A recent study conducted by Transport & Environment (T&E) sheds light on the European Union’s ambitious hydrogen targets and the challenges associated with relying on imports to meet them.
The study, which analyzed the hydrogen production plans of six key export countries, raises concerns about the feasibility and sustainability of Europe’s hydrogen strategy.
Europe’s hydrogen aspirations are undeniably lofty, with the EU’s RePowerEU initiative aiming to produce 20 million tonnes of renewable hydrogen by 2030, half of which is slated to come from imports. However, the T&E study reveals that the countries Europe is banking on for imports are ill-prepared to meet such demands, casting doubt on the viability of the EU’s import-heavy approach.
One of the key findings of the study is the stark contrast between Europe’s hydrogen goals and the current state of hydrogen production in the export countries under scrutiny, which include Norway, Chile, Egypt, Morocco, Namibia, and Oman. Despite these countries’ ambitious export plans, only a fraction of their proposed green hydrogen production has received financing, indicating significant barriers to scaling up production.
A major obstacle highlighted by the study is the lack of renewable energy infrastructure in the export countries. With the exception of Norway, most of the countries rely heavily on fossil fuels for energy generation, necessitating substantial investments in clean electricity production to enable green hydrogen exports.
Moreover, the production of hydrogen requires significant water resources, posing a challenge for water-scarce countries like Namibia and Oman. The study estimates that meeting the export targets would require millions of tonnes of water annually, exacerbating existing water scarcity issues in these regions.
Infrastructure constraints further complicate Europe’s reliance on hydrogen imports. The absence of long-distance hydrogen pipelines means that alternative transportation methods, such as e-fuels transported by ships, would be necessary to facilitate imports. However, this approach presents its own set of challenges and logistical hurdles.
Despite the challenges associated with import reliance, the study suggests that Europe has the potential to meet a significant portion of its hydrogen needs domestically. By investing in renewable energy infrastructure and prioritizing sectors with limited alternatives to hydrogen, such as aviation and shipping, Europe could significantly reduce its dependence on imports.
