Toward Hydrogen Summary and Outcome IEA Workshop, Paris, 3 March 2003 A Renewed Interest in Hydrogen

Recently, top-level decision-makers in OECD Member countries have pointed to hydrogen and fuel cells as key technologies to contribute to energy supply security and environmental protection in the mid-long term. Actions and investments are backing up these statements. The EU has announced a long-term,   2 billion programme on hydrogen and renewable technologies and the US a five-year $ 1.7 billion programme on hydrogen, fuel cells and related infrastructures. The Japanese R&D budget for fuel cells and hydrogen has tripled since 1995, reaching $ 200 million per year in 2002. Other OECD and non-OECD countries (Canada, Italy, UK, China) either have R&D programmes in place, or are expanding their investments; small countries (Iceland and Singapore) are already committed to introducing hydrogen and fuel cells in their electricity and end-use sectors. This emphasis is echoed in the private sector, where investments in hydrogen technology have grown considerably over recent years, leading to technology development and demonstration projects for stationary and mobile fuel cells, as well as for hydrogen fuelling facilities for fuel-cell-powered vehicles.

In the context of a more robust energy system, the economic dimension of a possible transition to a hydrogen-fuelled society in the mid-long term -- the so-called hydrogen economy -- calls for careful consideration from the point of view of energy policy, infrastructure economic implications, opportunities and obstacles for technology development and deployment.

IEA Collaboration on Hydrogen Technology

Several IEA Implementing Agreements (international collaboration agreements) have been working on hydrogen-related matters over the past two decades. A leading role is played by the Implementing Agreements on Hydrogen and Advanced Fuel Cells, while other Implementing Agreements (Advanced Motor Fuels, Advanced Materials for Transportation, BioEnergy, and the Greenhouse Gases R&D Program) provide contributions on specific topics. The hydrogen-related activities of these technology collaboration programs can be accessed by clicking on the name of the Implementing Agreement.

The IEA Seminar "Toward Hydrogen"

In response to the increased interest in hydrogen, the IEA Renewable Energy Working Party organised the workshop "Toward Hydrogen" in Paris on 3 March 2003. This was a first step to assess hydrogen prospects in the light of new, emerging technologies, and to identify R&D priorities to create a hydrogen infrastructure. Representatives from relevant organisations in Member countries, private companies, academia, Implementing Agreements, and other IEA bodies were invited to Paris to discuss and compare views and programmes.

Welcoming participants, IEA Executive Director Claude Mandil recalled the current high political interest and the strong commitment to hydrogen in Member countries. Mr. Mandil also pointed out the considerable technical and policy challenges associated with a possible hydrogen economy. He said that hydrogen is a cross-cutting technology with issues that touch on fossil fuels and CO2 sequestration, nuclear and renewable energy, as well as transportation, storage, and a number of end-use technologies. It should be seen in the broader context of the global energy system and future energy-mix options. The IEA is in the right position to forward a well-balanced message to Member countries and can play a stronger role in support of Member countries' interests.

US Energy Secretary Spencer Abraham addressed participants via a videotaped message. He emphasised the importance the United States attaches to hydrogen and fuel cells, and spoke of President Bush's plan to transform the nation's energy future from petroleum to hydrogen. Under current plans, commercialisation of hydrogen and hydrogen-powered vehicles in the US could start as early as 2015, achieving significant market penetration by 2020, with considerable benefits in terms of lower dependence on foreign oil and reduced harmful emissions. While the US is taking strong steps in hydrogen R&D, he recognised that development of a hydrogen economy is a truly international endeavour and he invited IEA Member countries to work closely together to speed up the arrival of such an energy future.

The Seminar provided valuable insight into National Visions and R&D Programmes on hydrogen (US, Germany, Iceland, Japan, Italy, and EU). Specific sessions featured discussion of key technology/policy issues for Production, (from Fossil Fuels, Bio-energy, Renewable and Nuclear sources), and Infrastructures and End-Use (Storage and Distribution, Transportation, Fuel Cells & ICEs). A further session was devoted to Cutting-Edge Technologies (Nano-Technology, Conversion Technologies) which could lead to dramatic improvements that accelerate the transition to hydrogen. Issues relating to International Co-operation and Policy were discussed in the last session (US-EU Bilateral Co-operation, IEA Hydrogen Implementing Agreement, WE-NET) and a White Paper on a Hydrogen Action Plan was presented.

The Seminar's outcomes reflected a consensus on hydrogen's potential in relation to energy security and environmental benefits. If hydrogen can be produced and used at reasonable cost, a hydrogen economy might offer considerable advantages over the existing energy system in terms of supply diversification and reduction of greenhouse gas emissions. In principle, hydrogen can be derived from fossil, nuclear and renewable energy sources. A first transition phase to hydrogen could stem from fossil-fuels-derived hydrogen, if large-scale CO2 sequestration and storage is proved to be feasible. Hydrogen could also be produced by nuclear reactors, provided that concerns about nuclear wastes and social acceptance are addressed. Cost-effective production from renewable energy is also an option to be developed, and near-term applications may be envisaged for distributed power generation. Hydrogen-fuelled end-use technologies (fuel cells, combustion engines) promise to be efficient and safe for both the environment and public health. According to some views, hydrogen-powered vehicles could enter the market in a time horizon of about two decades, provided that distribution infrastructures are developed and deployed. A significant fraction of current efforts focus on fostering such a deployment start-up, since practical realities and economic implications need to be carefully assessed before the hydrogen economy can be viewed as a feasible outcome. Policy measures are required to ensure that early marketable technologies do not lock out development of subsequent, more socially beneficial technologies.

The closing session identified the need for countries to work together in a collaborative fashion, with a focus on pre-competitive R&D. Attendees shared the view that IEA should increase its emphasis on co-ordinating and supporting future energy technology and infrastructure research, policy and analytical efforts.

In summary, considerable R&D effort and investment are required to make available low-cost hydrogen production, storage and end-use technologies; and huge investments in infrastructures are needed to make hydrogen a major energy carrier. While hydrogen shows great potential, its commercialisation will require time, investments and improved co-ordination of international R&D efforts, as well as appropriate governmental and industrial energy policies.

An outcome of the Seminar was the establishing of a Hydrogen Co-ordination Group that will meet to discuss the role of the IEA in supporting the interests of Member countries and make recommendations for specific activities in that regard.