down significantly to be competitive with traditional
fossil fuels.
- Policy
support: Government policy can play a critical role in accelerating the
transition to hydrogen. Supportive policies such as incentives for the
production and use of hydrogen, regulations to reduce carbon emissions,
and funding for research and development can help to create a more favourable
environment for the adoption of hydrogen in the oil and gas sector.
- Industry
demand: The oil and gas sector is under increasing pressure to reduce its
carbon footprint, and this is creating a demand for alternative fuels such
as hydrogen. However, the rate of adoption will depend on the industry's
willingness to invest in new technology and infrastructure.
- Infrastructure
readiness: The transition to hydrogen will require significant investment
in new infrastructure, such as hydrogen production facilities, pipelines,
and refuelling stations. The availability of this infrastructure will be a
key factor in determining the speed of the transition.
Conclusion
The UK has made significant progress in preparing for the
use of hydrogen as a fuel, with ambitious plans to produce hydrogen through
sustainable methods and increase the availability of hydrogen refuelling
stations. The government is also exploring the use of hydrogen as a fuel for
industrial heating, which has the potential to significantly reduce greenhouse
gas emissions. However, there are still significant challenges to overcome,
including the cost of producing hydrogen and the need for further investment in
infrastructure. Overall, the UK's readiness for hydrogen as a fuel is
promising, but further action is needed to achieve the country's net-zero
goals.