November 4, 2021

Hydrogen-Fired Power Plants: A Key Player in the Energy Transition

Upon initial consideration, the notion of a clean-hydrogen power plant may seem counterintuitive. Why utilize renewable power to produce green hydrogen, only to burn it for electricity with a round-trip efficiency of less than 40%? Major energy players like Siemens Energy, Equinor, and SSE, however, see a promising future for hydrogen-fired power plants. This article delves into their perspectives and the factors driving the adoption of such technology.

Green-Hydrogen Power Plants

Siemens Energy, a leading player in this space, emphasizes the role of hydrogen as long-term storage and compensation for variable renewables. The company suggests that large-scale hydrogen storage can alleviate issues like curtailment of wind and solar power during periods of excess generation. By converting excess renewable energy into hydrogen through electrolysis, the electric system can expand its renewable capacity significantly.

Blue-Hydrogen Power Plants

Equinor and SSE’s plan to build a 1.8GW hydrogen-fired power station in northeast England demonstrates the appeal of blue hydrogen. This approach involves capturing carbon at the pre-combustion stage, which Equinor considers more cost-effective than post-combustion capture at a gas-fired power plant. The high-pressure CO2 in blue hydrogen plants enables more efficient capture, making it preferable for certain applications.

Economic Considerations

While acknowledging the environmental benefits, Siemens Energy highlights that using clean hydrogen for electricity generation is currently economically unfeasible. Natural gas remains a more cost-effective option. The cost of green hydrogen is estimated between $2.50-6/kg, and for blue hydrogen, it ranges from $1.50-4/kg. To make clean hydrogen competitive with fossil gas, a significantly higher CO2 price is required, making large-scale electricity production from hydrogen economically viable only after 2035.

Hydrogen-Ready Concept

Siemens Energy emphasizes the importance of the “hydrogen-ready concept.” With a vision to achieve 100% hydrogen capability by the end of the decade, the concept involves preparing existing and new gas-fired power plants for future hydrogen combustion. This forward-looking approach ensures that power plants built today can be retrofitted to burn hydrogen in the future, addressing concerns about stranded assets.

Conversion Challenges

Converting a gas-fired power plant to run on hydrogen poses technical challenges due to hydrogen’s different properties. Changes to the combustion chamber, burners, and fuel pipes are necessary. Siemens Energy is actively involved in constructing and commissioning pilot power plants, such as the Hyflexpower project in France, to demonstrate burner technologies capable of burning 100% hydrogen with low NOx emissions.

Regulatory Influence

Siemens Energy acknowledges that widespread adoption of hydrogen power plants may not occur before 2035, but regulatory measures could accelerate this timeline. The industry’s shift towards hydrogen is expected to be driven by regulations enforcing decarbonization targets, whether through subsidies, CO2 taxes, higher certificate prices, or emissions limitations.

In conclusion, while the economic viability of large-scale hydrogen-fired power plants remains a future prospect, the industry’s proactive efforts, regulatory support, and the “hydrogen-ready concept” suggest a significant role for hydrogen in the energy transition.

Original Article