AEDG Vol 4 Iss 4

Volume 4 | Issue 4 | 2022
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ISSN: 2643-6973 (Print) Editor Jorge B. Wong Kcomt

Association of Energy Engineers | 3168 Mercer University Drive | Atlanta, Georgia 30341 PhD, PE, CEM
ISSN: 2643-6981 (Online)
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Alternative Energy and
Distributed Generation Journal
Jorge B. Wong Kcomt, PhD, PE, CEM, Editor-in-Chief
Dr. Ing. Jose Ramos Saravia, Associate Editor
Vol. 4, No. 4—2022
Contents
Editor’s Desk; Creating a “Hydrogen Society” to Protect the Global Envi-
5
ronment; Takao Kashiwagi
8 Hydrogen Society—More Than Just a Vision? Part 2 of 5, Turning on the

Light: The Process of Electricity Generation; Arno A. Evers
34 US Hydrogen Strategy—Enabling a Low-Carbon Economy; Office of

Fossil Energy
67 Development and Demonstration Toward Hydrogen Energy Introduc-

tion Essential For Establishing a Decarbonized Society; Eiichi Harada
JOURNAL OF THE ASSOCIATION OF ENERGY ENGINEERS®

ISSN: 2643-6973 (print)

ISSN: 2643-6981 (on-line)
2 Alternative Energy and Distributed Generation Journal
Dr. Ing. Jorge B. Wong Kcomt Dr. Ing. José Ramos-Saravia

Editor-in-Chief Associate Editor
WK Engineers, USA Dept. of Energy Engineering UTEC-Peru
jwong@aeecenter.org ramos.jose.cesar@gmail.com
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Volume 1, No. 1 5
Editor’s Desk
By invitation: The Government of Japan and

Prof. Takao Kashiwagi
Creating a “Hydrogen Society” to Protect
the Global Environment
Japan Takes Action to Preserve Our Earth
The 2015 Paris Agreement was a historical pact in terms of promoting

the creation of a carbon-neutral society. Efforts had been underway to
lower carbon output, but this agreement set a goal of reaching net-zero
emissions of greenhouse gases in the second half of the current century,
thus achieving a carbon-neutral world.
Tokyo Institute of Technology Professor Takao Kashiwagi declares
that use of hydrogen is the key to a carbon-neutral world. “Hydrogen
energy emits no carbon dioxide when used. The hydrogen that serves as
the energy source is currently produced mainly by reforming fossil fuels
like natural gas, and this process results in the emission of carbon dioxide.
But in the future it will become possible to greatly reduce the volume
of these emissions by combining the process with technologies such as
underground storage of carbon dioxide and the growing of tiny algae to
produce biofuel. And in the future it will become a zero-emission energy
source when produced using solar and other types of renewable energy.”
Another advantage of hydrogen is that when used in fuel cells to
generate electricity directly through electrochemical reactions between the
hydrogen in them and oxygen drawn from the air, the generation process is
more efficient than the conventional system of thermal power generation,
converting the chemical energy of fuels into thermal energy to turn turbines
and thereby generate electricity. Furthermore, since the heat generated
from the reactions can be used for other purposes, extremely high overall
energy efficiency can be achieved. The Toyota Mirai hydrogen fuel cell
vehicle can travel 700 kilometers (435 miles) on a full tank, and recently
introduced fuel cell buses can travel more than 200 kilometers (124 miles).
An electric vehicle would require a large battery to travel similar distances,
leading to potential safety issues.
Hydrogen can be produced using a variety of energy sources, including fossil

fuels such as oil and natural gas, modification of methanol and methane gas
from biomass, and electrolysis of water with wind and solar power. It thus can
provide a steady supply of energy.
As Prof. Kashiwagi explains: “Use of hydrogen can contribute greatly to

saving energy and reducing the burden on the environment. In addition,
hydrogen fuel can be made from a wide variety of materials, including
forms of energy that are currently unused, such as by-product hydrogen
and accessory gases from crude oil. So it can serve greatly to enhance
energy security for resource-poor countries like Japan, and if the use of
this equitable form of energy spreads around the world, other countries
that lack resources can aim for similarly affluent futures.”
A major issue to be addressed is the need to establish systems for mass
production and transport. The government and industry are working
in tandem to build a social model for introduction of such systems in
Fukushima Prefecture, where reconstruction efforts are underway in
the wake of the Great East Japan Earthquake. During the 2020 Tokyo
Olympics and Paralympics, Japan hopes to showcase these initiatives to the
world by transporting large amounts of Fukushima-produced hydrogen to
Volume 1, No. 1 7
Tokyo and putting the spotlight on Japan’s hydrogen-society infrastructure.

Professor Kashiwagi says, “We’re aiming to provide a model for the
rest of the world through combined government-industry efforts. Japan
has prospered by taking risks in commercialization. This is our country’s
tradition and its strength. I hope that in the future we can undertake
international coordination, teaming up with Europe and America to tap
our respective strengths and promote standardization.”
Electricity and heat are generated when hydrogen and oxygen combine to
become water.
AUTHOR BIOGRAPHY
Takao Kashiwagi is a Distinguished Professor and Emeritus
Professor, Tokyo Institute of Technology, and he is Director, International
Research Center of Advanced Energy Systems for Sustainability. A leading
figure in the fields of the environment and energy, he has been deeply
involved in Japan’s energy policies for many years. He has served as head
of the working group on new energy sources on the Advisory Committee
for Natural Resources and Energy and in many other capacities, such as
chairman of the Japan Institute of Energy and a member of the Science
Council of Japan.
Part 2 of 5
Hydrogen Society—More Than Just a Vision?

Turning on the Light:
The Process of Electricity Generation
Arno A. Evers
ABSTRACT
This is part 2 of a series of 5 articles adapted and updated from the

book Hydrogen Society—More Than Just a Vision? by Arno A. Evers. This
article first discusses how little electrical power generation, transforma-
tion, distribution and utilization have change since their invention at the
end of the XIX century. Improvements in electricity generation, trans-
forming, distribution and utilization have certainly occurred. But the
overall system continues to have the same inefficiencies, particularly in
the case of conventional, fossil-fired power plants and traditional domes-
tic, commercial and industrial appliances such as electric motor driven
ones, incandescent bulbs, fluorescent tubes, etc. Next, electrical power
generation from renewable sources is considered. Wind and solar (PV
and Thermal ways) are emphasized. Finally, we discuss a problem for
over almost a billion people worldwide: no access to electricity. Actually,
the no-electricity access problem impacts all of humanity. The food/
nutrition, health, education, security, work and quality-of-life problems
created by no access to electricity go way beyond those without electrical
power in their homes or work places.
Keywords: Hydrogen Society, electricity generation, transforming,
distribution, utilization, no access to electricity
INTRODUCTION
Electricity is an essential component in maintaining our modern

quality of life. We can easily access the (mostly) reliable electricity
Volume 1, No. 1 9
distribution system without thinking much about where the electrons

come from. In 1881, the town of Godalming in the UK built the
world’s first power station to provide electricity for both public and
private customers. The opening came about 50 years after Michael
Faraday discovered the operating principle of electromagnetic genera-
tors. At that time, the idea was rather odd and the power station closed
again quickly. However, the process of electricity generation hasn’t
changed much since then.
THE PROCESS OF ELECTRICAL POWER GENERATION
In a furnace, water is heated by burning fossil fuels to produce steam

which drives a turbine (Figures 1 and 2). The rotating axle of the turbine
is attached to an electric generator that converts mechanical energy into
electricity. During this process, about 60 percent of the energy input is
“lost” irreversibly. The losses occur within the burning process (flaring
losses), in the conversion of liquid water to steam, in heat radiation, as
mechanical losses within the turbine and the generator, in cooling the
steam after it has been used in the turbine, and in many other places.
The electricity generated at the power plants is alternating current (AC)
at relatively low voltage because of isolation inside the generators. The
electricity is then stepped up to high voltage using transformers, before
being transmitted to substations located hundreds of kilometers away.
Finally, the electricity enters, again via transformers, the low voltage
distribution system for its use in homes, offices and factories. As an
unavoidable consequence, at least another 10 percent of the electricity
vanishes in transmission losses. Depending on the state of the grid in a
given country, these losses can be even higher. The electrical power grid
and its challenges in the following article of this series.
Moreover, many of today’s electric appliances and electrically driven
machinery are extremely inefficient, wasting much of the power they
consume as heat. Approximately 95 percent of the energy consumed by
an incandescent bulb is emitted as heat; only the remaining 5 percent are
given off as light. In this case, when the entire cycle of generating, trans-
porting and using electricity is considered, the electricity is delivered
Figure 1. Losses in a Typical Power System

Volume 1, No. 1
Figure 2. Energy Flow and Losses at Every Energy Conversion Step- chemical, thermal,
mechanical, electrical —in typical power system. Source: From Chester L. Dawes. Industrial
Electricity. Volume 1. Direct Currents. McGraw-Hill Book Company, 1956.
11
to the user of the incandescent bulb with an overall efficiency of just 2

percent. All these losses are simply accepted because the users, be they
industries or households, are paying all the losses with their utility bills.
As an example, here is the calculation for a utility which is running
power plants and grid simultaneously:
fuel cost (coal or whatever …)

labor (as few staff are needed to run a power station, rather little …)
depreciation (not much, as most power stations are rather old …)
cost of the grid (mostly unknown ...).
Revenue: as found on the utility bill by the customer.

The difference between cost and revenue turns out to be
their profit.
You can look for yourself at their annual balance sheets, to see how
profitable this business is. Would this not be the case, the system would
quickly find a way to change.
If the consumers were to be shown that they are not only paying the
kWh logged by their meter, but in fact the coal which is shoveled into the
power plants, they might start thinking about their energy-consuming
behavior.
It is all a bit embarrassing, frankly. With all the progress made by
modern technologies, we still use a rather old fashioned and not very
smart way to produce, transport and to use electricity. Do we not have
more households paying all the losses with their utility bills/
Do we not have more imaginative ways of generating elec-
tricity? And if so, what options do we have to put us on another
track? Which challenges do we face to make a change?
INITIAL SPARK: ELECTRICITY FROM FOSSIL FUELS
Between 1973 and 2007 the worldwide electricity generation

increased threefold as the world became more and more dependent
on electricity to meet its energy needs (Figure 4). Currently, and in
Figure 3. Fossil fueled
power plants such as
t h e K a n awh a R i ve r
Plant near Glasgow,
West Virginia (USA) are
the backbone of our
current electricity sys-
tem. A large quantity
of fossil fuels (in this
case coal) must be fed
to the plant to yield a
small amount of elec-
tricity back. The rest of
the energy is lost in the
form of (unused) heat,
Volume 1, No. 1
and greenhouse gases

and ash are emitted.
Not necessarily good
for the local or global
environment.
13
the past, the supply is almost entirely based on conventional fossil

fuels: they amount to worldwide over 80 percent of the generated
19.771 TWh in 2007 [1]. Coal has always been the major feedstock
for electricity production, and this is projected to continue to be true
into the foreseeable future. By world standards it is still the most
accessible, cheapest, and most reliable source of energy. However,
coal-fired power plants are also by far the largest source of carbon
dioxide (CO2) and other global-warming pollutants such as methane
(CH 4) and nitrous oxide (N2O). The efficiency of fossil fired power
plants range from 30 to 38 percent depending on the age of the
plant and the technologies used. New technologies like the (ultra-)
supercritical pulverized coal combustion or the process of integrated
coal gasification combined cycle (IGCC) can raise the efficiency for
electricity generation to 45 percent and to more than 50 percent,
respectively. However, the environmental damage remains the same,
inducing further even unknown changes in the global climate system.
The only technology available to mitigate Green House Gas or GHG
emissions from large-scale fossil fuel usage is carbon dioxide capture
and storage (CCS). CCS is a process whereby CO2 shall be captured
from gases that would otherwise be emitted via smoke stacks into the
atmosphere, and then be injected into deep geologic formations for
permanent storage. However, CCS already faces many challenges
that are not only related to issues such as financing demonstration
projects and integration of adequate infrastructures, but also to effi-
ciency. For example, capturing and compressing CO 2 would increase
the fuel needs of a coal-fired power plant by 25 to 40 percent. Can
this be a viable way to solve our energy problem?
ONWARD, BACKWARD: ELECTRICITY

FROM NUCLEAR ENERGY
The fundamental principle for nuclear power generation was dis-

covered by none other than Albert Einstein with his discovery that a
little mass could theoretically be converted into enormous amounts of
energy. This breakthrough is used in every nuclear power plant today.
Volume 1, No. 1
Figure 4. Worldwide Electricity Generation, Fuel Shares Comparison

1973 to 2007. Excludes Pumped Storage.
15
Nuclear power plants are fueled by a naturally-occurring and thus finite

element called uranium. Canada, Kazakhstan, and Australia are the top
three producers, and together supply 59 percent of the world’s uranium
fabrication. Other important uranium producing countries are Namibia,
Russia, Niger, Uzbekistan and the United States. Some consider nuclear
power plants to be a “clean” electricity source, since the plants them-
selves do not directly emit CO2 and other GHGs. Nevertheless, the
operation of nuclear power plants results in the immense environmental
impacts and risks which are displayed in Figure 4. After a cost intensive
exploration process, uranium ore is recovered from the earth’s crust
under quite difficult conditions. It must be extracted from the mined ore
using strong acids and bases, and then be converted into either uranium
dioxide (UO2) for heavy water reactors or gaseous uranium hexafluoride
(UF6) for light water reactors. Most reactors require uranium fuel to
have a U-235 (an isotope of uranium) content of 3 to 5 percent. For this
step, large amounts of electricity, mostly provided by fossil fuel plants,
are needed to increase the actual concentration of 0.7 percent to 3 to
5 percent. Afterwards, the uranium is manufactured into fuel pellets by
pressing powdered UO2 or UF6 into small cylindrical shapes and baking
them at high temperatures, usually between 1,600 and 1,700°C. Finally,
energy is released in a reactor by controlled nuclear fission reactions
just to boil water, produce steam, and drive a turbine that generates
electricity. This process alone has an efficiency of only 35 percent. For
steam production and for cooling, approximately 2.5 times more water
is needed for nuclear than is required for fossil fuel plants. This is the
reason why nuclear power plants are located at rivers or lakes. The whole
process of generating nuclear power through fission reactors is depicted
in Figure 5.
After the nuclear fuel is consumed in the reaction process, it is
removed from the reactor and stored onsite in large water-filled pools for
about five years. See Figure 6. Later, the radioactive waste is transferred
to underground caverns for medium-term storage. At present, there are
no safe disposal facilities in operation anywhere in the world which can
accept radioactive waste for permanent storage. A prevailing example
is Asse II in Germany, a former subterranean salt mine research opera-
tion. Used as a radioactive waste disposal facility since the seventies,
Volume 1, No. 1
Figure 5. Electricity from Nuclear Energy

17
its storage has recently been found to be unstable. According to World

Nuclear News, roughly 126,000 barrels filled with low-level radioactive
waste including contaminated clothes, paper and equipment need to be
brought to the surface for alternative storage [2]. A challenge involving
approximately Euro 3.7 billion, and a rather gracious heritage for future
generation(s).
See Figure 5. Can a process like this that poses health risks exceed-
ing that of any other process of electricity generation be called “clean?”
I don’t think so. We always need to keep in mind that already a minor
failure in a nuclear power plant can create severe consequences for all
forms of life on earth!
ONWARD, UPWARD: ELECTRICITY

FROM RENEWABLE ENERGIES
Electricity from renewable energies, though accounting for a com-

paratively small portion of overall electricity supply (see Figure 2), have
shown dramatic gains in recent years. There are five fundamental meth-
ods of transforming renewable energies into electricity: Hydropower, the
source for 16 percent of the world’s electricity generation in 2007, is a
process by which the energy of flowing water or tidal forces is harnessed
to spin a turbine connected to a generator. There are new, huge hydro-
electricity plants built in China and Brazil with capacities in the range
of 14,000 MW to 22,500 MW. Worldwide, an installed capacity of 770
gigawatt—electric (GWe) supplied more 3,190 TWh of hydroelectricity
in 2007 [3]. Biomass is derived from plants, but also includes agriculture
and food processing wastes or fuel crops that are specifically bred and
grown for electricity generation. Direct combustion power plants burn
the biomass directly in furnaces that supply steam to drive a turbine.
Another process is the gasification of biomass.
The derived gas can then fuel steam generators, combustion tur-
bines, combined cycle technologies or fuel cells.
Geothermal energy is heat energy originating close to the earth’s
surface or in the earth’s warm interior. The heat in the form of hot water
or steam powers a turbine that generates electricity through a generator.
Figure 6. Impressions from the ear-
ly stages of dismantling a 100 MW
Volume 1, No. 1
pressurized heavy-water reactor

nuclear power plant in Niederaich-
bach, Germany. The target was to
re-establish the site’s original state
of vegetation (so-called ‘back to
green field’ approach). This nucle-
ar power plant was only in opera-
tion for 18 months in 1973/1974.
19
Wind power is produced by converting the kinetic energy of wind

into electricity by using large spinning blades connected to a generator
(see next section in this article: The Winds of Change).
Solar power is derived using energy from the sun. There are two
main types of technologies for converting solar energy into electricity
(Photovoltaic and Concentrating Solar Power) which are explored in
more detail in a following section: Seeing the Sun. While it is true that
renewable energy sources are environmentally-friendly, or “green,” one
has also to consider their feedstock. Solar, wind, hydro and geothermal
energies are “free” at first glance, although they require huge land-use
investments with environmental unfriendly footprints. The investment
needed to build profitable power plants varies according to plant size.
Biomass used for electrification has to be planted and produced
somehow, if we do not want to depend exclusively on refuse or hazardous
waste. It is also obvious that electricity from renewable energies has con-
siderable disadvantages in the way they are deployed today. First of all,
and foremost, they are dependent on certain conditions (availability of
wind, water, sunshine ...). At this time, most renewable sources are used
to produce electricity which is fed into the grid. Hence hydroelectricity
or wind plants are treated in the same way as “normal” conventional
power plants. Due to their intermitted nature, this deployment method
is overstraining the grid, which is additionally rather inefficient in itself.
This fact is used by the grid operators as an argument to ask for govern-
mental help to not only improve the grid, but to make it “smart.” A topic
which is already under political consideration, especially in the US. As
part of The American Recovery and Reinvestment Act of 2009, more
than US$ 3.4 billion shall be invested in smart grid technology develop-
ment grants, and an additional US$ 615 million for smart grid storage,
monitoring, and technology viability [4].
But do we need an electricity grid at all? Hot water, for instance, can
also be provided directly from decentralized solar thermal units by solar
power or by biomass, with no electricity involved. A sensible and decen-
tralized use of a combination of all renewable energy sources should
not simply be a matter of lifestyle choice. This is a matter that has great
environmental consequences. So let’s have a closer look at two of the
renewable energy sources.
Volume 1, No. 1 21
THE WINDS OF CHANGE
The use of wind power is not at all a new experimental technology.

It was already used centuries ago for pumping water and for milling
cereals. New, though, is its use to produce electricity which started after
the first oil crisis in the seventies. At the end of 2008, the worldwide
nameplate capacity of wind powered generators added up to 121 GW, a
mere of 1.5 percent of the world’s electricity usage. But the rapid growth
continues, with China doubling its wind power capacity for the fifth con-
secutive year since 2004, or with the USA becoming the leader in new
capacity investment with US$ 24 billion invested [5].
Today, nearly all large wind farms are connected to the electricity
power transmission network (grid), Figure 7. Only in rare cases is the
electricity used locally as well. This turns out to be a big problem for
the grid-operating utilities, because electricity must be used as soon
as it is produced. But how easily can you forecast when and where the
wind will blow? You can’t simply start a wind mill up when you need
it most. Thus, at least as the electricity grids are operated today, the
intermittency of wind always requires backup systems with an equal
amount of dispatchable generation capacity. Unfortunately, at the
moment these back-up systems are mostly conventional power plants
that do not have short run-up times. In addition to the unpredict-
ability of wind, wind farms usually need high investments to be built,
and are also very expensive to properly maintain. Speaking from my
worldwide observations, at least 20 percent of the wind mills are
shut off for maintenance or repairs. What is even worse, they are
often taken off the grid, because their electricity is not needed at that
given moment. What a system, what a waste of resources. There are
no commercially viable ways to store wind energy at this time, other
than pumping up water electrically in water reservoirs. But this only
makes sense when wind farm and water reservoir are close to each
other. To summarize: we have lost already as long as we hold on to
our brittle centralized energy (grid) system —with or without renew-
able resources (SEE next article in this series: The Grid: A Matter of
Perspective). Why not use electricity produced by wind farms locally
with clever storage in between?
Figure 7. The wind park in the San Gorgonio Pass Area near Palm Springs, CA
was one of the first in the USA. The installed power of the individual wind-
mills, of those several thousands are erected there, is between 65 and 1,000
kW. However, many of them are already around 30 years old; the investment
should be more than amortized by now. The spatial proximity to high tension
power lines, supplying the Greater Los Angeles area, is an advantage of the
location. However, without transformer substations, even if some parts are
made of wood as seen here, nothing really works.
Volume 1, No. 1 23
SEEING THE SUN: ELECTRICITY FROM SOLAR ENERGY
The amount of energy that comes from the sun is phenomenal: If

we could somehow gather all the energy that reaches the earth on one
day and store it, it would supply the energy needs of the whole world for
almost 30 years [6]. Moreover, solar radiation is actually the sole source
for fossil or renewable energy that we use today. Electricity from sunlight
can be generated directly using photovoltaic solar cells, or indirectly as
with concentrating solar power, as shown in Figure 8.
At present, PV is used primarily in regions where governments offer
financial incentives for its installation, for example in Germany. Here
the Renewable Energy Act (EEG) guarantees all owners of PV systems
a fixed, above-wholesale price feed-in tariff for each kWh of electricity
produced. This is, by the way, a pretty serviceable formula for the con-
tinuation of the firm, monopolistic structure of the present electricity
economy. While it is true that this policy helps to pull PV into com-
mercial deployment, this model also hinders a more rapid technological
improvement of the solar cells. Even PV systems with poor efficiency will
be sold anyway. The philosophy of the EEG was also imported by other
countries, “…following the success of the German legislation....” Exam-
ining the fine print, those feed-in tariffs are not at all paid by the utilities,
but by the electricity customers of a given country. In fact, the utilities
are getting a refund for “lost profits” for each kWh fed into their grid.
Consider another interesting aspect: PV solar cells convert the sun’s
radiation into DC power on which most of our appliances actually run.
But this power is converted into AC power by inverters and fed into the
inefficient grid, only to be converted back again to DC. It somehow
turns out that ideas which would eliminate central utilities are not quite
welcomed. There is no question that we need to go solar, but we should
do it a bit more wisely, shouldn’t we? Especially considering the envi-
ronmental impact of manufacturing solar cells and their low conversion
efficiencies of roughly 15 percent.
At this point, the most cost-effective and efficient technology for con-
verting solar power into electricity are huge solar-thermal power plants
(Figure 9). Here, sunlight is gathered by a large solar-collecting field with
parabolic mirrors, so called troughs. These collectors track the sun over
Figure 8. Solar Millennium AG developed the first parabolic trough power

plants in Europe. The Andasol 1 plant in Southern Spain has started opera-
tion in March 2009.
the course of the day and concentrate the sunlight onto absorber pipes
where the radiation is converted into heat. A heat transfer fluid which
is circulating through the pipes is heated up to temperatures of almost
400°C. The heat is used to generate steam with which electricity is then
produced by conventional steam turbines. The process water is then
cooled and returned to the cycle. The surplus heat could be used for
heating, desalination, cooling, air conditioning, and other applications,
but in most cases, it is currently rejected to the atmosphere.
Solar-thermal power plants have been in commercial use for several
decades now. The first plants have been operating in the Mojave Desert
in California (354 MWe) since 1982 and will be up scaled to 553 MWe
by 2011. Three new plants have come on stream in 2008 in Granada,
Spain: Andasol I to III [7]. Each Andasol power plant covers an area
of 195 hectares (about two square kilometers) with a collector area of
510,120 square meters (aperture surface).
Volume 1, No. 1 25
Approximately 90 kilometers of absorption pipes and curved mir-

rors with a total area of 580,500 square meters are also installed. All
three solar power plants are at the moment the largest solar trough plants
in the world, generating an annual net electricity output of around 150
gigawatt-hours (GWh) per plant. Thermal molten salt storage enables
electricity production even during the night, or on cloudy days. The
storage time, however, is calculated to be seven hours, which is in my
opinion not quite enough, even for a cozy Andalusian night. I have
visited both solar power plants, those in the Mojave Desert as well as
Andasol in Andalusia. I was impressed by the sheer size of the instal-
lations. However, in both cases there was not even a sign, let alone an
information center, explaining the technology and giving some answers
to frequently asked questions. Considering the huge amount of money
(and good ideas) invested in both cases, providing some information for
the concerned citizens would be something to consider.
However, when you look at the websites of the operators, you can
sometimes find explanations that make you wonder about this so called
“green” technology, especially when you read that the amount of water
needed to run the plant is: “…equal to normal agricultural use...” at
that given location. In Andasol, each plant requires about 870,000 cubic
meters of water per year, which is mainly used for cooling the steam cir-
cuit, i.e. from the vaporization of water in the cooling towers [8]. So the
plant operators not only have to capture the power of the sun, but also
need immense amounts of water for cooling of the heat transfer media.
See Figure 10. As most solar power plants today are located in deserts,
this physical necessity may be an obstacle to development on the long
run. Another restriction comes from the Spanish energy law itself, which
states that each power plant is permitted to feed in a maximum of 50
MW into the grid. What an achievement.
This leads us to the planned DESERTEC project, which will,
according to current plans, operate using more or less the same scheme.
See Figures 9 and 10. Here, the basic idea is to build huge solar thermal
power plants and wind farms in the Sahara Desert, and at the North
African coast, to supply 15 percent of Europe’s future electricity needs.
Again, you need some kind of grid to transfer the power safely and with-
out significant losses to Europe. The current proposals call for the use of
Figure 9. Scheme of Solar Thermal Power Plant (STPP).

Volume 1, No. 1 27
Figure 10. In a Thermal Solar Power Plant immense amounts of cooling

water (a) and an absorbing grid (b), capable of dissipating the electricity gen-
erated, are urgently needed to keep this process running. Unlike sun, water
is hardly available in an arid region. All in all, a step in the right direction,
but additional research has to be done to become much more effective with
solar thermal power.
High Voltage Direct Current (HVDC). In this context we learn that the
transportation of electricity by high voltage AC, as it is done now, is inef-
fective. Good to know.
Various other technologies have been studied, developed and con-
structed in the field of solar energy, such as Solar Power Tower plants,
which use an array of flat, moveable mirrors (heliostats) to focus the sun’s
rays on a collector tower. The heat transfer media to produce steam for
the turbine within the tower could be water, molten salts or compressed
air. This technology is also suitable for a number of chemical high tem-
perature processes, such as direct solar hydrogen which will be explored
in more detail in a forthcoming article in this journal and series: “Here
Comes the Sun.”
POPULATION WITHOUT ELECTRICITY
Although most of us use electricity as if there were no tomorrow, we

must be aware of the fact that at this point our current energy system
relies almost exclusively on finite resources. Sooner or later new ideas
and technologies must be brought to the forefront to supply our grow-
ing global population with the energy they need. Most of us only truly
appreciate the benefits of electricity when there is a power outage (black
out or brown out). See Figure 11.
Have you ever imagined spending a full week of your life without
electricity? Not just a brief power outage for a few hours. Many of the
things we take for granted today would just stop running: No electric
heat or refrigeration, no (traffic) lights, televisions, telephone or electric
toothbrushes. Everything digital would be worthless. And life as such
would start to become quite inconvenient, at least for us. Well, if you
live in Africa or developing Asia, you may spent your entire life without
electricity. Based on the World Energy Outlook 2009, the International
Energy Agency (IEA) estimates that in 2008 the number of people
without access to electricity was 1.5 billion or 22 percent of the world’s
population. Some 85 percent of those people live in rural areas (Figure
12). In most cases, those people do not even have access to a decent water
supply and draining system.
Volume 1, No. 1 29
Figure 11. Commuters leaving Manhattan, New York City, USA to the east
walking via the Brooklyn Bridge. The reason for this unexpected march: On
August 14, 2003, a huge power cut grounded all air conditions units, elevators,
subways, building-lightning, traffic lights and computers. So what did the
concerned citizen do? Walk away, heading home. Not a bad decision at that
time. New Yorkers tasted a bit of how about a billion people live in the rest of
the World, without electricity (13% of humanity) [9].
Figure 12. Impressions from India in 2008. Over 600 million people are living
in South Asia in similar conditions. Children are born and raised, families
with up to four generations nurtured, jobs created and descended, hopes
raised and hopes definitely lost. A situation very hard to imagine by people
from the western world. And yet they are there, even increasing, not only in
numbers but in individual fates.
Volume 1, No. 1 31
The biggest energy poverty reduction so far took place in China and
East Asia, where booming economies saw the number of people without
electricity access fall to 195 million in 2008, from 241 million in 2001.
Although the proportion of the world’s population with access to elec-
tricity will rise over the next 20 years, the IEA still predicts more than a
billion people without power in 2030. As a consequence, a lot of rural
electrification programs and national electrification agencies have been
created in these countries to monitor more accurately the needs and the
status of rural development and electrification. But the question is: Who
is better off? Those who have a close connection to their environment,
who “live with the sun”? Or is it those who live in air-conditioned apart-
ments and have never seen a cow in their lives? Is it necessary to have
household appliances running all day, or is it more important to listen to
a bird singing? Probably it is a mixture of both.
Hence our mutual target must be to reduce the number of people
without access to electricity by 2030 at an even greater rate. How are we
going to do that? Well, there are two ways: We could use more fossil fuels,
and force them into a dependence on international energy companies at
the expense of their culture and environment. Or we could try to imple-
ment a really smart system combining the decentralized use of all avail-
able renewable energies as primary sources. Maybe even with hydrogen
as the main energy carrier. This system has to deploy fuel cells only at
the point of usage, at the very end of the functional chain. We will get
to more about this idea in following articles of this series, but first let’s
conclude our journey into the world of electricity with an analysis of its
current distribution system: the grid.
Electricity—Not for All

South Asia currently accounts for 42 percent of the total number of
people in the world without access to electricity, even though the percent-
age of the population with access to electricity in South Asia increased
by around 8 percent over the last three years (Figure 13). Bangladesh,
India and Pakistan in total have 570 million people without electricity,
92 percent of whom live in rural areas. In Sub-Saharan Africa only 29
percent of the population has access to electricity today. Despite slightly
increasing electrification rates, the total number of people in the region
32
Alternative Energy and Distributed Generation Journal
Figure 13. Population without access to electricity (millions), 2008 and 2030.
Volume 1, No. 1 33
without access to electricity has grown by 78 million since 2001 —mainly

due to rapid population growth, which has outpaced electrification [10].
Currently, close to one billion (109) people have no access to electricity
across the world. It’s expected that such population will increase to 1.3
billion by 2030.
References
[1] Minchener Andrew. Future Coal Supply Prospects. IEA Clean Coal Centre. London, UK
2009
[2] http://www.world-nuclear-news.org/WR_Germanys_waste_removal_ decision_1801101.
html
[3] BP p.l.c. BP Statistical Review of World Energy June 2008. London, UK. page 38
[4] http://www.recovery.gov/Pages/home.aspx?q=content/act
[5] REN21. Renewables Global Status Report: 2009 Update. Paris, France 2009, page 8.
[6] http://www.altenergy.org/renewables/solar.html
[7] http://www.solarmillennium.de
[8] Ibidem, page 14
[9] https://ourworldindata.org/energy-access
[10] http://www.iea.org/weo/electricity.asp
US Hydrogen Strategy
Enabling A Low-Carbon Economy
Office of Fossil Energy
United States Department of Energy
Washington, DC 20585, USA
ABSTRACT
This article is a reproduction of the US Hydrogen Strategy drafted

by the Office of Fossil Energy, US Department of Energy to accelerate
research, development, and deployment of hydrogen technologies in
the United States. First, the Introduction defines four (4) focus areas of the
Hydrogen Strategy for Research and Development (R&D). Second, a
historical Background of the Hydrogen R&D efforts by the Office of Fos-
sil Energy is discussed. Third, Hydrogen Production and Cost are addressed.
Fourth, Hydrogen Uses and Equivalent Costs are considered. Fifth, Hydrogen
Demand, Worldwide and in the US, is assessed. Sixth, Emerging Markets and
International Initiatives are considered. Seventh, Hydrogen Transportation is
evaluated. Eight, Hydrogen Storage is briefly discussed. Ninth, the roles or
missions with respect to Hydrogen R&D of the Office of Fossil Energy,
Office of Clean Coal and Carbon Management, and Office of Oil and
Natural Gas are given. Tenth, Future R&D to accelerate the Hydrogen
Economy are proposed. Finally, Safety and Regulatory Requirements and Chal-
lenges are briefly discussed.
Keywords: Hydrogen Strategy, US DOE, Office of Fossil Energy,
Production and Cost, Uses and Equivalent Costs, Demand, Emerging
Markets, International Initiatives, Transportation, Storage, Future R&D,
Safety and Regulatory.
INTRODUCTION
This document summarizes current hydrogen technologies and

communicates the U.S. Department of Energy (DOE), Office of Fos-
sil Energy’s (FE’s) strategic plan to accelerate research, development,
Volume 1, No. 1 35
and deployment of hydrogen technologies in the United States. It also

describes ongoing FE hydrogen-related research and development
(R&D). Hydrogen produced from fossil fuels is a versatile energy carrier
and can play an important role in a transition to a low-carbon economy.
Hydrogen (H2) is the simplest and most abundant element in the
universe, and it only occurs naturally on Earth when combined with
other elements. Hydrogen, like electricity, is an energy carrier (fuel) that
can be used to store, move, and deliver energy produced from other
sources. It can be produced without a carbon footprint from a variety of
sources, including natural gas, coal, biomass, waste materials (i.e., plas-
tics), or splitting water molecules. Gasification of fossil fuels with biomass
and plastics is expected to be the lowest-cost route to providing carbon
negative hydrogen when using carbon capture, utilization, and storage
(CCUS) technologies.
Scientists have been interested in hydrogen as a source of energy
since the 1800s [1], and it is currently an essential feedstock and fuel in
many industries. Primary uses of hydrogen include the following applica-
tions: (1) as a chemical in ammonia (NH3) production (mainly for fertiliz-
ers), (2) as a chemical feedstock and catalyst, (3) as a hydrogenating agent
for food and drug production, and (4) in petrochemical and refinery pro-
cessing. Hydrogen consumed by large volume users is typically generated
onsite (captive hydrogen), and for industries such as glass manufacture,
food, and electronics, it is supplied by trailers (merchant hydrogen).
In addition, hydrogen is emerging as a low-carbon fuel option for
transportation, electricity generation, and manufacturing applications,
because it could decarbonize these three large sectors of the economy.
Hydrogen has the highest energy content of any common fuel per unit
of weight, but it is less dense than other fuels, which hinders its wide-
scale deployment. While hydrogen fuel consumption is not widespread,
there has been growing interest in its use as a potential fuel source across
the economy. In fact, its use is projected to significantly increase in many
countries through 2050 as these countries transition toward a low-carbon
economy [2].
According to the International Energy Agency (IEA) report, Energy
Technology Perspectives 2017 [3], by 2050, fossil fuels will remain the
primary source of hydrogen for the United States (~75%), Europe
(~65%), and Japan (~85%). This forecast is based on the regional abun-
dance of fossil fuels, the low cost of hydrogen production, and other
benefits (e.g., reduced emissions) of sourcing hydrogen from fossil fuels
with CCUS, rather than using it for power generation directly.
As the lead Federal agency for energy R&D, DOE develops tech-
nologies to diversify and increase domestic energy supplies and make
energy more affordable, improve domestic energy production and use,
and enhance the security, reliability, and resilience of energy infra-
structure. FE has a broad portfolio of R&D activities and is focused
on technological advancements that could enable a transition toward a
low-carbon economy with hydrogen. DOE is well positioned to acceler-
ate this transition by developing technology solutions that enable the
production of hydrogen from fossil fuels with neutral, or even negative,
carbon emissions. FE’s depth of experience and R&D conducted over
the past 30 years have been focused on fossil fuels. Future efforts can be
summarized in four major R&D focus areas:
1. Carbon-Neutral Hydrogen Production Using Gasification and

Reforming Technologies
2. Large-Scale Hydrogen Transport Infrastructure
3. Large-Scale Onsite and Geological Hydrogen Storage
4. Hydrogen Use for Electricity Generation, Fuels, and Manufacturing.
Beyond R&D, FE can also leverage past experience in hydrogen

handling and licensing reviews for liquefied natural gas (LNG) export
to support U.S. hydrogen export. For example, FE is well positioned to
help develop safety and other requirements for hydrogen export facilities,
which will be essential to materializing U.S. exports to global markets
that are shifting to greater hydrogen use in electricity, manufacturing,
transportation, or residential sectors.
BACKGROUND
While DOE has an overarching Hydrogen Program Plan, this

document focuses on the Office of Fossil Energy R&D efforts. DOE’s
Office of Energy Efficiency and Renewable Energy (EERE) and Office
Volume 1, No. 1 37
of Nuclear Energy (NE) are also actively pursuing R&D in different

areas and technologies for hydrogen production, transport, delivery,
and storage.
The H2@Scale program has developed an illustration to represent
the hydrogen activities of the Department and it has been modified in
the shaded areas for the purpose of better illustrating how the FE R&D
will support the low-carbon hydrogen economy (see Figure 1).
For the past 20 years, FE—in partnership with industry—has
pioneered the direct use of hydrogen for power generation. The
office’s sponsored research has resulted in the development of hydro-
gen combustion turbines for power generation and combustors that
can replace the natural gas combustors in commercially available
combustion turbines. Research is currently underway on technologies
that can produce hydrogen from coal-derived synthesis gas and build
and operate a zero-emissions, high-efficiency energy plant that copro-
duces hydrogen and electricity from coal, biomass, and waste. Efforts
to enable 100% hydrogen firing in utility-scale combustion turbines
are also in progress.
FE and industry have the potential to leverage ongoing work and
existing infrastructure to improve the economics of hydrogen production
from natural gas via Steam Methane Reforming* (SMR) process and
coal/biomass/waste plastic gasification with CCUS to realize negative
carbon dioxide (CO2) emissions. In addition, there is growing interest in
conversion of natural gas to hydrogen and solid carbon, thereby provid-
ing an additional byproduct revenue stream. Such innovations in the use
of our abundant natural gas resources have the potential to strengthen
existing and future markets. A SMR involves the reaction of natural gas
and steam over a nickel-based catalyst. This breaks the methane compo-
nent of the natural gas into carbon monoxide (CO) and H2 gas, similar
to synthesis gas (syngas) produced via gasification. Then water-gas shift
(WGS) reaction is performed to increase the amount of H2 in the prod-
uct gas as much as possible.
*SMR involves the reaction of natural gas and steam over a nickel-based catalyst. This breaks the
methane component of the natural gas into carbon monoxide (CO) and H2 gas, similar to synthesis
gas (syngas) produced via gasification. Then water-gas shift (WGS) reaction is performed to increase
the amount of H2 in the product gas as much as possible.
38
Figure 1. Integration of Fossil Energy into the Hydrogen Economy [4]

Volume 1, No. 1 39
BENEFITS FROM INTEGRATING FOSSIL ENERGY

INTO THE HYDROGEN ECONOMY
U.S. energy security, resiliency, and economic prosperity are

enhanced through:
• Producing hydrogen from diverse domestic resources, including coal,
biomass, natural gas, petroleum, petroleum products (e.g., waste plas-
tics), and other recyclable materials with CCUS
• Gasifying blends of coal, biomass, waste plastics, and other recyclable
materials with CCUS results in hydrogen produced with net-negative
carbon emissions and other environmental benefits when CCUS is
integrated with the gasifier
• Having hydrogen widely available for the chemicals and liquid fuels
industries
• Using carbon-neutral hydrogen in transportation, stationary or
remote power, and portable power applications using hydrogen tur-
bines and fuel cell technologies
• Utilizing gas turbine assets for on-demand centralized and distribut-
ed power generation with near-zero emissions
• Supporting reliability and resiliency on the grid using simple-cycle or
combined-cycle hydrogen turbines to enable grid stability and large-
scale (e.g., gigawatt-hour) energy storage
• Increasing hydrogen storage and power generation supports inter-
mittent renewable power generators where bulk electricity storage is
not adequate to cover demand
• Providing large-scale energy storage capacity using hydrogen for
both transportation and generation needs without the need to pro-
cess and consume vast quantities of critical minerals required by
electricity storage technologies (e.g., batteries)
• Allowing technologies like coal with CCUS and nuclear power to run
in a steady-state mode and producing hydrogen for storage and use
when the demand for electricity is low
• Supporting hydrogen-enabled innovations in domestic industries,

thereby promoting manufacturing of advanced products.
Figure 2 provides an overview of hydrogen uses and national benefits

and shows the relationship of FE’s R&D program elements to support a
hydrogen economy in the United States.
HYDROGEN PRODUCTION AND COST
Currently, 99% of U.S. hydrogen production is sourced from fossil

fuels, with 95% from natural gas by SMR and 4% by partial oxidation of
natural gas via coal gasification. Only 1% of U.S. hydrogen is produced
from electrolysis.*
Annually, the United States produces more than 10 million metric
tons (MMT) of hydrogen, and approximately 60% of it is produced in
“dedicated” hydrogen production facilities as their primary product.
Global hydrogen production is approximately 70 MMT, with 76%
produced from natural gas via SMR, 22% through coal gasification (pri-
marily in China), and 2% using electrolysis (see Figure 3).
SMR is a mature production process that builds upon the existing
natural gas pipeline delivery infrastructure. Another well-developed,
but more expensive approach for hydrogen production is splitting water.
Methods used include electrolysis, photo-electrochemical cells, or solar
thermochemical systems. Globally, supplying hydrogen to industrial
users is a major business, and the demand has grown more than threefold
since 1975, and it continues to rise. Industrial technologies for hydrogen
production include catalytic steam reforming (800–1000°C) and partial
oxidation (600–900°C) of hydrocarbons (e.g., natural gas) or renewable
fuels (e.g., bioethanol); coal or coal blends with biomass and waste plas-
tics gasification; water electrolysis; thermochemical water splitting at
around 900°C; and biological production.
Given the substantial economic advantage of gasification and meth-
ane reforming with CCUS, in all likelihood, they will be the lowest cost
*Water electrolysis is the electrochemical splitting of water into hydrogen and oxygen.
Volume 1, No. 1
Figure 2. Relationship of FE Program Elements to Comprehensive Hydrogen Strategy

41
Figure 3. U.S. and Global Production of Hydrogen
source of large-scale hydrogen for the foreseeable future.

As shown in Figure 4, hydrogen production from fossil fuels is the
least expensive source of hydrogen. Steam reforming of natural gas
for hydrogen production costs vary from $1.43/kg to $2.27/kg with
CO2 capture and storage (CCS) and are highly dependent on the deliv-
ered natural gas price. Numerous studies report the cost of hydrogen
from gasification to vary between $1.16/kg and $1.63/kg for coal and
between $1.31/kg and $2.06/kg for coal/biomass/waste plastic with
CO2 capture and storage. These processes are also highly dependent
on the delivered feedstock price. Hydrogen production cost through
electrolysis at a centralized station is estimated at $5/kg to $6/kg with
electricity from nuclear or wind resources. Hydrogen from zero-carbon
electricity, such as nuclear or wind, is 2.5—four times more costly than
hydrogen from carbon-neutral or net negative carbon fossil resources.
The cost of hydrogen production varies between regions, with
Europe and Japan having relatively high costs and strong policy support
for hydrogen. Hydrogen importers stand to benefit from cheaper, low-
carbon energy—especially if their domestic renewable energy, nuclear,
or CCUS resources are challenging or expensive to develop. According
to the IEA, in the future, it may be cheaper in some instances for some
countries to import hydrogen than to produce it domestically.
Volume 1, No. 1
Figure 4. Current Cost of Hydrogen Production and CO2 Intensity

Source: IEA Roadmap for Hydrogen and Fuel Cell and DOE Baseline Studies.
43
FIND AEE ON...
Volume 1, No. 1 45
HYDROGEN USES AND EQUIVALENT COSTS
Primary uses of hydrogen today are as a chemical feedstock in ammo-

nia, food, and drug production, as well as petrochemical and refinery
processing. It is also used in crystal growth, glass manufacturing, chemi-
cal tracing, metal fabrication, polysilicon and semiconductor manufac-
turing, metal production, and thermal processing. Hydrogen from fossil
energy could be an economically competitive, carbon-neutral alternative
to traditional fuels used in the electricity, industrial, and transportation
sectors. Figure 5 provides a compilation of current hydrogen production
costs and supports the Office of Fossil Energy plans to continue invest-
ments in hydrogen-related R&D. Costs for hydrogen production from
other sources, such as the DOE applied program offices, DOE Office of
Science sponsored research group, IEA, many universities, and industry
have published figures similar, and in some instance lower than the ones
represented in Figure 5 [6,7,8,9,10].
Oil refinery hydrogen demand is a major component of the over-
all hydrogen production. Hydrogen is used to remove sulfur and to
hydrotreat and hydrocrack heavier crude oil constituents into more valu-
able, lighter products [11]. In turn, growth in refinery hydrogen demand
is affected by an increase in demand for liquid fuels, changes in sulfur
content of the raw crude oil, and regulations that limit the amount of
sulfur in the liquid fuel.
Fertilizer and chemical also consume large quantities of hydrogen.
The U.S. ammonia supply is dependent on the price of natural gas and
the supply has increased because of the low price of natural gas. Both
brownfield capacity expansions and greenfield ammonia plants are com-
ing online, leading to increased demand for hydrogen [12]. Other poten-
tial hydrogen utilization areas include the following [13]:
• Industrial Uses: Hydrogen can replace coke and natural gas as a
reducing agent in iron and steel production. Similarly, hydrogen can
enable decarbonization of industries, such as cement, fertilizer, and
petrochemicals. However, in some cases, considerable R&D may be
required to assess the effects of switching from natural gas or coal-de-
rived fuel gases to pure hydrogen.
46
Figure 5. Current Hydrogen Production Cost Ranges and Averages by Technology and Equivalent
Prices for Fossil Sources with CO2 Capture and Storage.
Volume 1, No. 1 47
• Transportation: Hydrogen-powered fuel cell vehicles offer both

high efficiency and low emissions. They can play an increasing-
ly important role in reducing emissions from long-haul trucks,
heavy-duty trucks, buses, medium and large cars, vans, minibuses,
trains, ships, and planes.
• Power Generation: Hydrogen use for power generation is negligi-
ble today, though there is potential for its role in power production.
Hydrogen can be injected into existing natural gas pipeline networks
or directly sent into the end-distribution network. Hydrogen-fired gas
turbines and combined-cycle gas turbines could also be a source of
flexibility in electricity systems. In addition, Solid Oxide Fuel Cells
(SOFCs) can offer the highest conversion efficiency of chemical-en-
ergy-to-electrical-energy of any energy conversion technology, com-
pared to any heat engine.
• Energy Storage/Grid Balancing: Hydrogen could become a
long-term storage option to balance seasonal variations in electricity
demand. Industry has been working on technologies to store hydro-
gen in cryogenic vessels or in high-capacity sorbents to increase the
energy density and duration available. Geologic storage of hydrogen
is feasible in salt caverns and other formations. A limited number
of geologic storage projects exist in the United States, which could
expand as the demand for hydrogen increases.
HYDROGEN DEMAND
According to the IEA report, Future of Hydrogen, demand for

hydrogen in its pure form will be around 73 million tons per year
(Mt/year), as shown in Figure 6 [14]. One-third of global supply is
“by-product” hydrogen, meaning that it comes from facilities and
processes designed to manufacture other products. Today’s hydrogen
industry is large, with many sources and uses. In energy terms, total
annual hydrogen demand worldwide is around 330 million tons of oil
equivalent (Mtoe), which is larger than the primary energy supply of
Germany [15].
Figure 6. Worldwide Hydrogen Value Chains

Volume 1, No. 1 49
Figure 7 shows an overview of the demand for hydrogen from

selected U.S. industries. The quantity of onsite (captive) and merchant
hydrogen supplied varies by industry. For example, hydrogen used in oil
refining is split almost evenly between captive production and merchant
hydrogen suppliers. On the other hand, hydrogen for glass manufacture
is almost entirely supplied by merchant suppliers. Merchant producers
can supply hydrogen as a liquid or gaseous product, or via a pipeline.
Smaller quantities of gaseous, high-pressure hydrogen (to be transported
over relatively small distances) are sold in tube trailers [16].
EMERGING MARKETS AND INTERNATIONAL INITIATIVES
Hydrogen holds long-term promise in many sectors beyond existing

industrial applications. The transportation, construction, and power sec-
tors all have the potential to use hydrogen if the costs of production and
utilization prove this fuel to be competitive compared to other options.
Figure 8 shows the global potential for future use of hydrogen and the
market share by 2050 [18,19].
IEA’s Future of Hydrogen report also found that globally, clean
hydrogen is experiencing unprecedented political and business momen-
tum, with the number of policy initiatives and projects expanding rap-
idly [20]. The report concludes that there is a window of opportunity to
scale up technologies and reduce costs to allow broad usage of hydrogen.
To take full advantage of this momentum, IEA made recommendations
to governments and industry focused on two key areas:
1. Hydrogen can help tackle critical energy challenges. It offers
ways to decarbonize a range of sectors, including long-haul trans-
port, chemicals, iron, and steel industries, and to utilize existing gas
turbine assets, where it is proving difficult to meaningfully reduce
emissions. It can also help improve air quality and strengthen energy
security.
2. Hydrogen is versatile. Technologies already available today ena-
ble hydrogen to produce, store, move, and use energy in different
ways. Hydrogen can be produced from renewables, nuclear, natural
50
Figure 7. US Hydrogen Demand by Industry Sector in 2015 [17]

Volume 1, No. 1 51
gas, coal, and oil. It can be transported as a gas by pipelines or in

liquid form by ships, much like LNG. Additionally, it can be trans-
formed into electricity and methane to power homes and industry, as
well as into fuels for cars, trucks, ships, and planes [21].
A low-carbon hydrogen economy, beyond petrochemical and trans-

portation sectors, will require fossil fuels to support emerging car-
bon- neutral market opportunities like utility-scale, hydrogen-based
power generation coupled with energy storage; steel and advanced alloys
manufacturing; cement, fertilizer and chemicals production; fuel use for
marine, rail, and heavy-duty vehicle applications (i.e., transportation);
and renewable power generation for a variety of electrical applications.
While the United States does not currently export hydrogen in signif-
icant amounts, global initiatives to reduce CO2 emissions could expand
global trade of the resource. Japan, South Korea, and China have made
significant progress in hydrogen development, setting ambitious targets
for 2030 by viewing hydrogen as a means of managing environmen-
tal concerns without weakening energy security. Countries that have
released a national hydrogen strategy include the Netherlands, Norway,
Portugal, Japan, South Korea, Australia, New Zealand, and Germany.
Most recently, a Canadian government agency, Natural Resources Can-
ada, confirmed that it is developing a national hydrogen strategy [22].
In addition, the European Commission released its hydrogen strategy in
July 2020 [23].
HYDROGEN TRANSPORTATION
Hydrogen transportation, distribution, and storage are the primary

challenges for integrating hydrogen into the overall energy economy
system. On a mass basis, hydrogen has nearly three times the energy con-
tent of gasoline. While hydrogen has high energy density per unit mass,
it has low-volumetric energy density at room conditions (around 30% of
methane at 15°C, 1 bar) and an ability to permeate metal-based materi-
als, which can present operational and safety constraints. This makes
transporting hydrogen a challenge because it requires high pressures, low
Figure 8. Global Potential for Future Use of Hydrogen

Volume 1, No. 1 53
temperatures, or chemical processes to be stored compactly [24].

Gaseous hydrogen is usually transported by either tube trailers or
pipelines, while liquid hydrogen is moved by road tankers. Liquid hydro-
gen shipping is also being considered as a means for transporting large
volumes between countries.
Depending on transportation distance and volumes, trucking may
be preferred for short distances and small volumes, while liquid tankers
or pipelines are more economical for long distance, larger volume trans-
port. Figure 9 illustrates the primary means of hydrogen transportation
[25].
Pipelines: Existing domestic natural gas pipeline infrastructure
has the potential to expand the transportation of hydrogen*. Blend-
ing hydrogen into natural gas pipeline networks may be an option for
delivering pure hydrogen to markets, using separation and purification
technologies downstream to extract hydrogen from the natural gas blend
near the point of end use.
It is necessary to assess multiple factors to safely integrate hydrogen
blending into the existing natural gas pipeline systems (e.g., gaseous
hydrogen embrittlement)†. Notionally, pipelines can handle from 15%–
30% hydrogen blends without modifications or significant detrimental
effects¶. While hydrogen compression can be utilized for transport and
storage, this compression comes with energy penalties up to 20% of the
energy content required for compression [26].
Trucking: Hydrogen that is transported via truck is typically hauled
in either liquid tanker trailers or tube trailers. High-pressure cylinders
and tube trailers at ~2,600 pound-force per square inch (psi) are com-
monly used to distribute gaseous hydrogen within 200 miles of the
source. Hydrogen transport by truck typically involves high-pressure
*The natural gas pipeline network within the United States is a highly integrated network that
moves natural gas across about 3 million miles of mainline to end-user markets and other pipelines
between natural gas producing areas and storage facilities with consumers. Within this network, over
1,600 miles of pipeline are dedicated to the transmission of hydrogen, representing the largest total
of dedicated hydrogen pipeline system worldwide (57% as of 2016).
†Gaseous hydrogen embrittlement refers to the degradation of fatigue and fracture resistance of
structural materials due to exposure to gaseous hydrogen.
¶Minor detrimental effects can include increased transmission costs and a slight reduction in the
overall quantity of energy delivered due to lower volumetric energy density of hydrogen as com-
pared to natural gas.
Figure 9. Primary Means of Hydrogen Transportation.
tube trailers that operate at pressures twice the amount of normal trans-
porting pressures. Liquid tanker trailers are used for transport distances
up to 600 miles. Cryogenic liquid hydrogen trailers operate at near atmo-
spheric pressure [27].
Other: Compared to trucks, it could be more economical to trans-
port hydrogen by railcars, barges, or ships for larger quantities of hydro-
Volume 1, No. 1 55
gen. By utilizing the same style of tube or liquid tanks used by trucks,
these modes of transport are not restricted by weight requirements
encountered on roadways. The first liquid hydrogen transport ship was
launched as a pilot in Japan at the end of 2019, with an anticipated stor-
age capacity of 1,250 m3 (less than 1% of typical LNG carriers). It is
expected that the next version will have greater capacity.
HYDROGEN STORAGE
Today, hydrogen is most commonly stored as a gas or liquid in tanks

for small-scale mobile and stationary applications. Hydrogen storage
options include compression or cryogenic systems (or their combination),
chemical production systems (such as ammonia), nanomaterial-based
storage, and geologic storage. Compression and cooling systems are
required for transportation and storage of hydrogen. A variety of metal
tanks are typically found at production facilities, transport terminals, and
end-use locations. While cryogenic systems are the most common way to
store large amounts of hydrogen, advancements in porous nanomaterials
may provide another storage mechanism. Within these structures, hydro-
gen can be stored in non-reactive media, at low-temperature, and with
quickly reversible adsorption/desorption of hydrogen without requiring
thermal energy. Storing hydrogen as ammonia, conversely, requires ther-
mal energy to decompose the molecules when the hydrogen is needed.
Hydrogen storage is a key technological barrier to the development and
widespread use of fuel cell technologies in transportation, stationary, and
portable applications.
Large-scale hydrogen value chains in the future will require a
much broader variety of storage options. In general, geological storage
in many regions of the country is the best option for large-scale and
long-term storage, while tanks are more suitable for short-term and
small-scale storage. Geologic storage within salt caverns, saline aquifers,
depleted natural gas or oil reservoirs, and engineered hard rock reser-
voirs can also be used as long-term storage mechanisms. Further work is
required to characterize this opportunity and validate these formations
through R&D, geologic characterization, and validation of reservoirs.
Storage efforts will be coordinated with the Office of Energy Efficiency

and Renewable Energy (EERE) which has led the National Storage Proj-
ect and has substantial ongoing activities [28, 29].
OFFICE OF FOSSIL ENERGY
While the overall DOE Hydrogen and Fuel Cells Program [30]
describes activities of various offices including EERE, Nuclear Energy
(NE), and Science, this document focuses on FE activities. FE’s Office
of Clean Coal and Carbon Management (CC&CM) and Office of Oil
and Natural Gas (ONG) are the two programs currently leading fossil
energy-based hydrogen related R&D. Their past, current, and planned
areas of research are described below.
Office of Clean Coal and Carbon

Management Hydrogen R&D Program
CC&CM is focused on advancing the technologies needed to pro-
duce hydrogen from coal-derived synthesis gas to build and operate
carbon-neutral, high-efficiency, poly-generation facilities, such as those
being considered under the Coal FIRST program [31]. Many of the past
and current CC&CM R&D programs directly align with producing and
utilizing hydrogen. For example, oxygen separation, gasification, cataly-
sis, separations and materials science, and process engineering are key
CC&CM strengths that will have a fundamental role in the production
of hydrogen. Turbines, fuel cells, materials science, combustion science,
catalysis, chemistry, and fuel science all enable the transport, storage, and
utilization of hydrogen.
FE is also the global leader on key technologies such as emissions
controls and CCUS. These technologies will be critical to producing
carbon-neutral hydrogen from carbon-containing feedstocks, as well as
to developing highly integrated gas turbine hydrogen producing systems
with CCUS. Many of these technologies are being integrated into the
Coal FIRST program and power generation systems for the 21st cen-
tury. Coal FIRST has several gasification systems, which could produce
hydrogen for power or poly-generation of chemicals.
Volume 1, No. 1 57
FE has previously supported the development of hydrogen tur-

bines for coal gasification systems with pre-combustion carbon capture.
This approach, with a water gas shift, produces a pure hydrogen fuel
for the gas turbine and was also considered for fuel cell applications.
More recently, the focus has been on high hydrogen, content-fueled
(70%–100% hydrogen) turbines. In this application, combustion charac-
teristics pose a challenge. Hydrogen is a fast-burning fuel with high flame
speeds, causing issues with most modern dry low-nitrogen oxides (NOx)
combustors on industrial gas turbines. Previous DOE-funded research
investigated issues related to hydrogen use in turbines and its effects on
combustion, materials, and aerothermal heat transfer. Significant prog-
ress was made in resolving the understanding of auto-ignition, flashback,
thermo-acoustics, mixing requirements and other combustion-related
phenomena.
A significant amount of work remains before a full commercial offer-
ing of 100% hydrogen-fueled turbines. After the hydrogen concentra-
tion exceeds 75%, there is a significant change in combustion behavior
that will require new combustor designs, sensor locations, and control
schemes to detect the flame and monitor for flashback and thermoacous-
tic instabilities. NOx emissions will become an issue at higher hydrogen
concentrations due to increased flame temperatures and limitations
of current pre-mixed dilution technologies. Standard catalytic NO x
reduction technologies with some modifications could still be a viable
approach. The higher flame temperatures and increased water content
could also affect the lifetime of metal hot gas path parts and ceramic
recession, thereby increasing the need for new materials and coatings
and improved cooling schemes.
The remaining issue for high hydrogen operations is fuel flexibility.
If hydrogen is blended into natural gas pipelines, then it is unlikely that
the mix will be steady and predictable. This would have to be mitigated
through regulation by network operators, or it would require faster fuel
composition analysis built into turbine control.
Office of Oil and Natural Gas (ONG) Hydrogen R&D Program

The proximity and use of hydrogen for industrial processes related to
oil and natural gas provides an opportunity for ONG to leverage existing
R&D toward enabling the future hydrogen economy, its markets, supply
infrastructure, transportation, storage, and use for industrial purposes
and power generation. Natural gas networks are well developed in the
United States and represent infrastructure that could be adopted for
conveyance of hydrogen. While converting natural gas infrastructure to
hydrogen infrastructure is a long-term proposition, transition strategies
call for the introduction of hydrogen into the existing natural gas infra-
structure. This strategy is being pursued by other countries, although
significant questions remain regarding safety associated with hydrogen
transport. There are many unknowns about the suitability of materials
for hydrogen service in natural gas distribution systems; however, ONG
and its partners have an existing and expanding transportation and stor-
age infrastructure R&D portfolio that is relevant to a comprehensive
hydrogen economy strategy.
ONG is currently centered on developing processes to convert flared
or vented gas to hydrogen products to include modular hydrogen pro-
duction from natural gas streams and utilizing hydrogen for upcycling
methane into other higher-value products. ONG’s efforts in this area
are being pursued via hydrogen-related R&D under a Funding Oppor-
tunity Announcement (FOA), “FE FOA2006 – Advanced natural gas
infrastructure technology development process-intensified technologies
for the upcycling of flare gas into transportable, value-added products.”
Through the selections made under the FOA in January 2020, FE is cur-
rently expanding its research program focused on mitigating emissions
from midstream natural gas infrastructure.
ACCELERATING THE HYDROGEN

ECONOMY WITH FUTURE R&D
Since 2005, FE invested in the development of hydrogen turbines

for coal gasification systems with pre-combustion carbon capture. Using
coal gasification with a water gas shift approach produces a pure hydro-
gen fuel for the gas turbines, fuel cells and other applications. Industry
embraced technology development for hydrogen-fueled turbines, which
resulted in upgraded components for commercially available turbines
Volume 1, No. 1 59
and potential retrofits for the existing fleet. All major turbine manufac-
turers have committed to capabilities of at least 20% hydrogen com-
bustion by 2020 and 100% hydrogen combustion by 2030. However, a
significant amount of work remains (e.g., additional combustor develop-
ment) before the full commercial offering of 100% hydrogen-fueled tur-
bines, which could have technology applications to multiple sectors, such
as the aviation industry.
Reversible SOFCs* can be a source of efficient, low-cost electricity
from natural gas or hydrogen for baseload and distributed power gen-
eration. The high operating temperatures of SOFCs offer the possibil-
ity of internal reforming of methane, providing additional sources of
hydrogen production. Thus, SOFCs with internal reforming can enable
the hydrogen economy by producing hydrogen at scale within a carbon-
capture-ready paradigm through simple condensation of the SOFC
exhaust.
FE has been advancing technologies to produce hydrogen from
coal and natural gas, but more work is needed in this area. Hydrogen
from natural gas is commercially viable today and it could be a bridge
technology with Carbon Capture, Utilization and Storage or CCUS to
enable future energy scenarios where hydrogen is sustainably produced
using all of the diverse domestic resources, but need to reduce the capital
costs and improve the efficiency of these technologies to be competitive.
Major investments in R&D over the next 5 years can help accelerate and
address several key areas that could enable the transition to a hydrogen
economy. In addition, more work is required on natural gas-to-solid
carbon plus hydrogen, which offers a valuable byproduct and additional
revenue streams for new markets. FE’s depth of experience, previous
R&D, and future efforts can be summarized in four major focus areas:
1. Carbon-Neutral Hydrogen Production using Gasification

and Reforming Technologies
This focus area involves the following initiatives:
*Solid Oxide Fuel Cell (SOFC): The U.S. Department of Energy initiated the SOFC Program in
2000 to develop low-cost, highly efficient, environmentally friendly SOFC technology for smaller,
modular-scale as well as large-scale power generation from natural gas or coal-derived synthesis gas.
• Develop advanced gasification materials, components (gasifier, clean-

up systems, membranes, catalysts), and systems (small- and large-
scale plasma, thermal, and microwave) with CCUS that can accept
multiple fuels (coal, biomass, and waste plastics) to produce low-cost,
carbon-neutral hydrogen.
• Support advanced steam methane and auto-thermal reforming tech-
nologies with CCUS to provide near zero hydrogen to the economy,
and convert waste gaseous hydrocarbons to hydrogen using similar
modular technologies. FE will lead methane-related hydrogen pro-
duction activities and/or R&D.
• Develop pre-combustion CO 2 capture technologies (advanced
solvents, solid sorbents, and membrane systems) for hydrogen pro-
duction processes to demonstrate zero-carbon or negative-carbon
emissions from fossil fuel, biomass, and waste plastics hydrogen pro-
duction.
• Develop CCUS technologies, including pre- and post-technologies
for power and the industrial sector, as well direct air capture tech-
nologies, that can remove CO2 from the atmosphere (FE is leading
DOE’s efforts in this area).
2. Large-scale Hydrogen Transport Infrastructure

FE has been involved in decades of research on the materials, design,
and infrastructure to support 3 million miles of existing natural gas
pipeline network, including mainline and other pipes transport linking
production and storage facilities with customers. More recently, FE has
been working with industry and partnering agencies on monitoring and
mitigation technologies to quantify and eliminate fugitive emissions from
the oil and natural gas pipeline networks. Additionally, FE continues to
invest in projects to address design and materials requirements for blend-
ing hydrogen into the existing natural gas infrastructure and ultimately
replacing natural gas with hydrogen, in coordination with EERE. Spe-
cific R&D activities coordinated with EERE and other offices include the
following:
• Assess pipeline performance for fatigue and fracture resistance of
metallic materials in natural gas networks as related to the embrittle-
Volume 1, No. 1 61
ment issue and ensure their compliance with appropriate standards

and codes.
• Develop new components, configurations, and sensor technologies
combined with artificial intelligence for real time operational moni-
toring and early fault detection for the safe transport of hydrogen in
commerce.
• Develop design requirements and typical operating conditions in
natural gas supply infrastructure, as well as identify and prioritize
materials performance gaps to avoid leakage within pipeline ele-
ments, such as joints, valve and flange connections, gas meters, and
compressors to safeguard operations.
• Conduct hydrogen transportation and storage infrastructure assess-
ments and R&D (e.g., materials, geology), conduct resource assess-
ments, and establish field laboratories for hydrogen storage.
• Evaluate and regulate hydrogen export policies and procedures.
3. Large-scale Onsite and Geological Hydrogen Storage

FE is the leading organization on storage of natural gas in geologic
formations and characterization for geologic storage of CO2, as well as
the operator of the Strategic Petroleum Reserve. The experience and
personnel in these areas can be leveraged to accelerate the development
and deployment of large-scale hydrogen storage in the United States. FE
has also led the work on other geologic resources such as coal bed/mine
methane, enhanced oil and gas recovery, and the characterization of rare
earth elements and critical materials. In addition, over the past several
decades, FE has been managing the gasification and pre-combustion
capture programs, which have included efforts to produce pure hydrogen
and synthesize chemicals, such as ammonia and other fuels. Leveraging
this experience, FE will focus on the following activities:
• Characterize regional geology, infrastructure requirements, and
materials of construction for the storage of hydrogen in geologic
formations, including salt domes, depleted oil and gas reservoirs, and
natural gas storage sites.
• Develop advanced storage materials and systems for large-scale
hydrogen storage to support the electricity industry and poly-genera-

tion.
• Develop pipeline technologies and components for blended natural
gas hydrogen mixtures to ensure reliable delivery within existing nat-
ural gas infrastructure.
• Develop conversion technologies (catalysts, materials, and process-
es) to utilize hydrogen for added value products and/or chemical
production, specifically ammonia, to store days’ worth of energy for
future electricity production.
Hydrogen Use for Electricity Generation,

Fuels, and Manufacturing
For over 20 years, FE has been developing advanced power systems
(e.g., turbines) and SOFCs to utilize blended hydrogen and natural gas
or pure hydrogen to generate carbon-neutral electricity. Decades of
experience on these systems and future research can enable wide-scale
deployment of hydrogen generation technologies such as hydrogen
turbines and reversible SOFCs. Additionally, the materials and some
of the processes from these technologies can be adapted and used for
other industrial uses (e.g., aircraft engines, trains). The following research
activities are planned:
• Develop technology for hydrogen-fueled turbines for potential retro-
fits or enhancements to internal combustion engines, industrial gas
turbines and combustion systems for power generation, and trans-
portation (ground, air, and marine).
• Develop Solid Oxide Cells to operate as an electrolyzer (SOEC) for
production of hydrogen for storage and reversible systems to operate
as an SOFC when electricity production is in high demand, leverag-
ing 20 years of FE- sponsored R&D on SOFC systems.
• Ensure specification and safety standards developed for utilization of
hydrogen or derivative chemicals in the refining, metallurgical, food
processing, cement, transportation, and other sectors.
• In addition, FE has previous experience in hydrogen handling and
can leverage efforts on LNG export licensing reviews to identify
Volume 1, No. 1 63
safety and export terminal requirements. This will support efforts

to export to hydrogen economies where hydrogen can be used for
electricity generation, manufacturing, transportation, and residential
purposes.
SAFETY AND REGULATORY REQUIREMENTS

AND CHALLENGES
Increasing the use of hydrogen and exploring new processes for

the production and use of hydrogen using the existing gas distribution
and storage infrastructure will require identification of and responses to
several safety issues. Recent studies on market penetration of hydrogen
anticipate many applications, which will require considerable additions
to the transportation and storage infrastructure. Some of these will result
in new safety concerns that need to be addressed.
According to a 2013 report published by the National Renewable
Energy Laboratory,32 blending hydrogen into natural gas pipeline net-
works has been proposed as a means of delivering pure hydrogen to
markets using separation. Separation and purification technologies will
be used downstream to extract hydrogen from the natural gas blend close
to the point of end use. As a hydrogen delivery method, blending can
defray the cost of building dedicated hydrogen pipelines or other costly
delivery infrastructure during the early market development phase.
However, blending hydrogen can materially degrade pipelines designed
for natural gas (via hydrogen embrittlement) [33]. The risk involved
depends on the specific types of materials used throughout the transpor-
tation and distribution systems.
The impact of adding hydrogen into the pipeline systems would also
depend on the hydrogen concentration in the gas mixtures [34]. If less
than 20% hydrogen is introduced into the distribution system, the over-
all risk is not significant. If the hydrogen level in natural gas increases
beyond 20%, the overall risk in service lines can significantly increase,
absent additional risk management measures [35]. Construction of new
pipelines, either natural gas pipelines that will be used for a blended gas
or hydrogen dedicated lines, will require consideration of the challenges
that hydrogen poses during transportation by pipeline. Adequate safety

provisions can be made if there is a thorough understanding of these
risks.
If the amount of hydrogen being produced and utilized is to increase
substantially, storage near the site of production and storage near end
uses are likely to be required. Analogies to this situation already exist for
natural gas, but steps to address novel safety considerations, revised regu-
lations, and tightened design standards may be needed. Solution-mined
salt caverns, depleted natural gas or oil reservoirs, and saline aquifers are
considered possible options for largescale and long-term hydrogen stor-
age. These storage options are currently used for natural gas storage.
Currently, several existing U.S. and international standards allow
the safe use, distribution, and storage of hydrogen. These standards are
focused on the current hydrogen infrastructure, including building codes,
fire codes, and items pertaining to technologies used to transport and
store hydrogen [36]. Within the United States, interest in hydrogen in
the first decade of this century led to the passage of several laws that cre-
ated financial incentives and regulatory requirements. Several states have
passed laws to encourage development of stationary hydrogen applica-
tions [37]. These acts establish provisions for tax incentives aimed at
promoting infrastructure development that supports hydrogen stationary
power technologies. In addition, there are production tax credits based
on the amount of electricity produced from stationary hydrogen power
sources [38].
Looking toward an expanded hydrogen infrastructure, it is impor-
tant to note that globally, the state of existing regulations and standards
currently limits hydrogen uptake. Certain regulations are unclear or not
written with new uses of hydrogen in mind. Therefore, they do not allow
exploitation of the full benefits hydrogen can provide. These regulations
need to be updated if hydrogen is to have the opportunity to fulfill its
potential. For the United States, it is important to identify the options
being pursued and to ensure that essential standards and regulations
exist to cover these nascent applications (processes, infrastructure, and
end use). The current framework provides a sound basis, but gaps have
been recognized, and critical needs should be addressed during the
developmental phase of new technologies in coordination with EERE.
Volume 1, No. 1 65
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Volume 1, No. 1 67
Development and Demonstration Toward

Hydrogen Energy Introduction Essential For
Establishing a Decarbonized Society*
Eiichi Harada
Executive Officer—Deputy General Manager
Corporate Technology Division
Kawasaki Heavy Industries, Ltd. Japan
ABSTRACT
This article is a first in a series of technical reports and white papers

from Kawasaki Heavy Industries, Ltd, focused on: “Kawasaki paving the
way for a future hydrogen society.” Kawasaki leadership and capabilities
in hydrogen production, transport, storage and utilization are discussed
first. Next, the changes required by environmental and societal challenges
are addressed. Then, Japan’s renewable energy and hydrogen strategy is
briefly described. This is followed by stating the mission of the Hydrogen
Council, and summarizing their report Hydrogen Scaling Up. Next, the pilot
Australia-Japan hydrogen supply chain is explained. Finally, the article
concludes how Kawasaki exploits the synergy of its hydrogen technologies
to achieve “KAWA-ru SAKI-e” or “Changing Forward.”
Keywords: Kawasaki, hydrogen society, hydrogen production,
transport, storage and utilization; hydrogen strategy, hydrogen scale up,
hydrogen supply chain, changing forward.
INTRODUCTION
Kawasaki is the only company in the world who holds in a single

company all the core technologies to produce, transport, store, and uti-
*Source: Kawasaki Technical Review 182, February 2021, Kawasaki Heavy Industries, Ltd., Japan.
WWW.KHI.CO.JP
lize hydrogen, which covers the entirety of a hydrogen energy supply

chain. The history of these core technologies originated with liquefied
natural gas (LNG) technology, in which we have accumulated numerous
achievements over the past half century.
The need for such technologies, unique to us as a general heavy
industrial company is increasing and those technologies are rapidly
gathering momentum as people expect to prove to be useful for the
global environment and the future of humankind. Hydrogen is a clean
energy that emits no CO2 when used, and it has been recognized as
being essential for achieving the goal of the Paris Agreement, that is,
net zero CO2 emissions by the end of this century. In response to this,
many countries are incorporating the utilization and supply of hydro-
gen into their policies.
We have been conducting research and development on the estab-
lishment of a hydrogen energy supply chain since fiscal 2010, and finally,
in fiscal 2020, our first-in-the world demonstration project is entering the
operation phase. In addition, in order to achieve commercial operation
in the early 2030s, we are continuing the development of technologies
and are in the process of establishing a business entity.
CHANGES IN ENVIRONMENT AND SOCIETY
In 2005 the Kyoto Protocol became effective with the aim of creat-
ing a low carbon society. In 2015 the Paris Agreement was adopted, and
after that, 187 countries and regions submitted their own goals to realize
a decarbonized society. However, global environmental change is occur-
ring faster than such changes in social environment, and CO2 reduction
is no longer just an environment issue but an urgent social issue.
The countries that signed the Paris Agreement have set their target
for CO2 reduction, and among them, Norway, Sweden, France, the UK,
and others have legislated net zero emissions by 2050. Japan’s target is an
80% reduction by 2050, and net zero emissions as soon as possible after
2050. To achieve such targets just by saving energy is obviously impos-
sible, so continued introduction of renewable energies is indispensable.
However, Japan is already the leading country in terms of renew-
Volume 1, No. 1 69
able energy introduction density, but it has challenges to overcome

such as location and cost reduction whenever it expands its renewable
energy generation facilities. Figure 1 shows renewable energy density,
which is calculated by dividing renewable energy generation by habit-
able land, the remainder of subtracting forest land from the land area of
the entire nation. Japan’s density is higher than Germany’s, one of the
leading countries in renewable energy introduction. Japan is also among
the countries with the highest energy consumption density, as shown in
Figure 2, and it would be very constrained if it were to introduce and
expand enough renewable energies in its limited national land to cover
such high demand. Given this background, a new zero-emission, less
expensive energy that is abundantly available and that contributes to the
realization of a decarbonized society, which at the same time satisfies the
criteria for selecting future sources of energy as defined by what is known
as energy security, economic efficiency, environment, and safety (3E+S),
is being sought after. The result is that the idea of converting less-expensive,
unused resources and renewable energies in other countries into hydrogen, and trans-
porting the hydrogen to Japan to make use of it has drawn attention.
JAPAN’S STRATEGY ON HYDROGEN
The Council for a Strategy for Hydrogen and Fuel Cells was estab-
lished in December 2013 gathering experts from industry, government,
and academia as part of an initiative by the Ministry of Economy, Trade
and Industry. The council released the Strategic Roadmap for Hydrogen
and Fuel Cells in June 2014. The roadmap was renewed in 2016 and
2019, and the latter clarifies the cost target for hydrogen and the perfor-
mance target for key equipment and systems toward social implementa-
tion of hydrogen and fuel cells, and defines action plans to achieve these
targets.
The Strategic Energy Plan, which is the basis of Japan’s energy
policy, starts covering hydrogen in its fourth edition released in April
2014. While hydrogen has been incorporated into the nation’s policies in
this way, in December 2017 the Basic Hydrogen Strategy was formulated
and released through cross-ministerial cooperation. The strategy aims to
Figure 1. Renewable Energy Density*
Figure 2. Energy Consumption Density*
*Data Sources: Website of US Energy Information Administration and BP Statistical Review of World
Energy (2019).
Volume 1, No. 1 71
commercialize hydrogen fueled power generation and a hydrogen energy

supply chain early in the 2030s, and it presents a vision that the capacity
of future hydrogen fueled power generation will reach 30 GW.
While promoting hydrogen policies ahead of the rest of the world,
Japan hosted Hydrogen Energy Ministerial Meetings in Tokyo in Sep-
tember 2018 and 2019 attended by related ministers from around the
world.
GLOBAL MOVEMENT TOWARD HYDROGEN UTILIZATION
Japan has been a leader in the utilization of hydrogen energy in the

world, but in recent years, every country, both in the West and the East, is
aiming to utilize hydrogen. One reason for this is the Hydrogen Council.
The council was established in January 2017 by 13 major companies of
various industries from around the world such as energy and resources,
plants, industrial gas, and transportation machinery, and its aim is to pro-
mote hydrogen utilization toward a decarbonized society. The council,
of which Kawasaki is a founding member, is expanding its scale with 92
companies as of the end of July 2020, including new members from the
industries of fuel cells, trading, and banks.
Hydrogen Scaling Up, a report issued by the Hydrogen Council in
November 2017, defines the following seven roles that hydrogen will play
in terms of CO2 reduction:
1. Enables the mass introduction of renewable energy and hydrogen

fueled power generation
2. Enables energy accommodation and transportation between sectors
and between regions
3. Increases the flexibility of energy systems as a buffer
4. Enables low carbonization in transportation
5. Enables low carbonization in energy for industrial use
6. Enables low carbonization in heat and electricity in buildings
7. Enables the supply of low-carbon materials for industrial applica-
tions
The important thing here is that hydrogen is superior to a second-

ary battery in storage amount and duration, transportation range, and
cross-sectoral accommodation ability, and has a far larger number of
players who can engage in various hydrogen businesses such as hydrogen
supply and utilization. This means that hydrogen’s unique features could
become a strong driving force for energy transition and bring benefits
to both energy systems and end use. This report estimates that the eco-
nomic effect of hydrogen in 2050 will be 2.5 trillion dollars and jobs for
30 million people (which are equivalent to the current number of jobs
in the automobile industry) will be created. The report also encour-
ages countries to refer to Japan’s Strategic Roadmap for Hydrogen and
Fuel Cells and formulate a roadmap tailored to their own situations. As
a result, the U.S., EU, Australia, New Zealand, France, Germany, the
Netherlands, Norway, Saudi Arabia, UAE, China, South Korea, and
more have released or are formulating their roadmap. Considering such
global movement, some predict that a hydrogen-based society will come
earlier than the previous forecast.
ESTABLISHMENT OF HYDROGEN ENERGY SUPPLY CHAIN
The biggest challenge in hydrogen energy introduction is said to be

cost and safety. To reduce cost, obtaining a large volume from inexpen-
sive raw materials is effective and actually required. Considering this, we
focused on brown-coal, which is a largely unused resource with abundant
reserves in Australia. This inexpensive resource, for which there are no
transactions with other countries, is used solely for local power genera-
tion, and its cost is a tenth that of coal.
In our project, a large amount of affordable hydrogen is stably pro-
duced from brown-coal, and by-product CO2 is separated and captured,
and then stored underground at the site (CCS: CO2 Capture and Stor-
age). This will enable the establishment of large-scale hydrogen supply
infrastructure. In the future, we will realize the transition to a sustainable
energy-based society by switching to hydrogen derived from inexpensive,
foreign renewable energy.
When transporting hydrogen to Japan, long-range mass transporta-
Volume 1, No. 1 73
tion will be in the form of liquefied hydrogen. Liquefied hydrogen has

already been used for industrial applications and as rocket fuel for over
half a century, and is a non-toxic, non-odorous, and global warming
potential free energy carrier conforming with requirements for a sus-
tainable society. We regard liquefied hydrogen superior in sustainability
above two other options being studied as energy carriers: ammonia,
which is a deleterious substance, and organic hydride, which consumes
energy to extract hydrogen.
As for safety, the other challenge in the introduction of hydrogen
energy, as can be seen from the fact that hydrogen has a long history of
use in numerous applications such as H2 rockets, industrial applications,
fuel cell vehicles, hydrogen stations, and residential fuel cell appliances,
we can use it safely, similar to other fuels, through understanding hydro-
gen’s properties and handling it properly. To ensure perfect safety, we
will continue to build up good results for mass utilization throughout the
project, and demonstrate that hydrogen can be used safely in our daily
lives.
As the door to commercialization, we are establishing a Japan-
Australia pilot supply chain seamlessly running from start to end, as
shown in Figure 3. In 2016, Kawasaki, Iwatani Corporation, Shell
Japan Ltd., and Electric Power Development Co., Ltd. (J-POWER),
came together to form the CO2 -free Hydrogen Energy Supply-chain
Technology Research Association (HySTRA)—which was later joined
by Marubeni Corporation, ENEOS Corporation, and Kawasaki Kisen
Kaisha, Ltd.—and has been carrying out technology development to
establish a hydrogen energy supply chain for the purpose of economical,
stable procurement of a large amount of hydrogen with the support of
the New Energy and Industrial Technology Development Organization
(NEDO) (a grant project by NEDO called the Demonstration Project for
Establishment of Mass Hydrogen Marine Transportation Supply Chain
Derived from Unused Brown Coal). We are now commissioning a lique-
fied hydrogen carrier, a liquefied hydrogen unloading terminal in Kobe,
and brown-coal gasification facilities in Australia.
Since Kawasaki, Iwatani, J-POWER, Marubeni, and AGL Loy Yang
Pty Ltd formed a consortium in 2018, we have been constructing and
commissioning gas refining facilities and a hydrogen liquefaction and
Figure 3. Framework of Japan-Australia pilot supply chain

Volume 1, No. 1 75
loading terminal with a subsidy from the Australian government and the
Victoria State government. The construction of a liquefied hydrogen
carrier and the facilities at each of the sites is well on track. In regard
to our liquefied hydrogen carrier, a naming and launching ceremony
was held in December 2019 (Figure 4). The carrier was named SUISO
FRONTIER and the ceremony was attended by 4,000 guests.
The governments of Japan and Australia cooperate in support-
ing the establishment of a hydrogen energy supply chain derived from
brown-coal, and in a Japan-Australia summit meeting usually held at
the end or beginning of the year, their cooperation on this project was
announced in official documentation. The significant support for our
consortium from the Australian federal and the Victoria State govern-
ments is part of that. In April 2018, a subsidy awarding ceremony for
this project was held in Latrobe Valley, where a brown-coal mining site is
located. The construction of facilities is proceeding in Australia as well.
These Japan-Australia pilot demonstrations have entered the operational
phase that started in fiscal 2020.
Ahead of this, in fiscal 2018, as a grant project by NEDO, called
the Smart Community Technology Development Project Utilizing
Hydrogen Cogeneration Systems, under the coordination of Obayashi
Corporation, in cooperation with Kobe City, the Kansai Electric Power
Co., Inc., Iwatani Corporation, and others, Kawasaki successfully con-
ducted a technological demonstration of gas turbine cogeneration, the
key to hydrogen utilization, in a city area. We installed our 1 MW gas
turbine (Figure 5) on Kobe Port Island, and it successfully supplied heat
and electricity to neighboring public facilities. This is the first time in the
world that a hydrogen fueled gas turbine was operated in a city area.
As the proportion of renewable energy gets larger in the future,
problems will be revealed, such as unstable power supply caused from
fluctuating renewable energy sources and mismatches between electric-
ity supply and demand. A way to solve this mismatch is power-to-gas
technology, which is the idea of supplying surplus electricity generated
from renewable energy to a water electrolysis, producing and storing
hydrogen, and utilizing the stored hydrogen as energy.
In 2018, under the coordination of Toyota Tsusho Corporation,
Kawasaki conducted a power to gas demonstration commissioned by
76
Figure 4. Launching ceremony of the liquified hydrogen carrier SUISO FRONTIER

Volume 1, No. 1
Figure 5. Demonstration facility for hydrogen fueled gas turbine cogeneration (in Kobe City)
77
NEDO, called the Research and Development of Technologies for Stabi-

lization, Storage and Use in Converting Unstable Electric Power Derived
from Renewable Energies into Hydrogen in Hokkaido, in which we con-
nected a water electrolysis system to a wind power generation facility
in Tomamae, Hokkaido, and successfully produced hydrogen. Figure 6
shows the hydrogen production facilities. Such hydrogen derived from
renewable energy is essential to establishing a sustainable energy-based
society, and is needed to some extent even when considering the energy
self-sufficiency rate. This technology will be important when hydrogen
is produced using inexpensive renewable energies of other countries,
which also offers hope that a large market will form.
CONCLUSION
Kawasaki has been carrying out development projects for each phase
in the realization of a hydrogen-based society, which includes the produc-
tion, transport, storage, and utilization of hydrogen as actions based on
the Sustainable Development Goals (SDGs). If we can utilize economi-
cal hydrogen derived from brown-coal to install infrastructure, and then
switch to hydrogen derived from renewable energy, which is expected to
have further cost reduction effects and a larger amount of production in
the future, we will realize transition to a sustainable energy-based society.
By carrying out demonstrations toward future commercialization
in a safe and steady manner, Kawasaki will facilitate hydrogen-related
product development and commercialization to embody “KAWA-ru
SAKI-e,” or “Changing forward” in English, exploiting the synergy of
Kawasaki Group technologies, and move forward to become the top
hydrogen manufacturer.
Volume 1, No. 1 79
Figure 6. Wind-powered hydrogen demonstration facility (Tomamae, Hok-

kaido, in 2018)
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Volume 4 | Issue 4 | 2022

Volume 3 | Issue 1 | 2021

Alternative Energy & Distributed Generation Journal

aeecenter.org Cogeneration & Distributed

ISSN: 2643-6973 (Print) Editor Jorge B. Wong Kcomt

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8 Hydrogen Society—More Than Just a Vision? Part 2 of 5, Turning on the

34 US Hydrogen Strategy—Enabling a Low-Carbon Economy; Office of

67 Development and Demonstration Toward Hydrogen Energy Introduc-

JOURNAL OF THE ASSOCIATION OF ENERGY ENGINEERS®

ISSN: 2643-6973 (print)

Dr. Ing. Jorge B. Wong Kcomt Dr. Ing. José Ramos-Saravia

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By invitation: The Government of Japan and

The 2015 Paris Agreement was a historical pact in terms of promoting

Hydrogen can be produced using a variety of energy sources, including fossil

As Prof. Kashiwagi explains: “Use of hydrogen can contribute greatly to

Tokyo and putting the spotlight on Japan’s hydrogen-society infrastructure.

Hydrogen Society—More Than Just a Vision?

This is part 2 of a series of 5 articles adapted and updated from the

Electricity is an essential component in maintaining our modern

distribution system without thinking much about where the electrons

THE PROCESS OF ELECTRICAL POWER GENERATION

In a furnace, water is heated by burning fossil fuels to produce steam

Figure 1. Losses in a Typical Power System

to the user of the incandescent bulb with an overall efficiency of just 2

fuel cost (coal or whatever …)

Revenue: as found on the utility bill by the customer.

INITIAL SPARK: ELECTRICITY FROM FOSSIL FUELS

Between 1973 and 2007 the worldwide electricity generation

and greenhouse gases

the past, the supply is almost entirely based on conventional fossil

ONWARD, BACKWARD: ELECTRICITY

The fundamental principle for nuclear power generation was dis-

Figure 4. Worldwide Electricity Generation, Fuel Shares Comparison

Nuclear power plants are fueled by a naturally-occurring and thus finite

Figure 5. Electricity from Nuclear Energy

its storage has recently been found to be unstable. According to World

ONWARD, UPWARD: ELECTRICITY

Electricity from renewable energies, though accounting for a com-

pressurized heavy-water reactor

Wind power is produced by converting the kinetic energy of wind

THE WINDS OF CHANGE

The use of wind power is not at all a new experimental technology.

SEEING THE SUN: ELECTRICITY FROM SOLAR ENERGY

The amount of energy that comes from the sun is phenomenal: If

Figure 8. Solar Millennium AG developed the first parabolic trough power

Approximately 90 kilometers of absorption pipes and curved mir-