Nearly 200 governments have pledged to join a global effort to accelerate the scale-up of low-carbon hydrogen production as part of a green technology push aimed at achieving net zero by 2050, according to the final deal struck at the COP28 climate summit in Dubai.

The agreement, which calls for a transition away from fossil fuels, also seeks a tripling of global renewable energy capacity, accelerated deployment of CCUS, and greater efforts to use zero- and low-carbon fuels.

However, these ambitions must take into account countries’ different national circumstances, pathways and approaches.

The agreement notes “with significant concern” that global greenhouse gas emission trajectories are not yet in line with the temperature goal of the Paris Agreement. There is a “rapidly narrowing window for raising ambition and implementing existing commitments in order to achieve it”, the agreement warns.

“We needed a global green light signalling it is all systems go on renewables, climate justice, and resilience” Stiell, UN

“We needed a global green light signalling it is all systems go on renewables, climate justice, and resilience. On this front, COP28 delivered some genuine strides forward,” UN Climate Change Executive Secretary Simon Stiell told the summit’s closing session.

The COP28 deal’s acknowledgement of the role of hydrogen in reaching net zero builds on progress at COP27 in Egypt, which was seen by many as a breakthrough summit for the industry on the world climate stage.

Aside from the main agreement, tangible progress for the industry at COP28 came mainly in the form of pledges to work towards the creation of a globally traded market and standardisation.

More than 30 countries signed a declaration of intent aimed at promoting global trade through “mutual recognition and interoperability” of certification schemes for low-carbon hydrogen and derivatives such as green ammonia.

During the summit, industry associations the International Hydrogen Trade Forum and the Hydrogen Council signed a partnership agreement under which they pledged to  collaborate on analysis of cross-border trade corridors and to stage an annual round table for government ministers and CEOs, designed to better align the actions of the public and private sectors as the industry scales up.

In a further move aimed at greater standardisation across the industry, the International Organization for Standardization unveiled a new international technical specification as “a foundation for harmonisation, safety, interoperability and sustainability across the hydrogen value chain”.

Momentum

The growth of the global clean hydrogen sector has maintained momentum this year, despite macroeconomic headwinds, the Hydrogen Council said in analysis released as COP28 closed.

The number of announced projects grew by about 35%, to more than 1,400, from about 1,050 at the start of the year, according to analysis produced by the Hydrogen Council and consulting firm McKinsey.

Announced projects represent more than $570b of investment through 2030, it said. About 400MW of electrolyser capacity has been deployed in 2023, taking the global total to more than 1GW. Project announcements point to clean hydrogen supply globally of about 45mt/yr through 2030.

However, only 7% of investments in clean hydrogen overall have passed FID. “Making the globally announced 1,400+ clean hydrogen projects a reality with its associated 45mt/yr annual supply through 2030 will require ambitious concerted action by both private and public stakeholders,” said Yoshinori Kanehana, chairman of the board of Japan’s Kawasaki Heavy Industries and co-chair of the Hydrogen Council.

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Author: Stuart Penson