Hydrogen the Groningen way. Nr 10

 💦⚡️💚 Green hydrogen is ‘booming’. As the missing link in the energy transition and in the transition to sustainable industry. But how do we make hydrogen ‘big’ and make sure that everyone benefits? Read the last part of my voyage of discovery here👇 💚🌍

Blog 10 Hydrogen as a game changer

 It is amazing how many changes are underway in terms of energy transition and hydrogen. In Groningen, we have set ourselves ambitious targets, some of which have already been executed by building many more solar parks and (small-scale) wind turbines. Our goal is that they are all realised with 50% local ownership, in order that local residents benefit directly from the park profits. And can be proud that their living environment is contributing to the energy transition.

 International cooperation

Nothing new there for us, as that has been the Groningen modus for many years. It has resulted in much greater support for solar parks. Villages and neighbourhood communities take the initiative to have solar parks developed, and to purchase their own wind turbines. And so Groningen has a great deal of sustainable energy We produce our own hydrogen, which is then used to render heavy mobility more sustainable, for example. At the national, European and global level too, more and more plans are being made for the production and use of hydrogen. Not only within the national borders but also in collaboration with other countries. The Netherlands already has a number of contracts with other countries for the import of hydrogen, including Portugal and Namibia, and the European plans to import green hydrogen from Africa are also taking shape.

 COP26

The main event in terms of the energy transition was of course the COP26 in Glasgow. No rock solid agreements on targets this time, unlike the COP25 in Paris in 2015, though effective agreements were reached on how member states will finance energy: reducing the financing of fossil energy and investing more money in developing countries. There was also confirmation of earlier agreements on how to render the transition a fair process. The latter is absolutely essential if the transition is to be a success. It is a positive sign that there is greater attention for developing countries, though we know from the past that this will at the same time be very tricky. Since the COP25, many countries have lagged behind when it comes to financing adjustments to or preventing climate change in developing countries.

 Audacity

The time has come to make that change. And it is viable. The financing should not be a separate issue, but rather a component of a fair energy transition. This does however require audacity from the prosperous countries. The audacity to stop transferring the actual costs of production and consumption of energy to others. That has been the unfortunate situation for many years after all: extracting oil at locations which do not harm us and where we do not see the local consequences. Profiting from the oil, while being fully aware that the situation cannot continue, but change is such a difficult process...

 Setting conditions to share profits

It is indeed very difficult to change the rules of a game which is already underway. That is why it is imperative that the new set of rules now be formulated, on the eve of the global hydrogen economy. To reach agreements on how we can all profit from the energy transition. Hydrogen may well be the game changer. The green hydrogen produced can be transported over great distances. Just like oil and gas. However, hydrogen can bring about the change which was lacking in the case of oil and gas: to contribute to redistribution of wealth and poverty. We can do so by reaching agreements that the hydrogen to be imported by our prosperous countries, some of it from developing countries, must comply with a number of conditions. I’m not referring to the technical conditions - so many people are already involved in that - but rather the socio-economic conditions. The sharing of profits with residents around the solar parks and wind parks where the hydrogen is produced. So that part of the earnings during the working life of a solar park or wind park, and the money earned trading the produced hydrogen, is structurally reinvested in the local economy. Everyone benefits: the users and producers of hydrogen, and those living in the region. Just like in Groningen, if we can jointly profit from the energy transition earnings, this will boost support and accelerate the energy transition process. We must learn from the past in order to ensure that green hydrogen brings about prosperity for all.

 We therefore now know:

·       The condition must be set that the hydrogen economy contributes to SDG1, SDG7 and SDG15 (Sustainable Development Goals of the United Nations) and that this must be the basis for import, trade, financing and production of hydrogen.

·       The import of green hydrogen must be under the condition that local residents around the solar parks, wind parks and electrolysers with which the green hydrogen is produced, must share in the prosperity and a percentage of earnings for the duration of production.

 

Broad-based prosperity

In concrete terms, this means that local residents around energy projects for hydrogen production are given access to clean energy and therefore clean cooking, thus combating poverty and providing opportunity for (re)forestation. And so the hydrogen economy can truly contribute to broad-based prosperity. I shall be making every possible effort. 

Are you in?