The Middle East Is Looking To Dominate The Green Hydrogen Market

By Felicity Bradstock - Mar 16, 2023

• Several countries in the Middle East are investing heavily in renewable energy alternatives, with plans to achieve a 25 percent share of the global low-carbon hydrogen market by 2030.
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• The region's renewable energy capacity is expected to double again by 2024, with solar power set to account for around 15 percent of the region's power mix by the end of the decade.
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• Saudi Arabia aims to become the world's cheapest green hydrogen producer at $1 per kg and private companies are looking for a piece of the action with 46 viable projects worth $92 billion.

While many countries across the Middle East are continuing to pursue oil and gas agendas, responding to the strong global demand for fossil fuels, several countries across the region are also investing heavily in renewable alternatives. For many countries, such as Saudi Arabia and the UAE, oil and gas continue to provide the revenues to support a strong economy and contribute to their national funds to ensure their wealth for the future. However, leaders across the region are aware that oil and gas will not be the main economic drivers forever, and many are now attempting to diversify their economies and expand their non-oil sectors. With extensive experience in energy, the Middle East is seen as the perfect location to develop green energy operations, from green hydrogen to wind and solar power, ensuring the future of the region’s energy security as well as its position on the energy stage of the future. 

Like many other countries worldwide, several Middle Eastern states have announced ambitious decarbonisation plans in line with Paris Agreement targets. Based on a 2019 assessment, the Middle Eastern renewable energy market is expected to achieve a CAGR of 13.43 percent between 2019 and 2028, a figure that will likely be much higher following the acceleration of several green energy projects in response to the COP climate summits. 

Despite plans to boost oil and gas production in line with global demand, many countries across the region have big plans for green alternatives. The Middle East’s renewable energy capacity doubled to 40GW between 2010 and 2020 and is set to double again by 2024. With high solar irradiation across the region, the Middle East will roll out several solar farms in the coming years. The energy source is expected to account for around 15 percent of the region’s power mix by the end of the decade. 

The Middle East is also looking to beat its main competitors – Europe and Asia, to dominate the green hydrogen market. In 2021, the UAE announced several new projects. France’s Engie and Abu Dhabi-based renewable energy business Masdar stated they would be investing $5 billion in the country’s green hydrogen industry, aiming for an electrolyser capacity of 2 gigawatts by 2030. And Dubai launched the region’s ‘first industrial scale’ green hydrogen plant. The UAE has stated it plans to achieve a 25 percent share of the global low-carbon hydrogen market by 2030. Meanwhile, Saudi Arabia announced a $7-billion agreement to produce green hydrogen in Oman’s Salalah free zone with ACWA Power and Omanoil and Air Products. Oman also announced it hoped to establish a hydrogen-centric economy by 2040, with 30GW of green and blue hydrogen. 

And since 2021, the region’s green hydrogen market has expanded significantly. Thanks to major investments in research and development, Saudi Arabia has been able to drive down the costs of green hydrogen production to make it more attractive. The state is now aiming to achieve $1 per kg to make it the cheapest green hydrogen producer in the world. And several private companies are looking for a piece of the action, with Siemens identifying 46 viable green hydrogen projects in the region with a combined value of $92 billion. Both the UAE and Oman were identified as showing major investment potential, as well as Saudi Arabia. 

And the clean energy plans don’t stop at green hydrogen, as the UAE aims to increase the contribution of renewable energy to its total energy mix to 75 percent by 2050. In Abu Dhabi, the Al Dhafra Solar Project is expected to come online ahead of COP28. The solar farm will have a 2GW capacity and provide enough electricity for 160,000 households. State-owned Emirati companies TAQA and Masdar own 60 percent of the project, with the remainder owned by a consortium of EDF Renewables and China's Jinko Power Technology. The companies hope to create 4,000 jobs through the project. This will be supported by other major solar projects including the $3.9-billion 950-MW Noor Energy 1 farm and the country’s first wind farm – the Hatta Wind Power Project, both in Dubai.

Saudi Arabia also aims to generate 50 percent of its energy from green sources by 2030. This will be driven by the acceleration of solar energy projects across the country, such as the 1,500-MW Sudair Solar Power Plant in Riyadh and the Manah I & II solar power facilities in Manah. Investment in carbon capture and storage (CCS) technologies will also help Saudi Arabia decarbonise its oil and gas operations. And perhaps most ambitious of all, Saudi is aiming to construct a futuristic gigacity called NEOM. The Kingdom aims to spend $80 billion on the development of the megaproject in the northwest of the country, to create a city that will span the size of Belgium. The aim is to create a futuristic space with no cars, roads, or greenhouse gas emissions that will be powered by 100 percent renewable energy, with 95 percent of the land being preserved for nature. Construction on the city has already begun, although experts have doubts over whether the project is achievable. 

The Middle East is set to become an energy powerhouse thanks to the ongoing dedication to its long-established oil and gas industry as well as major investments in the future of the region’s renewables. Saudi Arabia and the UAE will likely be at the forefront of the region’s green energy revolution, with massive plans for green hydrogen, as well as solar and wind energy and other innovative green technologies.  

By Felicity Bradstock for Oilprice.com 

Proving That Magnesium Can Beat Out Lithium-ion Batteries

By Brian Westenhaus - Mar 16, 2023

• Tokyo University of Science is researching magnesium as a potential energy carrier to replace expensive and unsafe lithium-ion batteries.
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• The research team focused on a novel cathode material with a spinel structure, which exhibited high theoretical capacity.
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• Through various characterization and electrochemical performance experiments, they have found specific compositions that could open doors to high-performance magnesium rechargeable batteries.

Tokyo University of Science is researching magnesium as a promising candidate for an energy carrier in next-generation batteries. For now the cycling performance and capacity of magnesium batteries need to improve if they are to replace lithium-ion batteries.

The TUS research team focused on a novel cathode material with a spinel structure. Following extensive characterization and electrochemical performance experiments, they have found a specific composition that could open doors to high-performance magnesium rechargeable batteries.

The team believes they have now found the right track to success as reported and published in the Journal of Electroanalytical Chemistry.

 Currently lithium-ion batteries have remained unrivaled in terms of overall performance for several applications, as evidenced by their widespread use in everything from portable electronics to cellular phone base stations. However, they suffer from a few important disadvantages that are difficult to ignore.

For one, lithium is rather expensive, and the fact that it is being mined at an extreme pace does not help. Moreover, the energy density of lithium-ion batteries is not enough to grant autonomy to electric vehicles and heavy machinery. These concerns, coupled with the fact that the batteries are highly unsafe when punctured or at high temperatures, have caused scientists to look for alternative technologies.

Looking at another chemistry

Among the various elements being tested as efficient energy carriers for rechargeable batteries, magnesium (Mg) is a promising candidate. Apart from its safety and abundance, Mg has the potential to realize higher battery capacities. However, some problems need to be solved first. These include the low voltage window that Mg ions provide, as well as the unreliable cycling performance observed in Mg battery materials.

To tackle these issues, a research team led by Vice President and Professor Yasushi Idemoto from Tokyo University of Science, Japan has been on the lookout for new cathode materials for Mg batteries. In particular, they have been searching for ways to improve the performance of cathode materials based on the MgV (V: vanadium) system.

The researchers focused on the Mg1.33V1.67O4 system but substituted some amount of vanadium with manganese (Mn), obtaining materials with the formula Mg1.33V1.67−xMnxO4, where x goes from 0.1 to 0.4. While this system offered high theoretical capacity, more details about its structure, cyclability, and cathode performance needed to be analyzed to understand its practical utility. Accordingly, the researchers characterized the synthesized cathode materials using a wide variety of standard techniques.

First, they studied the composition, crystal structure, electron distribution, and particle morphologies of Mg1.33V1.67−xMnxO4 compounds using X-ray diffraction and absorption, as well as transmission electron microscopy. The analyses showed that Mg1.33V1.67−xMnxO4 has a spinel structure with a remarkably uniform composition.

Next, the researchers conducted a series of electrochemical measurements to evaluate the battery performance of Mg1.33V1.67−xMnxO4, using different electrolytes and testing the resulting charge/discharge properties at various temperatures.

The team observed a high discharge capacity for these cathode materials – especially Mg1.33V1.57Mn0.1O4 – but it also varied significantly depending on the cycle number. To understand why, they analyzed the local structure near the vanadium atoms in the material.

Prof. Idemoto explained, “It appears that the particularly stable crystal structure along with a large amount of charge compensation by vanadium leads to the superior charge-discharge properties we observed for Mg1.33V1.57Mn0.1O4, Taken together, our results indicate that Mg1.33V1.57Mn0.1O4 could be a good candidate cathode material for magnesium rechargeable batteries.”

Satisfied with the present findings and hopeful about what is to come, Prof. Idemoto concluded, “Through future research and development, magnesium batteries could surpass lithium-ion batteries thanks to the former’s higher energy density.”

Indeed, substituted MgV systems could eventually lead to the much awaited next-generation batteries. Let us hope the highly anticipated alternative to lithium for our rechargeable battery needs will be realized soon.

***

As the political pressure to electrify continues to increase the battery demand is sure to increase as well. Lithium, already quite up in price and processed in countries less than friendly to the free world, needs capable competition.

There are several chemistries in research now. Before too very long one or more is going to offer capable and competent competition. Just how much less consumer cost and performance is yet to be seen. The lower cost break will need to be fairly substantial, as the capital commitment to a competitive chemistry will be high.

For now as Prof. Idemoto noted, there is still research to do.

In larger capacity installations magnesium attributes might be quite a driver. Lower cost, more capacity and safer might just start a market rush.

Now if the grid could be made capable of getting everything charged up – deep electrification might be possible.

By Brian Westenhaus via New Energy and Fuel

Coal Is Still King In Asia, But Renewables Are On The Rise

By ZeroHedge - Mar 17, 2023

• Asia is predicted to account for 50% of global electricity consumption by 2025.
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• Coal currently makes up more than half of the continent’s electricity generation, with no Asian countries relying primarily on wind, solar, or nuclear energy yet.
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• China and India are both making big strides in clean energy infrastructure, with plans to increase nuclear capacity and solar capacity respectively.

The International Energy Agency (IEA) predicts that Asia will account for half of the world’s electricity consumption by 2025, with one-third of global electricity being consumed in China.

To explore how this growing electricity demand is currently being met, Visual Capitalist's Sam Parker and Selin O?uz created the graphic below, mapping out Asia’s main sources of electricity by country, using data from the BP Statistical Review of World Energy and the IEA.

A Coal-Heavy Electricity Mix

Although clean energy has been picking up pace in Asia, coal currently makes up more than half of the continent’s electricity generation.

No Asian countries rely on wind, solar, or nuclear energy as their primary source of electricity, despite the combined share of these sources doubling over the last decade.

The above comparison shows that the slight drops in the continent’s reliance on coal, natural gas, and oil in the last decade have been absorbed by wind, solar, and hydropower. The vast growth in total electricity generated, however, means that a lot more fossil fuels are being burned now (in absolute terms) than at the start of the last decade, despite their shares dropping.

Following coal, natural gas comes in second place as Asia’s most used electricity source, with most of this demand coming from the Middle East and Russia.

Zooming in: China’s Big Electricity Demand

While China accounted for just 5% of global electricity demand in 1990, it is en route to account for 33% by 2025. The country is already the largest electricity producer in the world by far, annually generating nearly double the electricity produced by the second largest electricity producer in the world, the United States.

With such a large demand, the current source of China’s electricity is worthy of consideration, as are its plans for its future electricity mix.

Currently, China is one of the 14 Asian countries that rely on coal as its primary source of electricity. In 2021, the country drew 62% of its electricity from coal, a total of 5,339 TWh of energy. To put that into perspective, this is approximately three times all of the electricity generated in India in the same year.

Following coal, the remainder of China’s electricity mix is as follows.

Despite already growing by 1.5x in the last decade, China’s demand for electricity is still growing. Recent developments in the country’s clean energy infrastructure point to most of this growth being met by renewables.

China does also have ambitious plans in place for its clean energy transition beyond the next few years. These include increasing its solar capacity by 667% between 2025 and 2060, as well as having wind as its primary source of electricity by 2060.

Asia’s Road to Clean Energy

According to the IEA, the world reached a new all-time high in power generation-related emissions in 2022, primarily as a result of the growth in fossil-fuel-generated electricity in the Asia Pacific.

With that said, these emissions are set to plateau by 2025, with a lot of the global growth in renewables and nuclear power being seen in Asia.

Currently, nuclear power is of particular interest in the continent, especially with 2022’s energy crisis highlighting the need for energy independence and security. India, for instance, is set to have an 80% growth in its nuclear electricity generation in the next two years, with Japan, South Korea, and China following suit in increasing their nuclear capacity.

The road ahead also hints at other interesting insights, specifically when it comes to hydropower in Asia. With heatwaves and droughts becoming more and more commonplace as a result of climate change, the continent may be poised to learn some lessons from Europe’s record-low hydropower generation in 2022, diverting its time and resources to other forms of clean energy, like wind and solar.

Whatever the future holds, one thing is clear: with ambitious plans already underway, Asia’s electricity mix may look significantly different within the next few decades.

By Zerohedge.com

Residential Heat Pumps Could Cut U.S. Energy Consumption In Half

By Haley Zaremba - Mar 17, 2023

• Heat pumps are an effective way to reduce energy consumption and greenhouse gas emissions.
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• Heat pumps can source two thirds of their energy from the environment, requiring only one third from electricity.
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• Installing heat pumps in residential and commercial buildings has the potential to cut US energy consumption in half.

In November of last year, some of the greatest minds and biggest influencers in the global energy sector gathered in Sharm el Sheikh, Egypt for the 27th annual Conference of the Parties (COP27) to discuss climate change. The two week conference was crowded with lofty goals, emerging technologies, and innovative approaches, but one of the most effective strategies for reducing global greenhouse gas emissions was ignored almost entirely: energy efficiency. 

As the World Economic Forum wrote in a report from the sidelines of COP27, “the greenest energy is the energy we don’t use.” But in another sense, the energy that we don’t use is actually one of the biggest problems of the day in the energy sector. Fossil fuel production is responsible for a massive amount of ‘rejected energy,’ which is “wasted primary energy, or energy which serves no useful purpose in our society or economy,” according to a definition from CleanTechnica. “Virtually all of the rejected energy is waste heat from burning fossil fuels. A tiny fraction is transmission losses for electricity.”

Eliminating or minimizing energy waste is therefore an essential component of energy efficiency, and, in turn, an essential component of meeting global climate goals. One promising avenue for increasing energy efficiency, which is increasingly gaining traction in scientific and political spheres, is through the use of heat pumps. 

In terms of residential energy use, which represents approximately 12% of United States energy consumption (as per the Lawrence Livermore National Library (LLNL) figure provided above), the lion’s share goes to heating and cooling. Together, these two uses account for 55% of domestic energy demand, according to the Energy Information Agency (EIA). Heating, in particular, is the biggest source of energy rejection, primarily through waste heat. This is where heat pumps come in. 

Heat pumps are simple, effective, and relatively easy and cheap to install. More importantly, they’re extremely energy efficient, sourcing about two thirds of their energy from the surrounding environment and just one third from electricity. They work by digging just 10 feet under the surface of the Earth – often under your driveway or in your backyard – where the ambient temperature is more or less constant year-round and can be used to heat or cool air, or to make hot water, thereby providing a highly efficient, low-emissions component of your home’s cooling and heating system.

Heat pumps could also be used in commercial buildings, greatly reducing that sector’s approximately 9% share of total U.S. energy consumption. Applying heat pumps in industrial buildings, however, is a bit trickier. “A lot of industrial heat is above 200° Celsius, the current reasonable limit for industrial heat pumps, and well above the 100° limit for current mature heat pump technologies,” explained a recent article from CleanTechnica. So heat pumps don’t provide a silver bullet solution for all of our heating and cooling needs, but they could go a long way toward reducing energy demand.

According to calculations from that CleanTechnica article, with strategic installation of heat pumps, the United States energy requirements could be cut in half. “Instead of having to replace all energy services, we only have to replace the portion of heat we can’t get from the environment for free,” the article argues. “Our economies [would] have enormous room to grow useful outputs without increasing energy services at all.” This would take massive pressure off of the government and public alike to fund a massive expansion of clean energy which, in many ways, we aren’t structurally and systemically ready for. 

Already, there is a lot of chatter about energy pumps. In the United States, the Biden administration’s landmark Inflation Reduction Act has earmarked $500 million in tax breaks for U.S. residents who install heat pumps in their houses. Tesla, often an industry trendsetter, has talked about getting into the heating up heat pump market. In Europe, annual sales of heat pumps have gone through the roof since the start of the energy crisis spurred by the Russian invasion of Ukraine. According to some figures, heat pumps have already prevented 8 million tonnes of carbon dioxide emissions in Europe. All of this is a promising development, but the kind of climate-saving heat pump revolution described by CleanTechnica is going to require a takeover of epic proportions that we have yet to see. 

By Haley Zaremba for Oilprice.com