Name: Unique insights from hydrogen projects driving us to net-zero
Uploaded: 2023-09-19T00:07:26.203Z
Duration: 360.32
Description: Martin Hablutzel, Siemens head of sustainable energy systems discusses the pivotal role of hydrogen projects across various stages, from initial development and design to construction and operation. He emphasizes the importance of addressing challenges, securing offtakers, and aligning hydrogen technology with specific decarbonization objectives.

Martin Hablutzel.mp4

Martin Hablutzel-2.vtt

Subtitles

{{00:00:12}}
The importance of learning by
deploying hydrogen projects comes

{{00:00:16}}
at each stage of the project.

{{00:00:18}}
So even at the very first stages when
you're developing the projects, working

{{00:00:22}}
out the business cases, the kind of
assumptions you make, to the next stage.

{{00:00:27}}
Does the design, when you're
actually getting the appropriate

{{00:00:30}}
engineers on board to work out the,
especially the interfaces with the

{{00:00:34}}
different technologies on the site.

{{00:00:36}}
It's not just an electrolyzer, you need
to interface to the electrical equipment,

{{00:00:41}}
the electrical grid, the water cooling
system, the water treatment system,

{{00:00:47}}
compression and any downstream processes.

{{00:00:49}}
So that's at the design stage.

{{00:00:52}}
During construction, working out the
logistics of getting the equipment to

{{00:00:58}}
site often in very remote locations,
lay down areas, where do you house

{{00:01:04}}
the people during construction.

{{00:01:05}}
And all the way through to
operation and maintenance you know,

{{00:01:09}}
setting up the service contract.

{{00:01:11}}
How do you certify that the
hydrogen produced is green?

{{00:01:14}}
So at each stage of a project,
there's important lessons to learn

{{00:01:20}}
which helps with the development
of subsequent larger projects.

{{00:01:31}}
There's a good project here in Australia
that's been running now for two years.

{{00:01:35}}
That's the Tonsley
project operated by AGIG.

{{00:01:39}}
And that's got one of our 1.25
megawatt electrolyzers, that's been

{{00:01:45}}
running for more than two years.

{{00:01:47}}
So that's a good example in
Australia but at the moment it's

{{00:01:50}}
still the largest one in Australia.

{{00:01:52}}
There's more action
happening internationally.

{{00:01:55}}
So in Europe, for example, we're currently
delivering some rather large projects.

{{00:02:01}}
For example, there's a 50 megawatt
project which is undergoing

{{00:02:06}}
site construction for Kassø.

{{00:02:10}}
And another one which we're in
the design stage for, which is

{{00:02:14}}
70 megawatts for Ystad in Sweden.

{{00:02:19}}
And both of those projects are
e-methanol projects, which are making

{{00:02:23}}
synthetic methanol which were used
for shipping industry and then helps

{{00:02:29}}
to decarbonize the running of ships.

{{00:02:38}}
Yeah there's quite a few challenges
and they start at the beginning and

{{00:02:43}}
it's normally with the business case.

{{00:02:45}}
Business case and getting an offtaker.

{{00:02:48}}
Once you can secure an offtaker and then
you have a chance of getting funding and

{{00:02:52}}
developing a successful business case.

{{00:02:54}}
So it really starts there.

{{00:02:56}}
The challenges continue through the
projects, not because they're challenges

{{00:03:00}}
that can't be solved, it's just that
often they're challenges that just

{{00:03:04}}
haven't been met before or haven't
been met by the expertise which may be

{{00:03:11}}
difficult to find within the sector.

{{00:03:15}}
As is typically the case when you're
deploying complex engineering projects,

{{00:03:21}}
there's often interface challenges.

{{00:03:23}}
So you have to define
each piece of technology.

{{00:03:27}}
For example, the electrolyzer,
and clearly define the interface

{{00:03:30}}
for the cooling system, for the
compression, the electrical interface.

{{00:03:34}}
And make sure that other equipment
at those interface points works,

{{00:03:40}}
designs to be worked together.

{{00:03:42}}
And then when you go to construction to be
able to commission them to work together

{{00:03:47}}
as they were originally intended to be.

{{00:03:57}}
Hydrogen itself in and of itself
is not necessarily renewable.

{{00:04:01}}
It depends on how it's made.

{{00:04:03}}
Of course, the vast majority of
hydrogen made today is actually

{{00:04:07}}
not renewable, it's made from gas.

{{00:04:09}}
But when we talk about green hydrogen yeah
that's certainly, certainly renewable.

{{00:04:15}}
And I would describe hydrogen
as being complementary.

{{00:04:20}}
We mustn't think of hydrogen as
being a competing technology to

{{00:04:26}}
other paths for decarbonisation.

{{00:04:29}}
Rather we should think about the
application, what are we trying to

{{00:04:32}}
achieve, or what's the objective.

{{00:04:34}}
And then work backwards and say, well
what's the right technology to help us

{{00:04:40}}
achieve that decarbonisation objective.

{{00:04:44}}
And so when we hear discussions
about batteries versus hydrogen,

{{00:04:48}}
I think that's probably not
the right conversation to have.

{{00:04:51}}
We should be discussing, what's the
application and is battery technology

{{00:04:56}}
better for this application or
is it better suited to hydrogen?

{{00:05:08}}
One of the most important trends that
would support hydrogen project development

{{00:05:14}}
is the price of renewable energy.

{{00:05:16}}
Unfortunately just at the moment,
renewable energy costs are

{{00:05:19}}
actually going up rather than down.

{{00:05:20}}
But in the longer term, of course,
it's expected that they should go down.

{{00:05:24}}
And because renewable hydrogen costs
are highly driven by the cost of the

{{00:05:30}}
renewable electricity, it's absolutely
critical that we find ways to continue to

{{00:05:36}}
reduce the cost of renewable electricity
to support the production of competitive

{{00:05:44}}
Green Hydrogen, which can then be used to
decarbonize difficult tour bait sectors

{{00:05:48}}
where green electricity is far more
difficult to use for decarbonization.

The importance of learning by
deploying hydrogen projects comes

So even at the very first stages when
you're developing the projects, working

out the business cases, the kind of
assumptions you make, to the next stage.

Does the design, when you're
actually getting the appropriate

engineers on board to work out the,
especially the interfaces with the

It's not just an electrolyzer, you need
to interface to the electrical equipment,

the electrical grid, the water cooling
system, the water treatment system,

compression and any downstream processes.

During construction, working out the
logistics of getting the equipment to

site often in very remote locations,
lay down areas, where do you house

And all the way through to
operation and maintenance you know,

How do you certify that the
hydrogen produced is green?

So at each stage of a project,
there's important lessons to learn

which helps with the development
of subsequent larger projects.

There's a good project here in Australia
that's been running now for two years.

That's the Tonsley
project operated by AGIG.

And that's got one of our 1.25
megawatt electrolyzers, that's been

So that's a good example in
Australia but at the moment it's

There's more action
happening internationally.

So in Europe, for example, we're currently
delivering some rather large projects.

For example, there's a 50 megawatt
project which is undergoing

And another one which we're in
the design stage for, which is

And both of those projects are
e-methanol projects, which are making

synthetic methanol which were used
for shipping industry and then helps

Yeah there's quite a few challenges
and they start at the beginning and

Once you can secure an offtaker and then
you have a chance of getting funding and

The challenges continue through the
projects, not because they're challenges

that can't be solved, it's just that
often they're challenges that just

haven't been met before or haven't
been met by the expertise which may be

As is typically the case when you're
deploying complex engineering projects,

So you have to define
each piece of technology.

For example, the electrolyzer,
and clearly define the interface

for the cooling system, for the
compression, the electrical interface.

And make sure that other equipment
at those interface points works,

And then when you go to construction to be
able to commission them to work together

Hydrogen itself in and of itself
is not necessarily renewable.

Of course, the vast majority of
hydrogen made today is actually

But when we talk about green hydrogen yeah
that's certainly, certainly renewable.

And I would describe hydrogen
as being complementary.

We mustn't think of hydrogen as
being a competing technology to

Rather we should think about the
application, what are we trying to

And then work backwards and say, well
what's the right technology to help us

And so when we hear discussions
about batteries versus hydrogen,

I think that's probably not
the right conversation to have.

We should be discussing, what's the
application and is battery technology

better for this application or
is it better suited to hydrogen?

One of the most important trends that
would support hydrogen project development

Unfortunately just at the moment,
renewable energy costs are

But in the longer term, of course,
it's expected that they should go down.

And because renewable hydrogen costs
are highly driven by the cost of the

renewable electricity, it's absolutely
critical that we find ways to continue to

reduce the cost of renewable electricity
to support the production of competitive

Green Hydrogen, which can then be used to
decarbonize difficult tour bait sectors

where green electricity is far more
difficult to use for decarbonization.

Expert Insight

Martin Hablutzel, Siemens head of sustainable energy systems discusses the pivotal role of hydrogen projects across various stages, from initial development and design to construction and operation. He emphasizes the importance of addressing challenges, securing offtakers, and aligning hydrogen technology with specific decarbonization objectives.