Green Hydrogen Potential to Decarbonize the Middle East
Green hydrogen is a non-polluting renewable energy source that burns cleanly. It has the capacity to decarbonize energy production and reduce carbon emissions in industrial settings that have no access to clean energy sources. The Middle East is gaining traction in terms of increasing green hydrogen generation. As the possibility to build a decarbonized economy becomes clearer, the region is capitalizing more on solar and wind power.
The Middle East is confronting the challenge of transitioning away from fossil fuels. Saudi Arabia has declared its goal of evolving as a prominent worldwide hydrogen supplier. The plans for building a multi-billion dollar hydrogen production plant have been executed with a target of producing 650 tonnes of green hydrogen on a daily basis by 2026.
The Primary Opportunities as Regional Green Hydrogen Initiatives Get Underway
Several industrial landscapes and applications currently make use of hydrogen, thus, decarbonizing this feedstock is becoming necessary. Renewable energy will be an essential component of the future energy mix. However, expanding renewable energy sources alone will not suffice to accomplish the aim of decarbonized power generation. Green hydrogen can be the solution to preventing carbon footprints in the production, transportation, and energy industries and reaching long-term climate neutrality.
The Industry or Consumer Sector Where Hydrogen Offers a Distinct Advantage
An intriguing area with tremendous decarbonization potential is transportation. Green hydrogen is a fuel that may be utilized directly in a fuel cell. It can also be mixed with carbon to create a carbon-neutral synthetic fuel for use in traditional aviation engines enabling the air fleet to decarbonize without costly re-engineering. The main advantage of hydrogen is its widespread availability. It can reduce carbon emissions in practically every industry.
The Adaptability of Existing Regional Infrastructure to the Hydrogen Conversion
The Middle East region has natural gas infrastructure that is best suited to hydrogen conversion. However, natural gas pipelines will need some modification and maintenance to manage the blend of hydrogen and natural gas for better safety measures. Experts estimate that retrofitting existing pipelines to become 100% hydrogen will be less expensive than building one from scratch. The region has plenty of natural resources. Renewable energy capacity in the Middle East has risen to 40 gigawatts in the past decade. But, the region still needs to redesign some of the processes to encourage decarbonization at a higher level.
Regional Governments Contribution to a Suitable Regulatory Framework
Governments in the Middle East have made extra efforts by enacting legal frameworks and regulations to support the production of green hydrogen. The supportive regulatory environment is intended to encourage a market for offtake and the supply of cost-effective renewable energy. Middle Eastern governments should offer incentives for businesses to reduce their carbon footprints in business or industrial settings. Additionally, if governments charge penalties and offer incentives like carbon taxes and green hydrogen subsidies, they can drive behavior towards decarbonization and boost the market.