Advice on hydrogen: main takeaways for NWBA-members

On the 25th of January 2021, the Dutch advisory body Raad voor de leefomgeving en infrastructuur (RLI) published their advice on hydrogen. We have listed the main takeaways, important for the NWBA members. 

General point of the advice:

  • invest in an H2 transport infrastructure;
  • stimulate demand for hydrogen applications;
  • pricing of CO2 should be done at EU-level, not national level;
  • support all “colors of hydrogen”, provide financial support to different options.

Advice on H2-production costs:

  • grey at €1.50 (trending upward);
  • blue between €1.50 and €2.50;
  • green at €2.50-€5.00 in 2020 and €1.50 – €3.50 in 2030;
  • In 2050 “potentially below €1”. Compare this with the same energy contained in natural gas at 0.65 per kg (incl CO2 costs).

Potential instruments to promote the switch to hydrogen in industry include:

  • mandatory replacement of grey H2 by green H2, with subsidy;
  • mandatory replacement of natural gas by H2, with subsidy;
  • subsidize innovation in new H2 applications:
      • steel
      • green chemicals
      • synthetic fuels
  • assign Gasunie with the task to take care of a backbone H2 network, including storage in caverns and connections to neighboring countries.

The advice and its outcomes will be followed up and posted by the NWBA.