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The Future of Hydrogen Chapter 5: Opportunities for hydrogen in transport, buildings and power back-up power is also growing, for example in California, reflecting the importance of uninterrupted power for data centres, banks, hospitals and similar organisations. This provides another potential route for fuel cells to scale up, in particular SOFCs. They can be manufactured with electronics industry techniques, and installed quickly and on a modular basis in densely populated areas. They run quietly without NOx emissions and provide resilience against power grid outages by using the natural gas grid, thus avoiding the need for on-site fuel storage. The modular nature of fuel cells means that they lend themselves to real-time monitoring and servicing of components without downtime, which fits well with the trend towards more digitalisation in operations and branding. To reduce emissions they could switch to be run on hydrogen in the future or fitted with CO2 capture if a system for collecting the CO2 were available, for example for geological storage. Sources: E4Tech (2018), The Fuel Cell Industry Review; Lele (2019), “Hydrogen and fuel cells at Reliance Industries Limited”; Ammonia Energy (2018), “GenCell launches commercial alkaline fuel cell using cracked ammonia fuel”. Potential for future hydrogen demand in the power sector Hydrogen and hydrogen-based fuels such as ammonia and synthetic natural gas can be fuels for power generation. Ammonia can be co-fired in coal-fired power plants to reduce coal usage and reduce the carbon footprint of these plants; if low carbon, it would also reduce overall emissions. Hydrogen and ammonia can also be used as fuels in gas turbines, CCGTs or fuel cells, thus providing a flexible and potentially low-carbon generation option. Hydrogen- based fuels are also options for large-scale and long-term energy storage to balance seasonal variations in electricity demand or variable renewable power generation. Co-firing of ammonia in coal power plants In 2017 the Japanese Chugoku Electric Power Corporation successfully demonstrated the co- firing of ammonia and coal, with a 1% share of ammonia (in terms of total energy content) at one of their commercial coal power stations (120 MW) (Muraki, 2018). Using ammonia as fuel raises concerns about an increase in NOx emissions, but the demonstration managed to keep them within the usual limits and to avoid any ammonia slip into exhaust gas. Higher blending shares of up to 20% ammonia in energy terms might be feasible with only minor adjustments to a coal power plant. In smaller furnaces with a capacity of 10 MW thermal, blending shares of 20% ammonia have been achieved without problems, and in particular without any slippage of ammonia into exhaust gas. The economics of substituting coal with ammonia depend on the availability of low-cost ammonia (Chapter 2), but ammonia could help to reduce emissions if produced from low- carbon hydrogen. By 2030 around 1 250 GW of coal power plants worldwide that are currently in operation or under construction could not only still be in service, but could also still have a remaining lifetime of at least 20 years. Co-firing with a 20% share of ammonia could reduce the 6GtCO2/yr annual emissions of these coal plants by 1.2GtCO2, provided that the ammonia was produced from low-carbon hydrogen. Reaching a 20% blending share would result in an annual ammonia demand of 670Mt, more than three times today’s global ammonia production, which in turn would require 120 MtH2. PAGE | 155 IEA. All rights reserved.PDF Image | The Future of Hydrogen 2019
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