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Houston as the epicenter of a global clean-hydrogen hub


ItemDate=2022-09-14 16:32:47 Status=publish

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Regional hydrogen hubs have the potential to accelerate the scaling of hydrogen through concerted development of demand supply and infrastructure.This vision rests on an assessment of the clean-hydrogen value chain including both supply and demand and sample projects.

Many factors give Texas significant advantages on the cost and capacity of hydrogen production such as abundant renewable power generation and low-cost natural gas existing hydrogen production capacity favorable geological formations for storing hydrogen and CO 2 and local demand drivers as well as top-caliber academic research and industry-led innovation.The estimated cost of producing natural-gas-based hydrogen with carbon capture and storage (CCS) in 2030 could meet the DOE’s goal of $1 per kilogram of clean hydrogen; however electrolysis-based hydrogen is unlikely to achieve this target without government interventions in the form of research and development funding or direct incentives for hydrogen production and supporting technologies such as renewables and CCS.Demand for clean hydrogen in Texas could reach 21 MT by 2050 compared to current demand of 3.6 MT for conventionally produced hydrogen.

Utility power generation is the fourth-largest driver with energy storage and local-grid natural-gas blending accounting for approximately 1.6 MT of hydrogen demand.With the right supportive policy frameworks Texas could become the global leader in clean-hydrogen production application development and exports with Houston at its core; the resulting thriving hydrogen community could push innovation and develop the necessary talent to conceive and deliver hydrogen projects.In phase 3 (2030–35) the hub should seek to achieve the target of $1 per kilogram of clean hydrogen while further scaling local demand and export in phase 4 (2035–50).As the clean-hydrogen ecosystem develops a variety of projects addressing supply demand and infrastructure might spread across the state concentrated in areas around


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