According to the study published on World Environment Day 2021, current hydrogen production in Germany is 57 terawatt hours (TWh) per year. So far, this amount is mostly produced with fossil fuels. However, demand volumes for green hydrogen and derivatives are expected to rise to as much as 80 TWh by 2030, according to the study. By 2040, the figure is already expected to be 100 to 300 TWh, and by 2050, 400 to nearly 800 TWh.
Incentives and domestic electrolysis plants
According to the German National Hydrogen Council, achieving these capacities will require an ambitious expansion of the hydrogen economy in tandem with renewable energies, as well as the rapid development and expansion of grid infrastructure. The expansion of the hydrogen economy with its international value chains must be considered in a European and global way at the same time.
"We need to build large capacities of electrolysis plants domestically," Katherina Reiche also stressed. (...) We need to upgrade and expand our infrastructure for the transport of hydrogen. (...) Only if we succeed in all this, we will manage the ramp-up of a hydrogen economy and the development of a hydrogen market."
Policymakers react
The Germany government aims to become number one in the world in hydrogen technologies. As part of a joint European hydrogen project (known as the Important Project of Common European Interest, IPCEI), the German federal and state governments are funding 62 large-scale hydrogen projects in Germany to the tune of eight billion euros. These include projects for generation plants with a combined electrolysis capacity of over two gigawatts for the production of green hydrogen.
Smart electrolysis technology makes hydrogen competitive
At H-TEC SYSTEMS, we believe that the economic conversion of wind and solar power into hydrogen, a storable energy carrier, will create the basis for extensive market access of renewable energies into a wide range of new applications in mobility, heating and energy storage.
"Our goal is to enable cost-effective production of green hydrogen through the use of advanced PEM electrolysis technology. With the growing installed electrolysis capacity, the specific conversion costs for hydrogen as an energy carrier are falling. This makes it competitively relevant for an expanding range of markets. The use of electrolysis to produce green hydrogen also enables true sector integration and thus supports the implementation of a successful energy transition," affirms Frank Zimmermann, CEO of H-TEC SYSTEMS.
Image: © H-TEC SYSTEMS
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