Banding Together to Better Define the Carbon Intensity of Hydrogen
I spent years exploring the energy transition at S&P Global Platts before joining GTI Energy’s Strategy and Innovation Team, and was eager to pull together the concept for a new hydrogen consortium that would leverage the strengths of both organizations. In addition to GTI Energy and S&P Global Commodity Insights, the recently announced Open Hydrogen Initiative (OHI) includes the brainpower of the U.S. DOE’s National Energy Technology Laboratory. Together, this collaborative effort will advance transparency into the environmental impact of hydrogen production and help unlock hydrogen’s full potential as an important driver of energy transitions. Not unlike Stanford’s OPGEE Model, which has become the industry standard adopted to effectively measure the carbon intensity of oil, we aim to create a clear, consistent measurement methodology applicable to hydrogen.
The mission of OHI is to create objective, credible, peer-reviewed, transparent, and open-sourced tools that allow participants from across the hydrogen value chain to assess the carbon intensity of hydrogen production at the asset level. The creation and adoption of these technical protocols will help build and harmonize the hydrogen market, contextualize climate solutions, advance transparency, and support global trade in low-carbon hydrogen.
More accurate assessments of the variability in carbon intensities of alternative methods hydrogen production will empower clearer decision-making and enable greater speed in transitioning to a low-carbon energy systems.
There is a high degree of variability in the carbon intensity of hydrogen production, even using the same technologies or pathways. For example, the carbon footprint of electrolytic hydrogen production can vary significantly based on the amount of renewable electricity on the grid. More precise measurements of hydrogen’s carbon intensity at the asset level will help verify the environmental bona fides of a given kilogram of hydrogen produced — overcoming the limitations of the color-wheel labeling model and providing clear understandings of the decarbonization potential of hydrogen.
How will these tools be used in the real world? OHI’s measurement tools will play an important role in underpinning policies such as a production tax credit aimed at delivering decarbonization targets. Furthermore, the ability to make apples-to-apples comparisons could affect decision-making for hydrogen consumers and producers who need to make informed choices about their options to decarbonize supply chains and production processes. Stakeholders throughout the value chain — including producers, users, engineers, academia, market participants, investors and policymakers — stand to benefit from clearer data on hydrogen’s carbon intensity.
GTI Energy is committed to developing and scaling solutions that shape energy systems transitions. Key to that success is ensuring the inclusion of a mix of perspectives and real-world insights, so OHI will convene stakeholders from all sectors of the hydrogen market to pursue this work and ensure it is applicable in the real world.
Diversity, data, and collaboration are just some of the strengths of GTI Energy needed to ensure just transitions globally to low-carbon, low-cost energy systems. Learn more at www.gti.energy/OHI.
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