What comes first - hydrogen production or demand? This classic “chicken-and-egg” paradox is often brought up in the hydrogen discussion. Offtake uncertainty is often the main bottleneck for many hydrogen projects to move beyond the financial investment decision in the project. Despite this, green hydrogen production projects are moving forward and many Norwegian companies are scheduled to produce their first hydrogen molecules this year. It is an advantage with large offtakers in the maritime or industrial sector with a fixed and steady demand for hydrogen, thereby removing offtaker uncertainty.
To address this offtaker uncertainty, Greensight has created a database of potential hydrogen offtakers in industry, including an analysis of existing technology and overview that can give hydrogen producers insight into potential industrial hydrogen hotspots. In combination with knowledge of producers, offtakers, and technology, we can build a bridge between producers and consumers. We can help you identify the potential customers within a preferred maximum distance from a hydrogen plant and quantify the potential hydrogen offtake.
Industrial Hydrogen refers to the decarbonisation of land-based industry by use of hydrogen as an energy carrier. Hydrogen can for instance be used in drying processes as a heat source, as reducing agent to produce certain metals and as feedstock in fertilizer production. In many industrial processes, hydrogen can also be blended with fossil gases in existing systems, or in the case of equipment retrofits, can fully replace fossil fuels.
Adapting hydrogen in an industrial process requires higher investment costs (retrofit, boilers, piping etc.) and in some cases innovation. Increased carbon prices and government support schemes, however, can trigger a transition to more renewable fuels. Oil and gas recovery, industry, road traffic, and other modes of transport account for the highest share of CO2 emissions in Norway. A transition to cleaner fuels in these sectors will be crucial if Norway hopes to meet the national goal of a 55% CO2 emission reduction from 1990 levels in 2030.
Greensight’s offtaker database is a key component of our industrial hydrogen knowledge base and the hydrogen value chain. We also offer detailed feasibility studies, technical considerations for retrofits, economic analyses, and safety evaluations. Please contact us at firstname.lastname@example.org if you want to find out more about how we can help you identify relevant hydrogen offtakers or decarbonize your industrial processes.