Smart indirect electrification key to green hydrogen economy reports IRENA

The creation of a truly global hydrogen market depends on ‘smart indirect electrification’ which takes into account renewable capacity, grid-connected electrolysers and demand side management, according to IRENA.

Outlining the importance of a systemic approach, as green hydrogen emerges as a key complement to renewables production, IRENA highlights how smart and flexible operation of electrolysers can provide a range of valuable services to the power system, such as the reduction of peak loads or grid congestion.

Additionally, the identification of locations with high renewable resource availability that ensures the cost-effective operation of electrolysers and the infrastructure to transport hydrogen or its derivates to consumption sites are deemed crucial. “Missing only one of those aspect could lead to long-term lock-in effects and the failure of the entire strategies to set up a full hydrogen economy,” it states.

According to IRENA’s 1.5°C Scenario by 2050, electrification could provide 27% of the industrial energy needs and hydrogen (indirect electrification) 22%, from today’s 23% both sources combined.

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