German industry gets help from the Emirates

Abu Dhabi The conversion to hydrogen-based production processes is taking concrete shape in Germany. The United Arab Emirates (UAE) are playing a pioneering role as hydrogen suppliers. Several German companies are starting test runs for the production and transport of hydrogen in the Emirates. On the occasion of the visit of Federal Minister of Economics Robert Habeck (Greens) to the Emirates, several cooperation agreements were signed on Monday.

Companies such as RWE, Steag, Uniper, Siemens Energy, Lufthansa and Hydrogenious will be there. The agreements affect the entire hydrogen value chain – from production to transport and use.

For example, Uniper and Hydrogenious, together with the Abu Dhabi National Oil Company (ADNOC), agreed on a project to set up a supply chain for green hydrogen from Abu Dhabi to Wilhelmshaven. It uses the LOHC technology that powers Hydrogenious. Hydrogen, which is difficult to transport in its pure form, is bound in an oil-like organic substance and transported to Germany in tankers. Initially, blue hydrogen will be used, later green hydrogen will be used.

Blue hydrogen is produced conventionally using natural gas. This releases carbon dioxide. The climate-damaging gas is separated and stored underground. Green hydrogen, on the other hand, is produced by electrolysis using electricity from renewable sources. Green hydrogen is climate-neutral from the outset.

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For future deliveries of hydrogen and its derivatives, such as ammonia, ADNOC has also agreed purchase agreements for the first test deliveries of blue ammonia, produced on the basis of blue hydrogen, to Germany.

Customers are the copper manufacturer Aurubis and the energy companies RWE and Steag. Hamburger Hafen & Logistik AG (HHLA) is also involved in the project.

It’s still relatively small amounts

The projects that are now becoming concrete in the United Arab Emirates also include a project by Siemens Energy and Lufthansa, which want to produce synthetic kerosene on the basis of hydrogen together with partners from the UAE. The project, called “Green Falcon”, starts with a pilot plant that will have an electrolysis capacity of 20 megawatts (MW) and can later be expanded. Germany and the UAE have pledged their joint support for the project.

It is still about relatively small amounts of hydrogen, which only represent a first step on the way to decarbonizing industrial processes. For the companies, this is a kind of practical test. “We have to test the entire process and gain experience before we can use hydrogen on a large scale,” says one of the participants.

Hydrogen is an essential building block for many industrial sectors on the way to climate neutrality. It can replace natural gas, coke or oil. It thus enables the steel, chemical and cement industries to produce in a climate-neutral manner. At the same time, it reduces dependence on fossil fuels.

Minister Habeck emphasized this aspect during his visit to the United Arab Emirates: “The faster we are with hydrogen, the less gas we then need,” said the Green politician. “We have no time to lose,” he added. The development of a hydrogen economy could happen much faster than previously planned under the pressure of the current supply crisis, he said with a view to the consequences of the Russian attack on Ukraine. Habeck said he couldn’t predict the speed. “But now everyone can see that the old plans are not sufficient.”

>> Read here: Difficult decision: which unjust states should replace gas and oil from Russia?

Even in the new hydrogen world, Germany will be dependent on imports. There are individual forecasts according to which Germany could cover its future demand for green hydrogen from its own production; However, many experts assume that Germany can only produce 30 percent itself. The reason is the lack of land for electricity production from renewable energies. Green electricity is the most important production factor for green hydrogen.

Federal Minister of Economics Robert Habeck in the Emirates

Difficult mission: the Economics Minister is looking for alternative suppliers for oil and gas.

(Photo: dpa)

Sunny and windy regions of the world are potential future suppliers of green hydrogen. The Gulf region is also likely to play an important role in this. Not only the United Arab Emirates are pursuing ambitious goals for establishing hydrogen production. Saudi Arabia is also planning massive investments. Countries like Australia or Chile also have considerable potential. But European countries, such as Spain, also want to get into hydrogen production and build an export infrastructure.

Germany is trying to establish hydrogen partnerships with some countries. For this reason, the federal government set up the “H2 Global” project and endowed it with 900 million euros. H2 Global brings green hydrogen manufacturers together with customers from Germany. The cheapest supplier of hydrogen and the buyer willing to pay are brought together in an auction process. The traffic light coalition wants to further expand H2 Global.

More: Qatar instead of Russia – How Habeck is courting natural gas in the Gulf

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