WORLD leaders are gathering in the United Arab Emirates for the crucial UN Climate Change Conference (COP 28), set to commence tomorrow.
Amid this global summit, the fourth annual Hydrogen Transition Summit is scheduled in Dubai on December 7, 2023, at the Climate Action Innovation Zone.
That event is expected to bring together 500 global stakeholders, including policymakers and investors with the goal of driving the global hydrogen agenda and expediting the transition to a hydrogen-based economy. This event has gained significance as it aligns with the urgent need to address the climate crisis.
Coincidentally, today marks the one-year anniversary since the Ministry of Energy and Energy Industries (MEEI) launched “The Roadmap for a Green Hydrogen Economy in Trinidad and Tobago,” which is the summary findings of the Study to “Establish a Green Hydrogen Market in Trinidad and Tobago”.
The launch marked the culmination of a year-long collaboration between the National Energy Corporation of Trinidad and Tobago Ltd (National Energy), acting on behalf of the Energy Ministry, in partnership with the Inter-American Development Bank (IDB) and KBR Inc.
The initiative aimed to assess the potential of Trinidad and Tobago in producing green hydrogen as a pivotal decarbonisation solution for both the power and industrial sectors.
“Leveraging its geography, the 100 plus years of heritage in the oil and gas industry and a dynamic industrial ecosystem, Trinidad and Tobago can position as a key player in the evolving green energy landscape. With the potential of 57 GW of renewable energy through offshore wind technology, equating to 25 GW of output feeding electrolysers to produce 4 Mtpa of green hydrogen produced by 2065, Trinidad and Tobago has all the key ingredients required to enable a green hydrogen economy,” the roadmap stated.
Globally, The International Renewable Energy Agency (IRENA) predicts that 12 per cent of the world’s final energy demand will be met by hydrogen by 2050, most of which will be green hydrogen and one-quarter of that green hydrogen will be traded across borders.
“Of this, 45 per cent will be shipped, mostly as ammonia. Demand for green ammonia in 2050 will reach 690 Mtpa with 80 per cent used as chemical feedstock and fuel for shipping and 20 per cent as hydrogen / energy carrier. Similarly, green methanol features prominently in global decarbonisation as the prime candidate for the shipping sector with an estimated annual production of 500 Mtpa by 2050,” it stated.
According to the roadmap these two commodities, green ammonia and green methanol, underpin Trinidad and Tobago’s value proposition for a green hydrogen economy.
“As leading exporters of both ammonia and methanol, Trinidad and Tobago can leverage their existing petrochemical, storage and export facilities, as well as existing trade relations and shipping routes to position itself in this new market,” it stated.
The roadmap stated that leveraging these existing facilities will increase the competitiveness of Trinidad and Tobago in the international green ammonia market.
The three horizons
“The roadmap for the development of a hydrogen economy in Trinidad and Tobago is presented as 3 horizons, with a development programme that spans 35 years. The most critical part of the roadmap, Horizon 1, looks to achieve consensus amongst all local stakeholders, develop the required enabling policies and regulatory framework as well as establish visible end-use applications of green hydrogen in the country. Horizon 2 builds on Horizon 1 and the enabling environment developed to initiate the first utility scale renewable energy projects as well as green hydrogen production, whilst Horizon 3 reinforces the leadership of Trinidad and Tobago in the new energy sector,” it stated.
In March, Cabinet approved a request for support from the IDB to advance the initiatives in Horizon 1 of the Green Hydrogen Roadmap in a specific project focusing on: (i) introducing green hydrogen demonstration projects in T&T, (ii) initiating the Wind Resource Assessment Program (WRAP), and (iii) developing the business models and financial structures for attracting private sector investors to the new green hydrogen industry.
“The full development programme involves 57 GW of offshore wind nameplate capacity 62 . These resources produce 25 GW of power that feeds electrolysers, producing four million tonnes per annum (Mtpa) of green hydrogen. Of the four Mtpa of green hydrogen generated, 1.5 Mtpa will go to existing ammonia and methanol markets, and the remainder going to applications that target new markets. These new markets not only include the aforementioned green ammonia and methanol, but also include liquid hydrogen and other new technologies as they mature. Through this programme, Trinidad and Tobago will generate net benefits in the billions, creating thousands of jobs in the construction, operation and maintenance sectors, whilst significantly reducing CO2 emissions in Trinidad and Tobago. This ensures sustainable economic growth for Trinidad and Tobago, and also enables Trinidad and Tobago to maintain its leadership in the petrochemicals sector and in the Caribbean region,” it stated.
Executive director for the Caribbean at the IDB Robert Le Hunte told the U.S.-Caribbean Partnership to Address the Climate Crisis 2030 said the IDB, in alignment with this initiative, envisions not just a transition to clean energy but the birth of a new clean energy industry within our region.
Le Hunte said he envisions it as an industry capable of generating substantial revenues and transforming mono-economies from vulnerability to resilience and sustainability.
“The cornerstone of this future lies in the green hydrogen economy,” he said.
Le Hunte said that green hydrogen is poised to be one of the top three fuels globally by 2050.
“Investing in this sector opens doors to export markets, with anticipated sales revenues of US$9 billion in the Caribbean by 2030. The world hydrogen by 2030 is projected to be US$642 billion. By 2040, US$980 billion and by 2050, US$1,408 billion,” he said.
“The production of green hydrogen hinges on renewable energy sources, resources abundant in our region—untapped geothermal and offshore wind energy reserves that remain ripe for exploration,” Le Hunte said.
Le Hunte said the Caribbean region are small island economies, which are sometimes seen as a disadvantage.
But on the flipside, he said, we are large ocean economies and we must use the wind, water and sun to our advantage in the clean energy transition.
Le Hunte said green hydrogen has the potential of turning a lot of those small economies from energy importers to energy exporters which will provide them with an alternative source of income outside of tourism and that could be transformational.
“There might be several years before we see the first geothermal power plant in the Caribbean begin operations, as it involves significant engineering and construction activities. But with a combined estimated energy generating capacity of up to 600 megawatts, this has the potential of turning a number of these small countries into energy exporters with over 500Mw of electricity, available for export. This excess electricity could also be used to create an industry that could power all of the cruise ships that service the Caribbean region, with clean energy,” he said.
“While the realisation of geothermal power plants may take time, the ocean’s winds whisper another tale of untapped potential. Trinidad alone could harness up to 57 gigawatts of offshore wind energy, a fraction of what the entire Caribbean holds. The IDB’s groundwork in wind assessments across nations is just the beginning; there’s a vast potential waiting to be harnessed. We are not just small island states; we are large ocean states, brimming with untapped potential,” he said.
Le Hunte said the IDB has laid foundations, supporting wind assessments in various nations.
“But there’s more to be done. We’re striving to create instruments, like the SEF, to harness wind potential. The IDB has also assisted in completing the roadmap for a green hydrogen economy, for Trinidad and Tobago,” he said.
Philip Julien at COP 28
Founder and chairman of Kenesjay Green Ltd, Philip Julien, knows more than most about green hydrogen.
The NewGen Clean Hydrogen Production Project is his first major undertaking under the KGL brand.
Julien, who is attending COP 28, wants the Caribbean’s leaders to explore the potential of regional energy integration.
“The principle of having that type of regional infrastructure that will allow for the ebb and flow of electricity among the islands in principle is very powerful so that builds in the energy security, the energy sustainability of being each other’s brother and sisters keeper,” Julien stated in a recent interview.
Julien has however raised concern about the pace at which green hydrogen projects locally have been progressing.
“From the top level down there has definitely been progress. I think like the rest of the world the pace of that progress we can all improve upon because the world isn’t getting any colder,” he said.
Julien has called for moves to cut some of the bureaucratic red tape that has been slowing things down.
“If we were able to create a green approvals process to allow these green projects to be streamlined and brought on speed at a much faster pace those would be two great outcomes for Trinidad and Tobago,” Julien said.
“Trinidad and Tobago is at the beginning of a challenging and exciting journey. The country is able to continue playing a major role as a natural gas exporter whilst leveraging existing heritage and facilities to position in the evolving energy landscape, thereby ensuring sustainable economic growth in the future. This journey starts with setting up a strong foundation with the right enabling policies, regulatory framework and institutional support to launch Trinidad and Tobago’s hydrogen economy,” the roadmap stated.
