Ireland has emerged as a potential “powerhouse” in the green hydrogen sector, with the ability to produce the cheapest green hydrogen in Europe by 2030, according to a report by Aurora Energy Research.
However, there are roadblocks that need to be addressed for Ireland to fully realize its potential in green hydrogen production. Kim Gunnelius, head of Verne Global’s operations in Finland, highlights the advantages Ireland possesses, such as its offshore wind potential and political will to incorporate green hydrogen in its Climate Action plan. Nevertheless, the lack of “green” in the hydrogen market and the need for government subsidies pose significant challenges.
Currently, only a small portion of the world’s hydrogen production is derived from renewable energy sources, with the majority being produced using less sustainable methods, such as natural gas and coal. Gunnelius emphasizes the importance of green hydrogen production through electrolysis, which involves splitting hydrogen from water using renewable energy sources like solar and wind. Reports suggest that green hydrogen is poised to become the dominant form of hydrogen production globally in the future.
Green hydrogen offers several advantages over other energy sources. Its energy density makes it attractive for industries with high power demands, including the transportation sector, which is exploring green hydrogen as a zero-emission fuel. Energy-intensive sectors like oil refineries, fertilizer producers, and steel plants can also benefit from green hydrogen as they aim to reduce fossil fuel usage in their production processes. Moreover, green hydrogen has the potential to address one of the key challenges in the renewable energy sector—energy storage. It can be stockpiled during times of surplus renewable energy generation and used to balance the grid during periods of low production or high demand.
While China leads the world in hydrogen production, with plans for significant expansion, countries like the United States and those in Europe are also investing heavily in green hydrogen initiatives. Ireland has taken steps to develop its green hydrogen ecosystem, including a supply chain partnership between Irish green energy company EIH2 and the ports of Cork and Amsterdam. However, the growth of Ireland’s green hydrogen economy hinges on its focus on renewables and the creation of an overall surplus of renewable-generated power. Currently, Ireland is not in a state of surplus, and significant government subsidies will be necessary to propel Ireland to “powerhouse” status in the green hydrogen sector.
In conclusion, Ireland has the potential to become a major player in green hydrogen production, but there are challenges to overcome. The country’s advantages in terms of offshore wind potential and political support need to be leveraged effectively. The transition to green hydrogen requires increased production from renewable sources and government subsidies to ensure a surplus of renewable-generated power. By addressing these challenges and providing necessary support, Ireland can tap into the immense potential of green hydrogen and contribute to a more sustainable and decarbonized future.
