Southern California's plentiful supply of renewables and its rich manufacturing base could make the region a suitable hub for green hydrogen, according to a new business coalition.

Hydeal LA is the Green Hydrogen Coalition’s first North American initiative, a group of local industrial concerns and utilities looking to reduce the price of green hydrogen to $1.50/kg by 2030.

Partners joining the coalition include utility Southern California Gas (SoCal Gas), technology manufacturer Mitsubishi Power and the Los Angeles Department of Water and Power (LADWP).

"What brings us together today is the fuel flexibility that hydrogen can bring to both the electric and industrial sectors” Brown, SoCal Gas

The LADWP has played an important role in accelerating renewables in the region. Now, as the lead partner for the conversion of Utah's Intermountain Power Project, the LADWP is looking to take the lead on green hydrogen.

"The next step is to convert our in-basin power plants,” said Martin Adams, LADWP’s general manager, in a presentation last month at the HyDeal LA launch. “We have four that that run on natural gas.”

Adams noted that adding that industrial customers would be key to the transition. LADWP has about 3.4 GW of natural gas power in the basin, he said.

Hydeal LA partners are particularly focused on the increasing amount of renewable generation that is curtailed in the region. Instead, this surplus could power green hydrogen production which could then be used as energy storage. In 2021 alone, combined wind and solar curtailments hit monthly highs in both March and May, at 342MWh and 328MWh respectively, according to California’s independent system operator, Caiso.

HyDeal LA cites four general areas it wants to pursue in addition to green hydrogen exports: clean electricity, decarbonising fuel refining, providing green ammonia for maritime use, and the use of hydrogen fuel cells for short-haul flights.

Fuel-cell solution

Hydrogen fuel cells are likely best suited to road transportation, especially around the region's two major ports at Long Beach and Los Angeles. The broader LA basin is also the largest manufacturing base in the US, with plentiful short-haul trucking activity and warehousing logistics. But even in these settings, fuel cells still need to see further cost declines to expand their market share.

The new coalition is also joined by SoCal Gas, which is already working on various hydrogen projects, including fuel-cell marine transport in a partnership with the California Energy Commission.

"What brings us together today is the fuel flexibility that hydrogen can bring to both the electric and industrial sectors,” says Maryam Brown, SoCal Gas president.

The next step, according to LADWP’s Adams, is to work on the Scattergood natural gas plant, an 840MW facility in El Segundo that serves the region around LA’s airport. It will be the first of the four plants in the basin to be targeted for green hydrogen capability.

"Scattergood will follow the model of the Utah IPP,” said Adams, “we will learn those lessons from Scattergood and then apply them to the other plants.”

The region could even become a green hydrogen exporter to the rest of the world, according to Green Hydrogen Coalition founder and president Janice Lynn.

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Author: Gregor Macdonald