Title page

Contents

KEY TAKEAWAYS 1

EXECUTIVE SUMMARY 3

Policy Recommendations for the United States 5

HYDROGEN PRODUCTION 7

Blue Hydrogen 8

Green Hydrogen 11

TRANSPORTING AND STORING HYDROGEN 18

Transportation by Pipeline 19

Trucking Hydrogen 20

Seaborne Transportation 20

Storage 21

Solving for Hydrogen: A Different Approach to Transportation and Storage 22

MARKETS AND END USERS 23

Existing Markets for Hydrogen 23

New Markets for Hydrogen 24

The Swiss Army Knife of Decarbonization 39

A RESEARCH AGENDA FOR HYDROGEN 39

Systems 39

Green Hydrogen 40

Blue Hydrogen Production 40

Transportation and Storage 40

Market Transitions 41

THE REALIST CASE FOR HYDROGEN 41

Avoiding Hydrogen Pitfalls 42

Potential Pathways to Sustainable Hydrogen 44

A US POLICY AGENDA FOR HYDROGEN 46

APPENDIX: LEVELIZED COST OF ENERGY 48

ENDNOTES 49

Table 1. Green hydrogen technologies compared 13

Table 2. Storage options for hydrogen in a gaseous state 22

Table 3. Storage options for hydrogen in a liquid or solid state 22

Figure 1. Value chain for hydrogen, 2019 7

Figure 2. Blue hydrogen schematic 9

Figure 3. Carbon capture at Shutes Creek, WY 10

Figure 4. Green hydrogen production 12

Figure 5. Example of cost shares for 1 kilogram of hydrogen using PEM electrolysis (2019) 14

Figure 6. Volumetric energy density of different fuels 18

Figure 7. Delivery costs of hydrogen by scale and distance (price per kg) 19

Figure 8. Existing markets for hydrogen 23

Figure 9. Global GHG emissions by sector (no economically viable option for deep decarbonization) 25

Figure 10. PEM FCEV efficiency 26

Figure 11. Green steel technology 33

Figure 12. DRI annual production 35

Figure 13. Energy storage technologies by scale and duration 38

Figure 14. Lazard levelized cost of energy estimates, 2023 48