The world is mobilizing toward managing greenhouse gas (GHG) emissions as more jurisdictions set audacious goals and strict timelines to transform their energy system and get closer to low-carbon and zero-carbon supply chains. Over the past decade, the cost of renewable energy declined exponentially due to technological advancements, large-scale deployment, and competitive supply chains. Furthermore, greater support from government policies and higher clean energy goals announced during COP26 are driving global demand, i.e., it is anticipated that by 2030, almost 40% of global demand will be powered by renewables.
The energy sector is under scrutiny by investors and stakeholders to provide greater transparency around their ESG initiatives. Many leading investors have made public statements about the importance of sustainability initiatives and reporting. Addressing ESG issues has become a must as many investors are asking for ESG strategy and reporting and they are not providing capital unless ESG requirements are met.
Many European countries and the EU itself have adopted mandatory ESG reporting requirements. Large energy companies in the US are voluntarily disclosing ESG information using frameworks such as Global Reporting Initiative (GRI), and the Sustainability Accounting Standards Board (SASB).
Although environmental performance will always remain the key focus in the energy sector, the social and governance elements of ESG are increasingly gaining attention. Issues that are increasingly top of mind for stakeholders include diversity and inclusion, protection of human rights (especially with energy companies that operate globally), occupational health and safety, impact on local communities and indigenous relations and linking executive remuneration to ESG performance targets.
In the global momentum towards clean energy and decarbonization, Hydrogen is an alternative to traditional energy sources, tackling climate change by storing surplus renewable energy when the grid cannot absorb it and helping decarbonize hard-to-electrify sectors. Amongst the several methods for producing Hydrogen, two are more promising with minimal to zero carbon emissions: Green Hydrogen (Electrolysis of water) and Blue Hydrogen (Hydrogen produced from natural gas and supported by carbon capture and storage).
EcoSolver offers feasibility study and impact assessment on hydrogen production plants to analyze requirements and outline social, economical, and environmental implications of the prospect Hydrogen plant. This study analyzes the technical specifications of hydrogen production and ammonia conversion for safe storage and probes the socioeconomic impacts from its operation. This includes the evaluation of project scope to determine an appropriate hydrogen pathway (blue, green, other) to align with GHG emission reduction targets, engaging with upstream and downstream stakeholders to gauge requirements for building a facility to supply needs adequately and sustainably; and analyzing technological considerations to qualify the project for long-term viability with desired output capacity.