How Abu Dhabi’s Low-Carbon Policy Drives UAE’s National Hydrogen Strategy

The U.S. Department of Energy’s hydrogen policy and regulatory framework aims to clearly define the policies, regulations, standards, and certifications for the emerging hydrogen industry to make it globally competitive. Due to the nature of the industry, its wide range of target markets, emerging industrial forms and functions, growing characteristics of demand, and a deep technological component, policy and regulatory frameworks are critical to ensure sustainable development and position Abu Dhabi as a global leader important. Production and use of hydrogen worldwide. The U.S. Department of Energy is expected to report results on the policy and regulatory framework by the end of 2022.

Britain. Ahmed Mohammed Belajer Al Rumaithi, Deputy Minister of Energy, Abu Dhabi, said: “A vibrant low-carbon hydrogen production and consumption sector will put Abu Dhabi and the UAE at the forefront of global green energy producers. By 2030, it has the potential to transform Abu Dhabi’s low carbon hydrogen production increases to more than 1 million tonnes per year. Locally produced hydrogen will be a driver of innovation and economic diversification to achieve economic decarbonisation in line with the UAE’s National Energy 2050 strategy, net Zero commitment and improved energy security and support the emirate’s economic, environmental and social sustainability requirements.”

“For Abu Dhabi, with its abundant solar resources, this is an opportunity to contribute to meeting global demand, which will create new local industries and jobs, provide growth for existing companies, develop new ones skills mix and promote more research. It will also stimulate more foreign direct investment in the energy sector.”

Climate change and the need for a decarbonized economy around the world are driving the pursuit of low-carbon hydrogen technologies as a fuel source.

Hydrogen is the world’s thirst for the energy of the future, the Hydrogen Council reported in 2021. More than 30 countries have published hydrogen roadmaps, and the industry has announced more than 200 hydrogen projects and ambitious investment plans. Total investment in hydrogen spending could exceed $300 billion by 2030, equivalent to 1.4% of global energy funding.

Given the early stages of the industry, technical issues need to be addressed, and efforts and investments dedicated to reducing costs are required. Additionally, hydrogen operations require standards, regulations and certifications. International organisations such as the European Commission regulate the use of green hydrogen and its production standards to ensure the use of clean fuel sources. Countries are also piloting projects to produce green hydrogen and use it in driving vehicles.

According to the Hydrogen Council, worldwide hydrogen production has reached 70 million tons per year, but 96 percent of that is gray hydrogen, produced by steam reforming of methane, which costs about $1 per kilogram. Blue hydrogen relies on carbon capture and storage technology to eliminate emissions of grey hydrogen, at a cost of about $2 per kilogram. Green hydrogen produced from electrolyzers generated from renewable electricity costs at least $4 per kilogram. Finally, there’s pink hydrogen, which is a branch of nuclear energy.

In Abu Dhabi, hydrogen is being produced as a feedstock for ammonia and industrial processes. However, this is mainly grey hydrogen, whose production is dependent on natural gas. ADNOC has announced plans to increase its carbon capture capacity fivefold from 800,000 tonnes to 5 million tonnes by 2030. This would make Abu Dhabi one of the lowest-cost and largest producers of blue hydrogen in the world.

Abu Dhabi is rich in land, water and solar power, and is committed to becoming a global supplier of green hydrogen. The DOE’s policy and regulatory framework addresses how Abu Dhabi will produce green hydrogen on a large scale. Many sectors, government departments, ministries and international agencies are stakeholders related to hydrogen production and adoption.

As a low-carbon hydrogen production base, Abu Dhabi has a unique competitive advantage with large reserves of natural gas and sunlight. Other advantages include its industrial capabilities across the energy value chain, advanced infrastructure, extensive experience in exporting flammable materials, a central location between large demand markets, as well as strong financing capabilities and a favorable regulatory framework for foreign investment.

Al Rumaithi said: “The UAE announced its high-level hydrogen roadmap at COP26 in Glasgow, and the US Department of Energy is working closely with all stakeholders to leverage our resources and capabilities to position our country as a world-leading low-carbon hydrogen hub, A key trading partner and supplier of low-carbon hydrogen. The key strategic approaches identified in the framework include global collaboration in research and innovation, and we are open to international partnerships to further build and enhance our regulatory and policy-making capabilities, To drive the transition to low-carbon hydrogen energy. We are exploring opportunities to exchange next-generation hydrogen technologies with international suppliers and research institutes.”

DOE has engaged with various entities and government agencies in this critical area of ​​Abu Dhabi development. All parties participate regularly through workshops, meetings, document sharing and consultations.