Renewable Hydrogen & Electrification

Reaching climate-neutrality will require decarbonising a number of sectors that today rely on fossil fuels: the transport sector, which vastly still relies on oil byproducts; the low-temperature heating sector in buildings (in 2021, 39% of European households were still using gas boilers); the high-temperature heating sector in industry which still relies on coal, natural gas or fossil-based hydrogen; or the industrial sector which still relies on fossil-based hydrogen used as a feedstock in chemical processes.

Renewable-based electrification refers to the replacement of fossil fuel technologies with technologies that use renewable electricity as a source of energy. In a large amount of sectors, electrification is the most efficient way is to decarbonise. In the transport sector, electric engines offer high efficiency and are becoming more affordable thanks to the declining price of batteries. In the heating sector, electric heating solutions such as heat pumps are increasingly providing an alternative to conventional oil and gas boilers.

The deployment of these solutions together with renewables, especially distributed renewables, will be critical to ensure the decarbonisation of the sectors along the full value chain and their integration in the grid. SolarPower Europe, along with our partners, advocates for smart and renewable-based electrification, by mobilising the electricity industry in our Electrification Alliance and by joining the Platform for Electromobility.

In some sectors referred to as “hard-to-abate”, electrification is, for the moment, not technically possible or not cost-efficient – such as some maritime or aviation transport. Hydrogen, as well as its by-products called “e-fuels”, could represent an alternative. Yet, the vast majority of hydrogen production is based on fossil energy – coal or natural gas. This is what we refer to as “grey” hydrogen. A number of chemical industries already rely on this “grey” hydrogen for their industrial processes, and therefore need an alternative hydrogen produced in a less polluting way.

Renewable electrolytic hydrogen offers a solution. Electrolytic hydrogen refers to a new production technique using electrolysis, i.e. producing hydrogen from water and electricity. In order for this hydrogen to be called ‘renewable’, the electricity used for this process must come from renewable energy sources.

This is where solar energy comes into play: solar is already the most cost-efficient way to obtain electricity. The work of SolarPower Europe is thus oriented towards promoting vast deployment and commercialisation of renewable hydrogen, translating industries’ needs into policy messages for the EU institutions. This includes supporting the needs of end-users of renewable hydrogen in order to increase demand, and ensuring that clear and sound regulatory frameworks are established in order to allow the sector to develop.

Our work is also focused on ensuring fluent and constant communication with stakeholders and other institutions, which is why SolarPower Europe is involved in several policy initiatives like the Renewable Hydrogen Coalition and the European Clean Hydrogen Alliance. All of these efforts are directed to a successful deployment and commercialisation of renewable hydrogen, for which an ever-growing solar capacity is fundamental.