A fresh researched report has been launched by DNV which highlights the progress of the hydrogen economy on the basis of a survey conducted with about 1000 professionals and interviews with high-ranking industrial executives. The reports conclude that hydrogen investment will be a worthy choice as it is set to dominate future shipping.
The reports project that 84% of senior energy professionals believe hydrogen to be potent enough to form a significant part of the global low-carbon energy system, while 73% of them agreed that the aims of the Paris Agreement will only be achievable with the help of large-scale hydrogen economy. Many energy companies have only just joined in the hydrogen value chain, and almost half of these have hydrogen accounting for less than 1% of their total generated revenue. It is very much anticipated that a change is set to come and 44% of professionals believe it will increase the hydrogen’s share to more than one-tenth of the total revenue. These numbers are expected to rise to about 73% by 2030.
The CEO of Energy Systems at DNV, Ditlev Engel stated, “To meet the targets of the Paris Agreement, the world needs to transition faster to a deeply decarbonized energy system. In addition to energy efficiency gains, this will require greater renewable power generation and electrification, and the scaling of technologies to remove the carbon from fossil fuels. Hydrogen will be needed to connect and enable these paths.”
There are still many challenges at hand and over 71% are convinced that the present targets of the hydrogen economy lean towards underestimating the practical barriers, while over 43% believe that these future goals are wholesome and realistic at the national and organizational level. The main barriers include the regulatory necessities, cost management, and the infrastructure framework. Around 80% believe that the “hydrogen economy needs effective carbon-pricing regulations before it can scale up.”
Many claim that reframing of the infrastructure will have to be in order so as to satisfy the logistical requirement of the production and distribution of industrial hydrogen. There is a difference in opinion regarding the market structure, where 42% are convinced that the hydrogen business will grow up to become a global commodity center and 52% believe that this whole hydrogen trade will be basically regional. A 43% section of the survey believe that it will pose to be a properly regulated and highly predictable market and the other 41% claim that it will form a market like that of the oil and gas.