It seems anticipated that considerable volumes of hydrogen will have to be imported from outside the EU in order for Germany to meet its 2045 climate neutrality objective.
The projected far-reaching and complicated repercussions on exporting nations have been studied by scientists from the ko-Institut. They’ve focused on producing hydrogen from renewable energy sources (green hydrogen) and importing it into the EU.
Ambitious and well-defined sustainability requirements mitigate the negative consequences of hydrogen production in other countries, provide investment certainty for businesses, and serve as the foundation for long-term acceptance of imported hydrogen as a climate protection tool. The first criterion is They propose those who could influence the future hydrogen import market in a sustainable manner in the working paper “Sustainability dimensions of imported hydrogen.” This was not due to a request from the Donation project: “Hydrogen?” Yes, but only if it is financed in a long-term manner.
The following are some of the consequences of hydrogen generation on exporting nations: Around 50 million cubic meters of water are provided for the import of around 170 terawatt hours (TWh) of hydrogen, which corresponds to the hydrogen import requirement for the year 2045 from the study Climate-neutral Germany 2045, and around 260 TWh of electricity is generated from renewable energies. This is about equivalent to 85 gigawatts (GW) of land-based wind turbine capacity. To put this into perspective, all of the wind turbines erected in Morocco and Egypt in 2020 generated about eight terawatt hours of power, despite having a capacity of just three gigawatts.
The political focus right now is on ensuring that the power required to manufacture green hydrogen originates from renewable sources.
Imports from outside the EU, on the other hand, necessitate a closer examination of the electricity issue as well as consideration of a broader variety of sustainability factors. This is the only way to lay the groundwork for avoiding the negative consequences of hydrogen generation in other countries.
- The use of electricity
Although electricity is the most significant input for electrolysis, it is also necessary for other processes in the hydrogen value chain, such as saltwater desalination and hydrogen derivative manufacturing. If the finest sites for renewable electricity generation are used to manufacture hydrogen, supplying hydrogen production with electricity from renewable energy sources may clash with the decarbonization of the domestic energy system. Hydrogen production can result in increased greenhouse gas emissions, particularly when energy is pulled from the grid, i.e. when fossil-fuel power plants must ramp up production to match the increased demand.
- Liquid
Water is necessary for both electrolysis and solar panel cleaning. Even though the amount of water required for hydrogen production is minor in comparison to other applications, such as agriculture, the increased local water demand in many nations with strong hydrogen export potential is a critical issue.
3. Land
The primary need for land is for the generation of renewable power via wind turbines or PV ground-mounted systems. However, land is required to a lesser extent for the manufacturing facility itself, as well as any essential transportation and port facilities. Changes in land usage can have an impact on biodiversity and local – sometimes informal – land rights.
- Economic involvement and human rights
The establishment of a value chain for hydrogen export will have socioeconomic consequences. Human rights may be jeopardized if land usage and working conditions change across the value chain. Furthermore, the local populace may be excluded from economic participation, and there may be no transfer of technology or know-how.
- Getting Around
In the case of an accident, carrying hydrogen or its derivative products, such as ammonia, can be hazardous to personnel and the environment.
6. CO2
CO2 is required as an extra input for the creation of secondary products based on hydrogen, such as electricity-based fuels (e-fuels). The motivation to replace fossil fuels is diminished if fossil CO2 is utilized, which is formed when fossil fuels are consumed.
Agreement on sustainability criteria can help businesses feel more secure about their investments and lay the groundwork for long-term acknowledgment of imported hydrogen as a climate protection tool. To account for the various needs of hydrogen initiatives, we recommend distinguishing between “do no harm” (avoid damage) and “do good” criteria. Existing sets of criteria should be utilised whenever feasible to keep the compliance hurdle for sustainability standards low.
At the national level, we recommend urging the hydrogen sector’s trade partners to establish a decarbonization strategy that includes hydrogen generation. A strategic environmental evaluation should be conducted on this plan (SEA). If this study uncovers significant problems, the trade partner’s strategy should be changed.
An environmental impact assessment for hydrogen should be conducted at the project level, as with any significant infrastructure projects. A sustainability evaluation that also considers socio-economic factors might be added to this. Local interest groups must be consulted during the planning process, and complaint procedures must be established.
Only newly constructed renewable energy generation systems should be used to power hydrogen manufacturing. The rules of the European Renewable Energy Directive (RED) for system integration of electrolysis systems and localization in the power grid should be taken into consideration in the case of energy from the grid. Additional tools are needed to guarantee that renewable energy locations are chosen in such a manner that hydrogen production does not obstruct domestic decarbonization. Investments in local infrastructure, such as extra renewable energy generation, energy networks, and power storage devices, can also help to ensure the long-term sustainability of the electrical supply.
Water should be sourced from bodies of water in locations where water is abundant or from more saltwater desalination facilities. These factories must comply with environmental regulations and run on renewable energy. For the time being, there are no standards that may be utilized for this purpose. Improved local water infrastructure and increased water production through seawater desalination facilities can help promote long-term local development.
In protected regions, land use modifications for hydrogen production and the generation of energy from renewable sources should be avoided. Local stakeholders should be consulted to ensure that local or informal land rights are not infringed. Local economic engagement and the prospect of extra advantages, such as the shading of local agricultural regions with agro-photovoltaic systems, should be considered as possibilities for furthering local sustainable development.
Due diligence methods should be used to reduce socioeconomic hazards, and human rights breaches should be avoided. For the green hydrogen production industry, they should still be mentioned. Furthermore, corruption should be avoided by measures that set economic participation norms and make money flows transparent. Guaranteeing a certain share of the local workforce, building a local supply chain for technology, for example through direct investments in manufacturing and development, and establishing initiatives to build up know-how should all help to support the socio-economic participation of the local population.
Only CO2 from sources that create a short-term carbon cycle with the environment should be used for the generation of by-products from hydrogen. As a result, we recommend that just two types of CO2 sources be permitted: CO2 from direct air capture (DAC) and CO2 from waste streams from industrial operations using sustainable biomass.
Because these concerns were not the subject of our research, we do not provide any exact criteria for the transportation and resources necessary. International occupational safety standards, on the other hand, are critical for the whole value chain. Along the value chain, the due diligence method should assist guarantee adequate occupational health and safety.
In order for sustainable green hydrogen to establish itself as a climate protection tool, criteria and standards must be promptly created and agreed upon, preferably worldwide. If an international agreement merely leads to poor sustainability requirements, more aggressive aims for the European hydrogen market should be agreed upon.
The requirements to be specified cover not just specific areas of sustainability, such as power purchases, but also a number of project-level analyses, such as environmental impact assessments. Furthermore, there is presently no worldwide regulation that assures that seawater desalination has minimal environmental consequences.
For the import of sustainable green hydrogen, institutions that monitor compliance with sustainability requirements are required. On the one hand, local institutions must implement certification procedures, monitor them, and thoroughly examine them. Initiatives, on the other hand, can encourage and monitor socioeconomic norms, ensuring the local population’s economic involvement.
Close collaboration with exporting nations can ensure that exporting and importing countries understand sustainability in the same manner and that the characteristics of sustainability are taken into consideration while importing. Long-term, stable trade partnerships may be built on a shared – if not international – concept of sustainable green hydrogen.
