C-MACC Hydrogen Weekly Update 4
- Affordable green hydrogen at scale will currently have to wait for affordable surplus renewable power at scale, suggesting that the industries could evolve in series, which will take many years.
- For electrolyzer technology and costs to evolve more quickly, green hydrogen and renewable power need to evolve in parallel, and for that incentives should change to drive electrolyzer development.
- Offering 45V (or equivalent) for electrolyzer-based hydrogen on any power source today – phasing in green power over time – see chart – would step change green hydrogen investment immediately.
- We look at sub-scale green ammonia plans and note that these are high costs and will require high prices – it is not yet clear how much higher-priced ammonia demand there will be.
- We continue to question how low-carbon power can evolve at the pace some consumers are looking for without a much more sensible focus on nuclear, hydro, and natural gas with CCS.