Getting Ready for the Future of Gas

Earth Day, April 22, 2016, marked a significant milestone. For the first time in history, 175 world leaders agreed to work for a common cause and signed the Paris Agreement to fight climate change together, charting a new course in the global environmental effort. Fast forward five years to where are we today, the 26^th United Nations Climate Change Conference (COP 26) recently took place in November, and what changes did it bring to the energy world? How did hydrogen come into play, and how will it shape what the gas industry looks like in the upcoming decades?

Responding to the Paris Agreement's ambitious target, the European Union (EU) proposed the new 2030 Climate Target Plan to reduce greenhouse gas (GHG) emissions by at least 55% by 2030, driving Europe on a path to becoming climate neutral by 2050.

While greenhouse gas emissions come from various sources, a significant portion directly derives from the extensive use of fossil fuels for electricity and heat. Recognized as a viable solution to bridge the gap between low emissions and the growing power demand, renewables such as wind or solar-generated energy come with weather-related unpredictability and the need for heavy investments in the electricity grid. Natural gas, with its existing distribution network and the help of technology, could play a critical role in pivoting to greener energy through Power-to-gas (P2G), transforming electricity from renewable sources into hydrogen for storage and use in industries, appliances and heating systems, potentially sparing part of the investments for adapting the electricity grid to the future requirements.

When the energy supply is larger than the grid capacity or the electricity demand, excess power is wasted. But through P2G methods, we have the ability to drive excess electricity through water (H2O), where the electrical current breaks the water molecules separating oxygen (O) and hydrogen (H2). The resulting hydrogen gas can then be stored for later use or sent directly into the gas network in various proportions.

Hydrogen could soon become key in greening initiatives:

It helps store energy from renewable sources.

Hydrogen can be stored using the existing natural gas infrastructure. It can either be sent as traditional gas or be converted back into electricity during peak hours as a backup system.

It helps 'sector coupling'.

Which means connecting electricity heat, and transportation. By utilizing existing infrastructures and the right synergies, sector coupling increases the whole system's economic benefits and sustainability.

It helps decarbonize the energy pipeline.

Adding hydrogen to natural gas reduces the amount of carbon contained in the gas injected, improving the environmental performance of gas-based power and heat generation.

In its current state, Power-to-gas technology based on electrolysis (electricity through water) has the potential to transform half of the excess renewable energy that would otherwise be wasted. Supported by heavy investments, new deriving technologies are in development, the Proton Exchange Membrane Electrolysis (PEME) or Solid Oxide Electrolysis Cell (SOEC) aim at transforming up to 70% of green energy into hydrogen in the near future.

But hydrogen and natural gas are significantly different in their properties; hydrogen is highly flammable and easily ignited. Injecting a higher proportion than the current acceptable levels (EU = 1% vol, US 0.1% vol) in the gas grid requires careful evaluation of its components: meters, regulators and pipes to ensure the safety, operability and integrity of the distribution network.

Hydrogen presents an important transition in the gas industry and Itron is actively engaged in discussions with industry experts, customers and standardization bodies to better understand the market. Stay tuned for our upcoming blog on the effects of hydrogen on the gas grid, its components and associated risks.

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