Harvard researchers have recently cast doubt on the economic feasibility of green hydrogen, a fuel often hailed as key to achieving a low-carbon future. According to a new study by the Harvard Environmental Science and Engineering professor Daniel Schrag and postdoctoral fellow Roxana Shafiee, published in Joule on October 8, 2024, the costs associated with green hydrogen—specifically its storage and distribution—remain prohibitively high. This challenges the notion that green hydrogen will soon become a competitive alternative to fossil fuels.
Why is Green Hydrogen So Expensive?
While the production cost of green hydrogen is expected to drop as economies of scale improve, the study highlights a critical issue often overlooked: the high costs of storage and distribution. Hydrogen is a notoriously tricky substance to store and transport because of its low density and tendency to leak. The infrastructure needed to handle hydrogen safely drives up overall costs, making it less competitive than other decarbonization solutions, such as direct air capture of carbon dioxide.
Schrag and Shafiee’s research finds that despite hopes for lower production costs, the complete supply chain of green hydrogen will keep its carbon abatement costs between $500 and $1,250 per ton of CO₂, depending on the sector. This is significantly more expensive than many other carbon-cutting technologies. In certain sectors, like ammonia production, where hydrogen is already used, green hydrogen could offer some benefits. But for broader applications, particularly in transportation and heavy industry, it remains economically unfeasible
Controversies and Criticism
Proponents of green hydrogen argue that as technology evolves, storage innovations could reduce costs. However, Schrag and Shafiee warn that hydrogen’s storage and distribution are already well-developed technologies with little room for the kinds of efficiency improvements seen in renewable energy technologies like solar and wind. The paper suggests that green hydrogen’s potential role in decarbonization has been overestimated, a stance that might face pushback from industries and governments heavily invested in hydrogen
Additionally, some argue that innovation and investment in hydrogen infrastructure could unlock cost savings, as seen with the rapid advancements in renewable energy. However, the Harvard team emphasizes the need for broader strategies that don’t rely solely on hydrogen to decarbonize sectors like heavy industry and transport
Positive Aspects and Future Outlook
Despite these cost challenges, green hydrogen still holds promise, especially for sectors that are hard to decarbonize through electrification, such as heavy transportation and steel production. Its ability to store excess renewable energy, potentially acting as a backup during periods of low renewable output, makes it a valuable player in the future energy landscape.
Innovations in hydrogen storage and distribution technologies could reduce costs over time, but until that happens, green hydrogen’s large-scale viability is in question. The authors of the study recommend continued investment in a variety of renewable technologies rather than focusing solely on green hydrogen
Suggested Links for Further Exploration:
- Green Hydrogen and its Role in Decarbonization
- Harvard’s Full Study on Green Hydrogen Costs
- How Green Hydrogen Compares to Other Carbon-Reduction Technologies
In conclusion, while green hydrogen is an exciting prospect in the battle against climate change, its current economic barriers mean it may not be the universal solution many have hoped for. Diversifying investment in a range of technologies will be key to building a sustainable, low-carbon future.