One might assume that Poland has long been ahead of most countries in the ongoing European race for hydrogen. For years, it has been among the leaders in its production, not only in Europe but also in the world, producing approximately 1 million tonnes of hydrogen per year. Nothing could be further from the truth.
The problem lies in its production methods, which are dominated by fossil fuels. The most mentioned of these are steam reforming of natural gas, coal gasification, and the partial oxidation of methane. Hydrogen obtained in this way is characterized by high emissions and therefore does not fit in with the goals of national and EU climate and energy policy, which places the use of green hydrogen at the heart of its objectives.
Fit for 55 set to accelerate investment in green hydrogen
The European Commission’s “Fit for 55” legislative package, published in July 2021, reinforced the Union’s existing ambitions in energy transition and the drive to achieve climate neutrality in 2050. The revision of existing legislation made it possible to set new ambitions in the transport, energy, and heating sectors, among others, and to use hydrogen to decarbonize them effectively.
Let us recall that among the proposals were changes to emissions trading (EU ETS). The gradual limitation of the cap and the resulting increase in prices was to mobilize manufacturing, industrial, and energy companies to seek and implement alternative solutions, enabling rapid and effective decarbonization. Equally significant changes were proposed concerning the transport sector, where the need to reduce emissions from passenger and freight transport and the transition to low- and zero-emission mobility was indicated. According to the assumptions, new cars are to generate 55% fewer emissions from 2030 and even 100% after 2035.
Fit for 55 also strengthened the role of renewable energy sources, especially concerning power generation, which accounts for over 75% of total EU emissions. The RES Directive provides for an increase in the share of energy production in Europe to 40% in 2030, to which all Member States are committed.
Already at that time, the European Commission indicated that green hydrogen produced without the use of fossil fuels would be the tool that would make it possible to achieve the ambitions contained in the package. Why? Thanks to its properties, it can act as a fuel and a raw material for transport and industry, as well as a store of renewable energy, making it possible to decarbonize the energy sector, while maintaining the supply of energy for commercial consumers and end-users.
EU REPower puts an even stronger emphasis on green hydrogen
The current geopolitical situation has forced the European Commission and government representatives to take even firmer decisions regarding the import and exploitation of fossil fuels. The call for independence from Russian gas and oil supplies stems from the condemnation of the invasion of Ukraine, but also from the need to protect member states from their dramatically rising prices and the risk of supply disruptions.
With the REPower EU plan announced in March, the European Commission is seeking to diversify gas supplies, accelerate the development of renewable gases – in particular, green hydrogen – and further intensify the use of RES in the European economy.
The plan contains several proposals, including an increase in financial expenditure on investments in RES installations in residential and public buildings, minimization of legislative barriers to accelerate the implementation of infrastructure based on renewable sources, and decarbonization of industry through electrification of the sector and the use of green hydrogen. According to the EC, their implementation is expected to reduce demand for Russian gas by two-thirds before the end of this year.
Production of green hydrogen is one of the objectives of the Polish Hydrogen Strategy
Poland is also betting on green hydrogen and has marked its role in its hydrogen strategy. However, it does not focus on it, still emphasizing the use of carbon capture, storage, or utilization (CCS/CCU) methods in the production of hydrogen, which make it possible to reduce the level of emissions produced during its extraction from fossil fuels – the most widespread method of production in Poland.
According to the strategy, by 2030 it is necessary to create conditions for launching hydrogen production facilities from low- and zero-emission sources. To achieve this, financial incentives are envisaged for Polish entrepreneurs for innovative activities, which will enable them to take advantage of this turning point and escalate their initiatives.
The main activities to be carried out in the next decade include the establishment of facilities to produce hydrogen by electrolysis, from biomethane, waste gases, and natural gas using the above-mentioned CCS/CCU technologies, by pyrolysis and other alternative hydrogen production technologies. In addition, launching the production of synthetic gases through the process of methanization of hydrogen and providing conditions for the construction of hydrogen production facilities at nuclear power plants. Regarding the production of green hydrogen – the most desirable from the EU perspective, it is proposed to use the installed capacity in RES to produce hydrogen based on the electrolysis process. The installed capacity of electrolyzers is expected to reach 2 GW in 2030.
With growing European demand for green hydrogen, which according to REPower EU is expected to exceed 20 million tons per year (10 million of which are to be produced within Europe), the question arises as to whether the objectives set out in the strategy are still relevant and sufficient given the changes in the geopolitical landscape of the Old Continent?
