Transitioning to hydrogen as a sustainable fuel for future generations, replacing fossil fuels, requires hydrogen production, storage, pipelines and dispensing stations to be expanded to create widely distributed networks in order for the fuel to become common and popular.
It involves huge infrastructure development across all segments of the hydrogen economy. Several countries and multinational corporates have adopted a strong commitment to the target of net-zero emissions and have taken up green hydrogen/ammonia projects, including hubs for domestic distribution and export.
306mt/yr – Volume of green hydrogen needed for net-zero world, according to IEA
One-hundred and ninety-eight nations at COP28 in Dubai endorsed an agreement to initiate the “beginning of the end” of the fossil fuel era by laying the ground for a swift, just and equitable transition through deep emissions cuts, and agreed to establish a fund to address the damage and losses that vulnerable countries face from climate change.
The COP28 Declaration of Intent calls for hydrogen to be prioritised for displacing fossil fuels. It also launched initiatives to unlock the climate and socioeconomic benefits of hydrogen as a prelude to a shift to the hydrogen economy as a major agenda of several countries. A net-zero world would require 306mt of green hydrogen to be produced annually by 2050, according to the IEA. It would, by then, require around 6,000GW of renewable energy and 3,000GW of electrolysers, based on currently available technologies.
There will be a shift in major energy production centres from fossil-fuel–rich countries to those blessed with sunshine, wind and abundant water. Global demand for renewable hydrogen is expected to grow steadily over the coming decades. According to IEA’s Global Hydrogen Review 2023, hydrogen demand of 95mt in 2022 is to rise to 157mt by 2030. By then, hydrogen hubs and export terminals will be commonplace facilities, like LNG terminals.
The EU has set a target to import 10mt of renewable hydrogen by 2030, with Germany, the Netherlands and Belgium expected to be major importers. We have the advantage of abundant supply of renewable power, growing domestic and local international markets, experienced and advanced technological capabilities, and energy infrastructure—which will help to store, transport, and deliver hydrogen at a low cost. India can position itself as a major supplier of green hydrogen and become a top exporter to the growing global market. Here lies the importance of building hydrogen hubs at major port locations in the country: having storage facilities linked to production sites, the pipeline network and truck/rail loading facilities for local delivery and ship loading facilities for export.
According to the European Commission’s hydrogen strategy, hydrogen produced using renewable resources costs between INR216/kg ($2.58/kg) and INR537/kg, whereas fossil-based hydrogen costs around INR148/kg. India already consumes more than 6mt of grey hydrogen used for petroleum refining and fertiliser production. Most global green hydrogen market surveys project a compound annual growth rate of 40–50% from 2022 to 2030. The projected demand for H₂ by 2030 would be around 11mt/yr, of which 5mt is expected to be green as per the National Green Hydrogen Mission (NGHM).
India’s government intends to incentivise domestic electrolyser manufacturing and green hydrogen production to realise the target of 5mt of green hydrogen production by 2030. Policy initiatives to mandate the use of green hydrogen (starting with 10%) in industries such as steel and petroleum refining are also expected. In July 2020, the production cost of green hydrogen was around INR500/kg, and India’s government proposes to cut the cost by 40–50% via the above policy initiatives.
A hydrogen hub is a network of hydrogen producers, connected pipelines and other related infrastructure intended to store and deliver tremendous amounts of green energy. Most countries are planning to create clean hydrogen facilities as key pathways to building large commercially viable ecosystems for dispensing hydrogen. The hydrogen hubs will enable the transition to low-carbon-intensive and economically viable energy ecosystems that can replace existing carbon-intensive fossil fuels.
3,000GW – Electrolyser capacity needed for net-zero world, according to IEA
Thus, hubs consists of facilities for production, processing, delivery, storage and end-use of clean hydrogen across all consumption sectors and are crucial to achieving national climate goals and net-zero carbon emissions targets.
Infrastructure required for hubs for the production and distribution of green hydrogen include those for generation and delivery of renewable power, facilities for water treatment to produce ultrapure water, cost-effective and efficient electrolysers, hydrogen handling, and the compressor systems, storage and pipelines, associated safety systems, instrumentation, utilities and other services. Petroleum refiners and operators of fertiliser or methanol plants are familiar with the bulk of the above infrastructure requirements. India has plenty of experience and has several world-class plants of varied ages and involving several technologies.
India is already a global leader in green power development, with an installed solar PV capability of 72.31GW in August 2023. Wind power projects worth 44GW are also installed. The combined renewable energy installed capacity as of now is 176.5GW and is targeted to reach 500GW before 2030. We are trying for the lowest levelised cost of green electricity (LCOE) by employing ‘renewable energy round the clock’ plants, including hybrids of wind, solar PV and battery energy storage systems, as well as pumped hydro storage projects, waivers of interstate transmission system charges and allowing banking of power. Along with domestically manufactured electrolysers, the low-cost green power can bring down the LCOH of hydrogen to $3–4/kg which is now hovering around $5–8/kg.
According to an IEA report, 9l of ultrapure water is needed for every kg of green hydrogen produced. Electrolyser manufacturers commonly specify that water quality meet ASTM Type I or Type II water. Potential water sources for electrolysis are from oceans, estuaries, surface water, groundwater, rainwater, water from municipal supplies or recycled water. The report highlights that freshwater access becomes a concern in water-stressed areas when producing green hydrogen. For producing 6mt of green hydrogen, estimates suggest India would require 132–192mcm of water.
The World Bank has classified India as among the world's water-stressed countries because it has enough water resources for only 4% of its population. Chandigarh, Haryana, Rajasthan, Uttar Pradesh, Punjab, Madhya Pradesh and Gujarat are states with acute shortages of water. To meet the increasing demand for water from the industry, India’s government and the states have to protect and preserve water resources, optimise uses in every sector and strengthen water harvesting and conservation efforts through policy initiatives.
To meet the 2030 target of production of 5mt of green hydrogen, India will need at least 60GW of installed electrolysis capacity. Electrolysers are the equipment used for splitting water into its elements using electricity. Water electrolysers are divided into four different types based on the nature of the electrolyte used and the operating temperature.
We must create a strong local electrolyser manufacturing base through domestic as well as collaborative research
They include alkaline water electrolysers, polymer electrolyte membrane water electrolysers (PEM), anion exchange membrane water electrolysers and solid-oxide electrolyte water electrolysers. Alkaline and PEM electrolysers are mature technologies and are already commercialised, while AEM and SOE are in their development and near-commercialisation stages. Already, the government has sanctioned $2.2b for the Strategic Interventions for Green Hydrogen Transition (SIGHT) scheme for green H₂ ecosystem development. This is not enough. We must create a strong local electrolyser manufacturing base through domestic as well as collaborative research. We have all the resources to undertake innovative research and development projects in this line.
Creation of 5mt/yr of capacity for producing green hydrogen by 2030, along with an additional 125GW of renewable energy capacity, may need an investment of INR8 lakh crore. Besides reducing our oil and gas import bill by INR1 lakh crore, it will also generate of 600,000 jobs, as well as cut down nearly 50mt/yr in greenhouse gas emissions. The government, under the SIGHT programme, has already allocated INR17,490 crore in the annual 2022–23 budget to provide incentives for green hydrogen projects and the manufacture of electrolysers. A further INR1,466 crore would be allocated for pilot projects, while INR400 crore and INR388 crore will be used for research and development and other mission components, respectively.
The government is also planning to waive import duty on electrolysers and include manufacturing of electrolysers under the production-linked incentive schemes. India offers carbon credits for green hydrogen production in exchange for investments from other countries. This has helped collaborative projects with other countries involving government and industry.
India launched its NGHM in 2023, targeting production of 5mt of green hydrogen and 125GW of renewable energy at an investment of $100b. The World Bank supports India’s green hydrogen agenda through analytical studies to replace existing grey hydrogen produced from natural gas in the fertiliser and refinery sectors, identify suitable locations for green hydrogen hubs, and support selected states in developing their own green hydrogen adoption roadmaps.
The Ministry of New and Renewable Energy (MNRE) has published the Green Hydrogen Standard for India, specifying the emission thresholds for its production. The definition includes green H₂ production through water electrolysis as well as biomass processing. It defines green hydrogen as having emissions of not more than 2kg of CO₂e/kg of H₂ taken as an average over the last 12-month period, both for electrolysis-based and biomass-based plants.
This also includes cumulative emissions during upstream and downstream processing such as water treatment, electrolysis, biomass processing, gas purification, and drying and compression of hydrogen. Detailed methodologies for measurement, reporting, monitoring, on-site verification, and certification of green hydrogen and its derivatives shall be specified by the MNRE. The Bureau of Energy Efficiency in the Ministry of Power is entrusted to accredit agencies for the monitoring, verification and certification of green hydrogen production projects.
Material selection and design of hydrogen piping systems are usually done in accordance with the American Society of Mechanical Engineers (ASME) standard B31.12. Austenitic (300 series) stainless steels meeting the temperature limits of ASME B31.12 is recommended for liquid and gaseous hydrogen product piping, tubing, valves and fittings. The most stable grade, Type 316/316L, is relatively immune to hydrogen embrittlement when exposed to high-pressure hydrogen.
India is already a global leader in green power development
Carbon steels with high-carbon content and high-strength, low-alloy carbon steels are susceptible to embrittlement and crack propagation. The use of carbon or alloy steels requires control of tensile strength, heat treatment, microstructure, and surface finish as well as initial and periodic examination for inclusions and crack-like defects when in cyclic service. Usually, plastic piping and tubing are not used in hydrogen service. The use of available natural gas pipelines for transportation of hydrogen is to be considered as construction of dedicated new hydrogen pipelines is expensive. Natural gas pipelines allow a safe blending of 20% hydrogen along with natural gas supply.
Generally, hydrogen produced via electrolysers is at lower pressures. It is to be further pressure-boosted for storage and pipeline transport using compressors. Hydrogen compressors have a high standard of safety. There are four different types of storage for hydrogen in vogue. Gaseous hydrogen is stored at ambient temperatures in bullets made of carbon steel or stainless steel with typical pressures ranging 350 to 700 bar.
Hydrogen is compressed and liquefied, and the liquid hydrogen is stored under atmospheric conditions at -252.8°C in specially designed cryogenic storage tanks. For cryogenic hydrogen storage, aluminium is the preferred material of construction on account of its low density, better mechanical properties and better compatibility to low temperatures compared to cryogenic steel nickel alloy steel.
An alternative to compressed and liquefied hydrogen storage is materials-based storage. This binds hydrogen through physical adsorption or chemical combination. It includes metal hydrides of elements such as palladium—which can occlude 900 times its own volume of hydrogen—as well as magnesium, aluminium and certain alloys. Storage of ammonia as a carrier for hydrogen is another option. The energy density by volume of ammonia is nearly double that of liquefied hydrogen, making it far easier to store and transport.
Apart from cryogenic storage and pressurised bullets, hydrogen is also stored within other materials as metal hydrides and in occluded form. Here, hydrogen is bound to metal alloys in porous and loose form by applying moderate pressure and heat. It can be subsequently extracted on releasing the applied pressure and heat. While this form of storage is technologically feasible and safe, metal hydride and other hydrogen storage methods within solid materials are not an economic option for storing large volumes of hydrogen.
Storage of gases in underground salt caverns is well known. Geological hydrogen storage in salt caverns, depleted oilfields and aquifers is another option. One such project, the Advanced Clean Energy Storage Hub, is under construction in the US by a joint venture between Mitsubishi Power Americas and Magnum Development. It will have a deep underground salt dome that covers more than 4,800 acres, with each cavern being about 67m in diameter and 580m in height.
Major uses of green hydrogen include power generation, steelmaking, chemicals and petrochemicals, production of cement, manufacturing ammonia for the fertiliser industry and as an energy source to power heavy industry and fuel large vehicles, including aircrafts and ships. Producers and technology providers are jointly assessing the feasibility of low-carbon economic capacity plants in the global fertiliser, chemical, steel, cement, energy and shipping industries.
The process of refuelling at a hydrogen station is like that of a conventional petrol or gas station. Hydrogen is supplied at high pressure, around 100–300 bar. Specially designed dispensers are used to pump hydrogen into the vehicle's fuel tank, which powers the fuel cell that generates the electricity needed to drive the vehicle or the hydrogen engine.
Gaseous hydrogen as a fuel can be used to power an engine or motor in three ways. The first involves a fuel cell that converts hydrogen to electricity and powers the equipment’s electric motors. The second method is internal combustion engines (ICEs), such as automobile engines, that burn hydrogen as the fuel. A third method is hydrogen-reaction engines that use hydrogen in liquid form together with liquid oxygen injected into the combustion chamber of gas turbines/rockets as a propellant. Such reaction engines are used in aerospace and aeronautics applications.
The chemical energy of hydrogen is converted into electricity in the hydrogen fuel cell. Hydrogen is oxidised with oxygen in the atmospheric air to generate heat, water vapour and an electric current. There are no greenhouse gas emissions. The electricity so produced is used to run a motor to convert it into other forms of mechanical energy. The technology is proven and combustion efficiency is around 50–70%.
The difficulties experienced in handling hydrogen and the associated extra safety precautions are better addressed through its conversion into ammonia and use as in ICEs.
72.31GW – India’s installed solar PV capability
In today’s green energy market, ICEs are competing with electric propulsion. ICE designs of today are robust and command several large HP installations, both mobile and stationary, compared with electric propulsion, which is still under development. Therefore, green ammonia is coming up as a promising ICE fuel that is carbon-free, has a relatively high-volume energy density, and is easy to store and transport as established through several installations worldwide.
Burning ammonia in existing engine architecture with retrofitting modifications has attracted long-distance sea transporters in their effort to reduce the carbon intensity of the shipping business, despite poor combustion properties of the fuel. Moreover, international rules for ships using ammonia as fuel are not yet in place, and discussions on this issue are underway at the International Maritime Organization. Use of combustion improvers and onboard production of H₂ from NH₃ cracking through engine heat recovery are likely to ease the thermodynamic limitations.
Compared with other common fuels, hydrogen has the lowest boiling point (-253°C), lowest density (70.8kg/m³) and lowest energy density (8.51MJ/L). It also has the highest lower heating value (120.2MJ/kg) and highest auto ignition point (585°C), next only to ammonia (630°C). Its low density helps to quickly dissipate into the atmosphere when released in an open environment and escapes into the upper atmosphere. It is non-toxic, although the wide flammability range and potential for combustion raises concerns regarding safety and hazard potential.
Cold burns result from short contact with leaks, frosted lines, liquid air that may be dripping from cold lines or vent stacks, vaporizer fins and vapour leaks. Air will condense at liquid hydrogen temperatures and can become an oxygen-enriched liquid due to the vaporisation of nitrogen. Oxygen-enriched air increases the combustibility of other flammable and combustible materials present nearby.
The International Organization for Standardization (ISO), has codified its Technical Report ISO/TR 15916 titled Basic Considerations for the Safety of Hydrogen Systems to provide technical information highlighting hydrogen safety issues to guide designers and facility operators. It also addresses the current interest in using hydrogen as a fuel and aims to address the unique hydrogen-related safety properties and best engineering practices to minimise risks and hazards from hydrogen. Safe and efficient storage of hydrogen and its transport both on land and at sea will be critical to the development and viability of the global hydrogen value chain.
The success of any new mission depends heavily on the discrete policies guiding its development. The 1978 retention pricing policy for fertiliser manufacturing in India paved the way for success in the sector for the country to become the second-largest producer and consumer of mineral fertilisers globally.
Similarly, a policy to pool all available and related infrastructure and incentivise domestic production of electrolysers and hydrogen infrastructure, together with a well-defined roadmap for decarbonisation of difficult sectors such as transport, steel, cement and chemicals, is important. The policy shall incentivise private capital to collaborate and lead energy transition and decarbonisation efforts along with national institutions, boost green manufacturing, generate employment and capture global markets through exports.
Sukumaran Nair is the director of the Centre for Green Technology & Management in Cochin, India, and was formerly secretary to the chief minister of Kerala and chairman of the Public Sector Restructuring & Audit Board for the government of Kerala.
Author: Sukumaran Nair