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© Copyright 2019 HYDROGENICS Q3 2019 Renewable Hydrogen Public version Page 1 RENEWABLE HYDROGEN: THE MISSING LINK BETWEEN THE POWER, GAS, INDUSTRY AND TRANSPORT SECTORS” Arnaud DE LHONEUX & Denis THOMAS Business Development - Renewable Hydrogen Hydrogenics Europe _________________________________________________ 2019 Q3
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Page 1: RENEWABLE HYDROGEN: THE MISSING LINK BETWEEN THE … · 2019-09-18 · 2017 HyLYZER® 230-30 –dual stack 5.0 kWh/Nm³ Air Liquide, HyBalance, Hobro, Denmark

© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 1

“RENEWABLE HYDROGEN: THE MISSING LINK

BETWEEN THE POWER, GAS, INDUSTRY AND

TRANSPORT SECTORS”

Arnaud DE LHONEUX & Denis THOMAS

Business Development - Renewable Hydrogen

Hydrogenics Europe

_________________________________________________

2019 Q3

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 2

Hydrogenics in a nutshell &

Hydrogen in the Energy Transition

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 3

Hydrogenics manufactures zero emission hydrogen technologies

Electrolyzers Fuel Cells

WATER (H2O) + POWER HYDROGEN (H2) + OXYGEN (O2)Electrolyzer

Fuel Cell

Industrial

Power-to-X

Mobility

Stationary

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 4

Hydrogenics’ locations

Hydrogenics Corporation

▪ Headquarters

▪ Mississauga, Ontario

▪ 180+ employees worldwide

▪Fuel Cells, PEM electrolyser stacks,

Power-to-Gas, H2 refueling and and

mobility products / projects

Hydrogenics Europe

▪ Oevel, Belgium

▪ Since 1987

▪ Power-to-X, industrial onsite hydrogen

production, and H2 refueling station projects

Production Facility

Sales Office

Hydrogenics USA

▪ Carlsbad, California

▪ Since 2018

▪ Fuel Cell power module integration

▪ Gladbeck, Germany

▪ Since 2002

▪ Fuel Cell power module integration

Hydrogenics GmbH

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 5

Hydrogenics, a daughter company of Cummins and Air Liquide

Joint VentureAtlantis AcquisitionCo Canada Corporation

80% 20%

100%

Source: https://www.electrive.com/2019/07/01/cummins-takes-over-fuel-cell-maker-hydrogenics/

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 6

Track records

• >1500 electrolysers systems sold since 1948 (incl. The Electrolyzer Company,

Stuart Energy and Vandenborre Hydrogen Systems

• > 350 pressurized alkaline systems sold

• > 10 PEM electrolyser systems at MW-scale installed (equivalent to ~15 MW)

• First mover in Power-to-X

• Wind-to-hydrogen: Hychico, Argentina, 2008

• Power-to-Gas: E.ON / Uniper, Falkenhagen, 2014

• Power-to-Power: Raglan Mine, Canada, 2016

• Power-to-Methanol : MefCO2, Germany 2019

• Hydrogen Refueling Stations: +60 references

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 7

Page 8: RENEWABLE HYDROGEN: THE MISSING LINK BETWEEN THE … · 2019-09-18 · 2017 HyLYZER® 230-30 –dual stack 5.0 kWh/Nm³ Air Liquide, HyBalance, Hobro, Denmark

© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 8

CO2 emissions are reduced to net-zero globally by around 2050 in global emissions pathways for 1.5°C from IPCC

www.energy-transitions.org

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 9

Renewable Hydrogen in the Energy Transition

Hydrogen produced from renewable power enables the transition

to a cleaner future across all energy sectors and applications.

Link to video – Hydrogenics Renewable Hydrogen Solutions 4:22 min

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 10

Tipping point for the hydrogen industry

From niche Upscaling To mainstream First products and demo projects

kW marketWorkshop mode

Immature supply chain Only small Industrial market is commercial

“Hydrogen is a hype“

Product evolution (alkaline, PEM)MW market

Project manufacturing Supply chain development

1st commercial energy applications“Why not Hydrogen ?“

Product standardizationGW market

Product manufacturing Optimized and competitive supply chain

Full commercial market deployment“We always believed in hydrogen”

2015

2020-2025

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 11

Alkaline electrolysers HySTAT®

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 12

IMET® alkaline electrolysers : cell stack

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 13

HySTAT® alkaline electrolysers : balance of plant

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 14

HySTAT® alkaline electrolysers : more than 20 years

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 15

+ 350 projects delivered

Elemash, Russia

Kirovgrad, Russia

Saint Gobain, Colombia

Nyagan, Russia

Bushan, India

Camao, Brazil

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 16

PEM electrolysers HyLYZER®

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 17

PEM : Proton Exchange Membrane

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 18

PEM water electrolysis- Key milestones @ Hydrogenics

1999 2004 2012 2014 2015 2017 2019 …

R&D

Test large stack

1,5 MW cell stack Dual cell stack design

Field test 1.5 MW electrolyser

Small scale PEM

electrolyser

2.5/3 MW cell stack

Multi MW design

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 19

2014First commercial large stack

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 20

FIRST “MW” PEM STACK MEASURED EFFICIENCY20152015First 1.5 MW project

delivered

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2017HyLYZER® 230-30 – dual stack

5.0 kWh/Nm³

Air Liquide, HyBalance, Hobro, Denmark

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 22

2017HyLYZER® 230-30 – dual stack

5.0 kWh/Nm³

Air Liquide, HyBalance, Hobro, Denmark

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20182.4 MW, dual PEM cell stack

P2G Brunsbüttel, Germany

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 24

2018First HyLYZER® PEMWE

Indoor Installation

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 25

Markham Energy Storage Project (Markham), Canada (2018) Secondary Frequency Control for the IESO

+/- 1.05 MW of regulation service for the IESO

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 26

2019HyLYZER® -1000-30

5 MW PEM Electrolyser

• Containerized design & compact footprint: 2 x 40 ft

• Plug&Play modular design based on 2 x 2,5 MW cell stacks

• Fully tested & certified @ Hydrogenics’s factory

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 27

Layout for 4000 Nm3/h outdoor plant (20 MW)

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 28

DO NOT PRINT

Layout for 4000 Nm3/h indoor plant (20 MW)

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 29

New Benchmark in PEM Water Electrolysis, 3MW Stack

2019 2014

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 30

Electrolysers : product’s line

HySTAT®-15-10 HySTAT®-60-10 HySTAT®-100-10 HyLYZER® -300-30 HyLYZER® -1.000-30 HyLYZER® -5.000-30

Output pressure 10 barg (27 barg optional) 30 barg

Number of cell stacks 1 4 6 1 2 10

Nominal Hydrogen Flow 15 Nm³/h 60 Nm³/h 100 Nm³/h 300 Nm³/h 1.000 Nm³/h 5.000 Nm³/h

Nominal input power 80 kW 300 kW 500 kW 1.5 MW 5 MW 25 MW

AC power consumption

(utilities included, at nominal capacity)5.0 to 5.4 kWh/Nm³ 4.4 to 4.8 kWh/Nm³

Hydrogen flow range 40-100% 10-100% 5-100% 1-100%

Hydrogen purity 99.998%O2 < 2 ppm, N2 < 12 ppm (higher purities optional)

99.998%O2 < 2 ppm, N2 < 12 ppm (higher purities optional)

Tap water consumption <1.4 liters / Nm³ H2 <1.4 liters / Nm³ H2

Footprint (in containers) 1 x 20 ft 1 x 40 ft 1 x 40 ft 1 x 40 ft 2 x 40 ft 10 x 40 ft

Footprint utilities (optional) Incl. Incl. Incl. 1 x 20 ft 1 x 20 ft 5 x 20 ft

Alkaline PEM (Proton Exchange Membrane)

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 31

PEM fuel cells

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 32

PEM Fuel cells

Cells Cell stack Balance-of-Plant

• MEA - Membrane

Electrolyte Assembly

• Bipolar plates

• Gas Diffusion layer

• Gaskets

• Multiple cells layered

• End plates

• Tie rods

• Spring washers

• Bus bar interfaces

• Fuel cell voltage monitor

• Fuel management

• Air management

• Water management

• Coolant pump and control

• Control hardware and software

• Power conditioning

• Hybrid energy storage

• Hybrid control hardware and software

• Cooling or heat exchanger (or CHP)

• H2 storage

PEM Single Cell Fuel Cell Power Module Fuel Cell System

Page 33: RENEWABLE HYDROGEN: THE MISSING LINK BETWEEN THE … · 2019-09-18 · 2017 HyLYZER® 230-30 –dual stack 5.0 kWh/Nm³ Air Liquide, HyBalance, Hobro, Denmark
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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 34

KOLON Water & Energy, South Korea (2015) Repowering of by-product hydrogen from chemical industry

OBJECTIVES

• Process Plant with by-product hydrogen

• Korean government provides incentives (feed-in)

for power produced from hydrogen

SOLUTION

• >1 MW HyPM-R based on HyPM-R120 fuel cell

racks

• Grid feed inverters, outdoor containers

• Joint venture power purchase agreement (PPA)

• 20 year Service agreement

• Commissioned October 2015

• 2x40ft containers

More information:

http://www.hydrogenics.com/about-the-

company/news-updates/2014/06/23/hydrogenics-

signs-agreement-to-create-kolon-hydrogenics-joint-

venture-for-power-generation-in-south-korea

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 35

Zero-emission hydrogen train | Alstom Transport | Coradia iLint

Source: Alstom

• ~50% of rail network in Germany is not

electrified (operated with diesel)

• More stringent regulation (exhaust

emission, noise) and expected price

increase for diesel

• 2016: 1st train with hydrogen fuel cell

• 2018: certification done in DE, 2 trains in

commercial operation

• … more trains are coming in DE, FR, UK…

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 36

Hydrogen complements the direct use of electricity in transport for high demanding applications

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 37

Legal & Economics of

Power-to-Hydrogen

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 38

Lessons learnt from last P2X projects

Country Project Size YearElectrolyser

technology

Po

we

r

Ga

s

Ind

us

try

Mo

bilit

y

Fu

el

Canada AL Becancour 20 MW 2019 PEM •

New Zeeland Halcyon Power 1.5 MW 2019 PEM •

Germany HRS Wuppertal 1 MW 2019 PEM •

Belgium HRS CMB 1 MW 2019 PEM •

Norway Haeolus 2 MW + 100 kW FC 2018 PEM • •

Germany MefCO2 1 MW 2018 PEM •

Germany WindGas Brunsbuttel 2.4 MW 2017 PEM •

Thailand EGAT 1 MW + 300 kW FC 2017 PEM •

Canada Embridge P2G 2.5 MW 2017 PEM •

Denmark HyBalance 1.2 MW 2017 PEM • •

Main conclusions from these projects:

1. Hydrogen technologies work fine and deliver according to expectations.

2. There is still room for further technical improvement but no technology breakthrough is expected.

3. There is a important potential for further cost reduction: going from project manufacturing to product manufacturing.

4. Energy regulatory framework is no suited for these applications and business operation of these projects remains very challenging.

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 39

A lot of good studies on H2 economics …

• IEA: https://www.iea.org/hydrogen2019/

• Mission Possible: http://www.energy-transitions.org/mission-possible

• DNV GL: https://www.dnvgl.com/publications/hydrogen-in-the-electricity-value-chain-141099

• FCH-JU: https://www.fch.europa.eu/news/hydrogen-roadmap-europe-sustainable-pathway-european-energy-

transition

• Hydrogen Council: http://hydrogencouncil.com/study-hydrogen-scaling-up/

• H21 North of England: https://www.northerngasnetworks.co.uk/event/h21-launches-national/

• IRENA: https://www.irena.org/publications/2018/Sep/Hydrogen-from-renewable-power

• Bloomberg NEF: Economics of hydrogen

• And more to come…

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 40

World hydrogen market and H2 prices

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 41

Power-to-Hydrogen – Business case drivers

Opex ~2%

Capex

~20%

Wholesale

Price

Electricity

~30%

Grid Fees

and Levies

~50%

Hydrogen

Cost

Service Income

(balancing)

~xx%

Renewable

Credit:

Technology

Push

&

Market Pull

measures

~xx%

Feedstock

Income

(H2, O2, Heat)

~xx%

Investor

Bonus

For good economics: low power price,

high operating time and high value for end

product are key !

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 42

Clean Energy Package

(RED II, EMD, …)

Clean Mobility Package

Gas Package

Main pieces of EU legislation affecting the development of hydrogen markets in Europe (2021-2030)

Adopted

(2018)

Adopted

(2019)in preparation

DIRECTIVE

DIRECTIVE

REGULATION

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 43

Hydrogen definitions

Renewable energy Non renewable energy

Low-

carbon

Not

Low-

carbonGrey H2

CertifHy

Green H2

CertifHy

Low-carbon H2

91 g CO2 eq/MJH2 (=SMR benchmark)

0 g CO2 eq/MJH2

36,4 g CO2 eq/MJH2 (-60%)

Renewable H2

(zero carbon)

Graph from www.certifhy.eu

modified by Hydrogenics

Biomethane reforming

SMR / ATR

SMR/ATR + CCSMethane PyrolysisWater electrolysis (nuclear power)

Water electrolysis (renewable power)

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© Copyright 2019 HYDROGENICS – Q3 2019 – Renewable Hydrogen – Public version Page 44

Hydrogen | Basic math

Hydrogen physics

• 1 kg ↔ 11,1 Nm³ ↔ 33,3 kWh (LHV) and 39,4 kWh (HHV)

• High mass energy density (1 kg H2 = 3,77 l gasoline)

• Low volumetric density (1 Nm³ H2 = 0,34 l gasoline)

Hydrogen production from water electrolysis (~5 kWh/Nm³ H2)

• Power: 1 MW electrolyser ↔ 200 Nm³/h H2 ↔ ± 18 kg/h H2

• Energy: +/- 55 kWh of electricity → 1 kg H2 ↔ 11.1 Nm³ ↔ ± 10 liters demineralized water

Power production from a hydrogen PEM fuel cell from hydrogen (+/- 50% efficiency)

• Energy: 1 kg H2 → 16 kWh

Cars and buses

FCEV H2 tank H2

consumption

Driving

range

Annual driving

distance

Annual H2

consumption

Car (passenger) 5 kg 1 kg/100 km 500 km 15.000 km 150 kg

Bus (12 m) 35 kg 8 kg/100 km 350 km 60.000 km 5 tons

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Arnaud DE LHONEUX | Regional Business Development Manager | [email protected]

Denis THOMAS | EU Regulatory Affairs & Business Development Manager Renewable Hydrogen | [email protected]


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