Having a unique gas transportation system, Ukraine has a chance to become a manufacturing and transportation hub of hydrogen in the EU. What steps are needed for this?
Entrepreneur, co-founder of the Charity Foundation Decarbonization and Recovery of Ukraine
The EU has set a course for the global decarbonization of industry. Ukraine aspires to membership in the EU, therefore, its development is impossible without the implementation of a carbon-free policy.
There are 5 directions of decarbonization: energy efficiency and energy saving; restorative energy sources; hydrogen market; waste management; electric transport.
Hydrogen, as an ecological source of decarbonization, has become especially relevant today. His competitive advantage is high energy density and the ability to store energy for a long time, which makes it possible to use hydrogen as an alternative source of energy for large industrial enterprises and urban economy.
Hydrogen can also be used to generate electricity, which can help to reduce dependence on coal and gas power.
Hydrogen is a clean and environmentally friendly fuel that can help reduce emissions of harmful gases into the atmosphere and reduce dependence on petroleum fuels. Hydrogen can be produced from water using various technologies, including electrolysis and steam generation.
Hydrogen fueled power plants are already successfully operating in many countries that allows to get clean energy with zero emissions of carbon dioxide and others pollutants.
Hydrogen is also used as an auxiliary fuel to ensure stability of electric network during periods of peak load. There are also examples of the use of hydrogen for production of steel and other metals, which allows to reduce the emission of carbon dioxide and improve product quality.
In some countries, there are also plants that use hydrogen as a fuel for melting metal.
Researchers, conducted in the developed world show that new technologies and infrastructure are needed for the efficient use of hydrogen requires.
For example, hydrogen transportation requires a new network of pipelines and storage technologies.
The question of how to reduce the cost of hydrogen production to ensure its competitiveness remains unsolved. And also the advantage of the hydrogen economy as an opportunity to create new jobs and strengthening the state’s energy security. Thoroughly studying the topic of the hydrogen economy and taking into account Ukrainian realities, I identified 10 obstacles that Ukraine needs to overcome in order to create an effective hydrogen market in Ukraine:
- Barriers. First of all, it is necessary to remove the barriers that hinder the development of the hydrogen economy: high cost of hydrogen production, insufficient resources for hydrogen production, complexity of hydrogen storage and transportation.
- Incentives and investment climate. To create an effective hydrogen market, there should be a system of incentives for investors and consumers: subsidies or benefits, stimulation of innovation and new technologies, a favorable investment climate, and investments from both public and private investors.
- Partnerships. The most successful development of the hydrogen economy is possible only through cooperation between states, scientific institutions, industrial companies and other stakeholders: conclusion of hydrogen supply contracts, joint researches and development of new technologies, exchange of experience and knowledge.
- Infrastructure development. An efficiently functioning hydrogen market requires appropriate infrastructure, such as hydrogen car refueling stations, hydrogen transportation pipelines, charging stations for hydrogen fuel cells, etc.
- Regulation. State regulatory authorities should establish appropriate standards and norms, that regulate the quality of hydrogen, storage and transportation, as well as the safety of hydrogen usage. It is also important to develop regulatory mechanisms to stimulate the development of the hydrogen market, in particular by providing state benefits and discounts for hydrogen and hydrogen technologies.
- Interaction with other sectors. The development of the hydrogen market should be carried out in cooperation with other sectors of the economy, such as industry, transportation, energy, construction etc. Cooperation between these sectors will allow developing integrated approaches to the use of hydrogen and ensure the maximum effect from the use of hydrogen as an energy source.
- International cooperation. Favorable conditions should be created for international trade in hydrogen and hydrogen technologies, develop common standards and norms, and facilitate the exchange of experience and technologies between countries.
- Human resources and education. Highly qualified personnel with an understanding of hydrogen technologies and their use are needed. Therefore, it is important to provide appropriate education and training for hydrogen specialists.
- Creating consumer demand. There must be a consumer demand for hydrogen as an environmentally friendly fuel. Therefore, it is necessary to raise consumer awareness of the benefits of hydrogen now, hydrogen technologies and fuel cells, and to popularize cases of successful usage of hydrogen in the automotive industry, power generation, and industry.
- Development of research works. Ukraine’s enormous scientific potential should be used to the study of hydrogen technologies, research on reducing the cost and improving quality of hydrogen, as well as exploring new areas of hydrogen application.
Due to the military aggression, Europe’s dependence on Russian gas has decreased sharply over the past year. Ukraine should already be thinking about the further use of the Ukrainian gas transportation system.
We have every chance to become a hydrogen production and transportation hub in Europe. To do this, Ukraine’s national water strategy should be approved and its regulatory framework and European hydrogen market standards must be implemented.
The next step should be the development of international integration and cooperation in order to create synergies in research and development, and to be involved in European hydrogen market projects.
It is necessary to use Ukraine’s production potential to participate in the production chain of equipment for the European hydrogen market, modernize the Ukrainian gas transportation system in order to adapt it for hydrogen transportation.
At the same time, work should be done on projects to modernize coal-fired power plants in order to convert them to hydrogen fuel, as well as initiate the use of municipal vehicles running on hydrogen.
Hydrogen strategies in Europe are backed by billions of dollars’ investments. In Ukraine, it all comes down to declarations.
We need a leader from among officials, like Fedoriv in digitalization, who will build a strategy for the development of Ukraine’s hydrogen economy, attract investments, and conditions are currently more than favorable, and decarbonizes the country’s work.
