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Hydrogen is one of the most abundant elements in the universe and according to major energy players, it could play a significant role in the transition to a clean and lowcarbon energy system. Bloomberg has said in a special report that the falling cost of making hydrogen from wind and solar power could cut greenhouse gas emissions by 34% in fossil fuel dependent sectors of the economy, such as steel, heavy-duty vehicles, shipping and cement.
The production of hydrogen through renewable sources is called ‘green hydrogen’.
Many of the major oil and gas companies have been eyeing hydrogen projects to add to their portfolio in their quest for net zero emissions. Hydrogen projects are also included in many countries’ ambition to reduce emissions.
Oil major Shell is now part of the consortium that aims to build the largest green hydrogen project in Europe.
The consortium of Gasunie, Groningen Seaports and Shell Nederland, announced that they intend to launch the NortH2 project: the production of green hydrogen using renewable electricity generated by a mega offshore wind farm, 3 to 4 gigawatts in 2030.
Additionally, it aims to grow to about 10 gigawatts around 2040. Green hydrogen production, initially in Eemshaven and later possibly also offshore, is expected to be around 800,000 tonnes per year by 2040. This would avoid about seven megatonnes of CO2 per year. NortH2 has the support of the province of Groningen and is looking for partners to expand the consortium and realise this project.
Green hydrogen, produced with renewable sources such as wind and solar energy, is central to the Dutch Climate Accord and the European ‘Green Deal’.
At present, industry is already using large quantities of hydrogen, but this is mainly produced from natural gas. Replacement with green hydrogen contributes significantly to the decarbonisation of the industry.
NortH2 envisages the construction of very significant wind farms in the North Sea, which can gradually grow to a capacity of about 10 gigawatts. This would be sufficient to meet the current electricity consumption of some 12.5 million Dutch households. Many wind turbines will need to be installed to enable this. The first ones could be ready in 2027 and will be used for green hydrogen production.
In addition, the plan provides for a large electrolyser in Eemshaven, where wind energy is converted into green hydrogen. The consortium is also considering the possibility of placing electrolysers offshore. In addition, a smart transport network in the Netherlands and Northwest Europe is required to deliver the 800,000 tonnes of green hydrogen to mainly industry, and later possibly also to consumers.
This could save an estimated seven megatonnes of CO2 emissions per year around 2040, according to Shell. In this project, Gasunie’s natural gas infrastructure – which is now mainly used for natural gas and green gas – is also used for the storage and transport of hydrogen.
Marjan van Loon, President-Director of Shell Nederland said, “Together, we are launching an ambition that puts the Netherlands at the forefront of hydrogen globally. In addition, it contributes to achieving the objectives of the Dutch Climate Accord and accelerates the energy transition. This project offers opportunities throughout the entire hydrogen chain. In addition, it fits well with our New Energies aspirations and our ambitions to find new ways to reduce CO2 emissions and deliver more and cleaner energy, at home, on the go and at work. In order to realise this project, we will need several new partners. Together, we will have to pioneer and innovate to harness all the available knowledge and skills that are required. The energy transition calls for guts, boldness, and action.”