The hydrogen market is enjoying a period of growth, as various governments announce decarbonization and energy transformation initiatives.

When contemplating energy choices for a sustainable future, hydrogen (H) is the most frequently stated option. Hydrogen is the most plentiful chemical element in the universe. In comparison to other fuels, hydrogen offers the highest energy density per unit weight, three times that of gasoline, with the added benefit of emitting no pollutants.

Despite its abundance, hydrogen is only found in compounds with other elements, such as water (when paired with oxygen) or hydrocarbons (combined with carbon). As a result, extracting it entails complex separation methods, considerable economic expenses, and frequently major environmental consequences.

Today, the majority of hydrogen is produced using fossil fuels, referred to as “gray hydrogen,” which results in significant CO2 emissions. When the carbon dioxide produced during the process is caught and used to offset the emissions, we obtain blue hydrogen. Only hydrogen derived from renewable sources is carbon neutral and is referred to as “green hydrogen.”

The hydrogen market is in an advantageous position, with several countries outlining plans for decarbonization and energy transition that include hydrogen as a component. While the technology approaches to “green hydrogen” are still being consolidated, the demands on economies to achieve so-called deep decarbonization should expedite investments in its production.

Brazil’s potential for green hydrogen production is great, given the country’s ability to obtain it via water electrolysis and the country’s vast renewable energy sources – wind and solar. Brazil also has tremendous potential for hydrogen production using alternative renewable energy sources such as hydroelectricity, pyrolysis, gasification, or biodigestion of biomass.

Hydrogen derived from biomass or biofuels may also be “green,” with added value, to the extent that the resulting carbon emissions and their impact on natural resources are zero or negative. Such a resource would enable, for example, the manufacturing of low-impact fossil-energy-dependent fertilizers, which would be critical for agricultural productivity in the future.

Hydrogen could potentially transform the transportation sector by enabling the development of electric vehicles that do not rely on batteries – which are expensive, require frequent recharging, and have negative environmental consequences. It is now possible to employ liquid fuels, such as ethanol, in a fuel cell to generate hydrogen and, from it, electric energy without the usage of batteries or the generation of carbon dioxide.

Consider a future in which electric vehicles that do not require batteries can be refueled at hundreds of service stations with our own renewable Brazilian sugarcane ethanol, which can be converted to hydrogen and energy using a single device. Equally desirable is the prospect of bringing energy to many remote areas of the country that are not served by distribution networks, provided that people have access to similar technology that is suited to their needs.

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