Now we are talking about LNG, but due to price variation it might not be a great idea for RTC operation. Our CMD has initiated various discussions on fuel blending for KDPP and BDPP. The studies have proven that Waste Transformer Oil can be blended with Diesel for economic operation.
So, let’s talk a little bit about Hydrogen(H) fuel.
Hydrogen can be consumed through either direct combustion, electricity generation through fuel cells, or industrial processes to be used as chemical feedstock. Our interest is Electricity Generation.
Further, production of hydrogen through electrolysis of water can support widespread renewable electricity generation and can act as an energy storage mechanism. Moreover, decreasing costs of renewables will lead to a reduction in hydrogen production costs, making hydrogen more competitive.
A color-based convention is being used internationally to describe and differentiate hydrogen production methods:
1. Grey (or black): Gasification of coal or reforming of natural gas without carbon capture
2. Blue: Reforming of methane (SMR or ATR) with carbon capture and storage
3. Green: Electrolysis of water using renewable power
4. Pink (Red): Electrolysis of water using nuclear power
5. Turquoise: Pyrolysis of methane which produces hydrogen and solid carbon as a by-product
6. White: Gasification or other process using 100% biomass as a feedstock
Hydrogen, as an energy carrier, is becoming crucial for achieving decarbonization. India’s distinct advantage in low-cost renewable energy generation makes green hydrogen the most competitive form of hydrogen in the long run.
Green hydrogen is produced using electrolysis of water with electricity generated by renewable energy. The carbon intensity ultimately depends on the carbon neutrality of the source of electricity (i.e., the more renewable energy there is in the electricity fuel mix, the “greener” the hydrogen produced). Alkaline and polymer electrolyte membrane (PEM) electrolysers are two commercially available technologies for green hydrogen production today. Advanced electrolyser technologies like solid oxide and anion exchange membrane nearing commercial deployment as well.
Operation of a gas turbine on 100% hydrogen results in zero fuel-based CO2 emissions. There are also cases where H2 blending with natural gas is being considered to reduce CO2 emissions as a near-term alternative to operating on 100% natural gas. In these cases, the amount of CO2 reduction will be a function of the percentage of H2 in the fuel. The amount or percent H2 in the fuel can be measured on a volume, mass, or heat input basis. GE has proven combustion technology that can operate on blends of hydrogen and natural gas. So lets hope for a carbon neutral status for Kerala with the help of our Hydro Solar and Hydrogen plants.
PS: Mirai runs on hydrogen, and its only by-product is water. When you start the engine, hydrogen travels to the Fuel Cell Stack, where it combines with oxygen from the outside air to create electricity.
The Government of India have framed the policy on Green Hydrogen which provides the following:
1. Green Hydrogen / Green Ammonia shall be defined as Hydrogen / Ammonia produced by way of electrolysis of water using Renewable Energy; including Renewable Energy which has been banked and the Hydrogen/Ammonia produced from biomass.
2. The waiver of inter-state transmission charges shall be granted for a period of 25 years to the producer of Green Hydrogen and Green Ammonia from the projects commissioned before 30th June 2025.
3. Green Hydrogen / Green Ammonia can be manufactured by a developer by using Renewable Energy from a co-located Renewable Energy plant, or sourced from a remotely located Renewable Energy plants, whether set up by the same developer, or a third party or procured renewable energy from the Power Exchange. Green Hydrogen/Green Ammonia plants will be granted Open Access for sourcing of Renewable Energy within 15 days of receipt of application complete in all respects. The Open Access charges shall be in accordance with Rules as laid down.
4. Banking shall be permitted for a period of 30 days for Renewable Energy used for making Green Hydrogen / Green Ammonia.
5. The charges for banking shall be as fixed by the State Commission which shall not be more than the cost differential between the average tariff of renewable energy bought by the distribution licensee during the previous year and the average market clearing price (MCP) in the Day Ahead Market (DAM) during the month in which the Renewable Energy has been banked.
6. Connectivity, at the generation end and the Green Hydrogen / Green Ammonia manufacturing end, to the ISTS for Renewable Energy capacity set up for the purpose of manufacturing Green Hydrogen / Green Ammonia shall be granted on priority under the Electricity (Transmission system planning, development and recovery of Inter State Transmission charges) Rules 2021.
7. Land in Renewable Energy Parks can be allotted for the manufacture of Green Hydrogen / Green Ammonia.
8. The Government of India proposes to set up Manufacturing Zones. Green Hydrogen / Green Ammonia production plant can be set up in any of the Manufacturing Zones.
9. Manufacturers of Green Hydrogen / Green Ammonia shall be allowed to set up bunkers near Ports for storage of Green Ammonia for export / use by shipping. The land for the storage purpose shall be provided by the respective Port Authorities at applicable charges.
10. Renewable Energy consumed for the production of Green Hydrogen / Green Ammonia shall count towards RPO compliance of the consuming entity. The renewable energy consumed beyond obligation of the producer shall count towards RPO compliance of the DISCOM in whose area the project is located.
11. Distribution licensees may also procure and supply Renewable Energy to the manufacturers of Green Hydrogen / Green Ammonia in their States. In such cases, the Distribution licensee shall only charge the cost of procurement as well as the wheeling charges and a small margin as determined by the State Commission.
12. Ministry of New and Renewable Energy (MNRE) will establish a single portal for all statutory clearances and permissions required for manufacture, transportation, storage and distribution of Green Hydrogen / Green Ammonia. The concerned agencies/authorities will be requested to provide the clearances and permissions in a time-bound manner, preferably within a period of 30 days from the date of application.
13. In order to achieve competitive prices, MNRE may aggregate demand from different sectors and have consolidated bids conducted for procurement of Green Hydrogen/Green Ammonia through any of the designated implementing agencies