The seeking for a more stable power generation system and energy configuration has become a major topic amidst the exacerbating status of extreme weather under global warming. US multinational conglomerate General Electric Company (GE) has proposed the three major concerns on energy of “reliability, cost, and eco-friendliness”, and believes that natural gas-hydrogen combined units and blue hydrogen are excellent options in energy transition in the midst of the global wave of energy transformation.
GE convened the online seminar “Routes in Accelerating Decarbonization for Asia-Pacific” on March 29th based on the theme of decarbonization paths for gas power and renewable energy to probe into the future of electricity generation through energy for the Asia-Pacific, in the hope of accelerating the strategic deployment of renewable energy and gas-fired electricity generation.
Energy transformation is not an overnight miracle. GE believes that hydrogen will serve as an essential element in energy transformation, where the mass production, transportation, and cost will impose great challenges. Jeff Goldmeer, Emerging Technologies Director at GE, commented that the current annual global consumption of hydrogen is at about 70 million tons, which is mostly from the grey hydrogen produced by natural gas, and is primarily used for industrial purposes. Goldmeer hopes that the grey hydrogen is able to gradually transform to blue hydrogen that is paired with carbon capture and storage (CCS), before eventually formed into green hydrogen that electrolyzes water through renewable energy.
Renewable energy such as wind and solar power will remain on a continuous and extensive development, whereas the development of policy as well as relevant incentive measures and tax exemption then will facilitate the establishment of the next generation supply chain and industrial structure.
Developed countries possess an enormous degree of energy demand with entries of numerous new technology at the same time, whereas developing countries require additional power sources that are more affordable, and some countries are also hoping to elevate the ratio of renewable energy based on the concern of national security. Andrew Bedford, Director of Consultation and Energy Transformation at KBR, used hydrogen-emphasizing Australia and Japan as examples, and believes that the relatively expensive green hydrogen portrays a pivotal role in energy transformation when paired with blue hydrogen of CCS, and is cost-effective despite the lower advantages in carbon reduction compared to green hydrogen.
Som Shantanu, Engineering Director of Gas-Fired Electricity Generation, commented that energy should be taken into account from reliability, cost, and eco-friendliness from both the market and technological aspects. Looking at the technology end, a replacement of traditional thermal power stations with the new HA gas-fired turbines will reduce 60% of carbon emission, whereas hydrogen-natural HA gas-fired turbines can also lower 70-80% of carbon emission.
There are also a number of upgraded power plants in Europe that integrate hydrogen and natural gas, with preparedness on the relevant technology in full throttle. As for the market orientation, the ratio of natural gas electricity is now increasingly high. Ramesh Singaram, President and CEO of Gas Power Asia-Pacific at GE, pointed out that natural gas was relatively exorbitant a decade ago, where only countries such as Japan, South Korea, and Taiwan could afford it, and now the drastically reduced prices of the product allows additional ASEAN countries to select various energy.
The lack of early government subsidies and incentives, similar to the ordeal that wind power had endured for the past several decades, makes it difficult for businesses and investors to take over. Goldmeer believes that carbon capture is not a new technology, for which the development started during the 90s, and roughly 200 million tons of carbon is now stored. However, the cost remains higher than that of natural gas in hydrogen production, and that the technology requires coordination with the policy. Incentive measures are essential in encouraging an expansion in deployment, and the cost will be on par with natural gas after 10-20 years once the base is established.
(Cover photo source: shutterstock)