Green hydrogen is an emission-free fuel source, produced by splitting water into oxygen and hydrogen via electrolysis by using wind and solar energy. The electrolysis process is highly energy-intensive, though, hence Germany would have to significantly enlarge its installed renewable energy capacity if it wants to produce the country’s entire hydrogen with green energy.
Industry hence urged the government to take into account all available low-emission forms of making hydrogen, including those using natural gas and CCS.
Converting steel industry to run on hydrogen
Significant investment will be needed to convert Germany’s energy-intensive industries, notably the steel industry, to be powered by hydrogen.
Coinciding with the new strategy, German steelmaker thyssenkrupp said it had expanded its production capacities for water electrolysis to make green hydrogen to the Gigawatt -scale.
“Many countries around the world are currently planning to enter the hydrogen economy. Water electrolysis is increasingly emerging as a key technology for building a sustainable, flexible energy system and carbon-free industry. This opens up new markets for us,” said Sami Pelkonen, CEO of thyssenkrupp’s chemical & process technologies business unit.
Whether to use hydrogen to power cars and heating systems is still controversial. Environmentalists called for limiting its use in the transport sector to vehicles that cannot be powered directly by electricity, such as many ships and planes. They argue hydrogen should not be used for heating as there are more efficient alternatives, e.g. district heating from combined heat and power plants.