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Energy Production

Dáil Éireann Debate, Thursday - 24 February 2022

Thursday, 24 February 2022

Questions (87)

Darren O'Rourke

Question:

87. Deputy Darren O'Rourke asked the Minister for the Environment, Climate and Communications the plans he has to develop the capability of the State to produce and store green hydrogen; and if he will make a statement on the matter. [10260/22]

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Oral answers (10 contributions)

I want to ask the Minister the plans he has to develop the capability of the State to produce, store and use green hydrogen; and if he will make a statement on the matter.

The role of hydrogen and the actions needed for its development were considered as part of the development of the climate action plan 2021. The plan, published in November, identifies green hydrogen as having the potential to support decarbonisation across several sectors and, in particular, as a source for high-temperature heat in industry and flexible generation in electricity. A key target set out in the climate action plan is to carry out a work programme to identify a route to deliver one to three TWh of zero emissions gas, including green hydrogen, by 2030. The plan includes a suite of actions relating to green hydrogen across the electricity, enterprise and transport chapters.

These actions include testing the technical feasibility of safely injecting green hydrogen blends in the gas grid; assessing the potential for system integration between the electricity and gas networks, which will include the production, storage and use of green hydrogen; and progressing research and pilot studies regarding the use of hydrogen in the transport sector.

In addition, the SEAI is developing a number of initiatives on the role of green hydrogen in decarbonisation. The 2021 SEAI national energy research development and demonstration programme call included a number of projects relating to green hydrogen and the development of floating offshore wind foundations coupled with hydrogen storage.

The SEAl's national heat study, published this week, examines options to decarbonise the heating and cooling sectors in Ireland to 2050, including options for green hydrogen. In accordance with the Climate Action and Low Carbon Development (Amendment) Act 2021, the climate action plan will be updated on an annual basis to reflect ongoing developments and targets achieved. I expect a strategy focusing on the development of green hydrogen to be included in the 2022 climate action plan.

Everybody agrees that there is, potentially, a considerable opportunity with green hydrogen. I see it across the political spectrum and that is welcome. The concern of my party and me, which is shared by people in the wider community who have an interest in green hydrogen, is that the focus, ambition and urgency is not there from the Government. I acknowledge everything the Deputy has said in his response and I know the Department of Transport has issued a call which is welcome.

One of the things the sector says to me is that a strategy is very important. It needs to outline a commitment to green hydrogen. It should indicate an auction in the near future for industry to decarbonise and should point towards and deliver, in the first instance, hydrogen refuelling infrastructure throughout the State for transport. Can we expect to see that in the near future?

It is critical that we develop clean electricity because it can only be green hydrogen. As a State, we will not go down the route of hydrogen coming from natural gas which would only worsen our energy security issue. Some 90% of our energy is imported into this country at the present time. We have to change this for climate and other reasons.

The green hydrogen strategy goes hand in glove with the renewable strategy. Renewable electricity will give us the power supply, through electrolysis, for green hydrogen. We are looking at a variety of different areas to accelerate that, to answer the Deputy's first question today on how we start to accelerate carbon reduction. I am working within the public service to establish new fast delivery teams that would bring together agencies and different Departments which have a key role in that acceleration.

One of the acceleration task force teams will be on the offshore renewables side. That is to make sure we get our auctions for offshore renewables up and out and get the ports in place to be able to deliver it. Green hydrogen will be connected to that because, as the Deputy said, the two go together. That will give the certainty industry is looking for.

I will focus on my supplementary questions on the haulage sector. One of the potential significant opportunities with hydrogen is to decarbonise the heavy goods sector. With regard to the current schemes the Minister has in place, I met with the haulage industry in the past couple of days and it points towards a deep frustration within the sector in terms of the engagement with the Minister and the Department to manage the transition. It points to the heavy duty vehicle grant scheme, which was oversubscribed. In the region of 60 lorries were purchased with it which are laid up. Hauliers cannot afford to run them because the price of gas has gone through the roof, as we all know, and compressed natural gas is not covered in the rebate scheme. Where is the sense and logic in terms of that scheme or system? Will the Minister engage with the sector to make it make sense for it?

Deputy Stanton wants to come in on this.

I agree with the Minister on the importance of this green hydrogen initiative. In my area, a number of companies are very interested in this and linking with offshore, as the Minister has said, EI-H2 being one of them. I encourage the Minister to develop and publish a green hydrogen strategy because that is what the sector is calling for, as Deputy O'Rourke has said. Will the Minister comment on the safety aspects of green hydrogen? We know it is a very volatile gas. Have studies been done on its safety? Can the pipeline withstand the pressures? I understand there are increased pressures on the gas pipeline from green hydrogen. I know some of it is blended, but if it is not, increased pressures are needed.

The Deputy asked a variety of questions. Obviously, safety has to come first. One of the issues with the networks is that green hydrogen has different characteristics such as much smaller molecules. Therefore, when it comes to the distribution gas network, even though ours is very modern, leakage becomes a more significant issue. Ports will be central to our hydrogen strategy because that will be the point where the offshore wind comes ashore. Most of our heavy industry and power generation plants, which will be the first application, can be found in ports such as the Port of Cork, where there are industries like biopharmaceuticals, refinery and power generation, and in Shannon Foynes Port, where there are companies like Aughinish Alumina and Irish Cement and the Moneypoint and Tarbert power stations. All the infrastructure is in the ports and they are likely to be the centre of this development.

We see transport as another key application. I will be honest. It will take a longer time. It will not be as easy to transition the haulage fleet. Electric vehicles, compressed air, gas or hydrogen will take longer. I am sitting down to work with the haulage industry to see what ways we can help it, which we immediately need to do in this difficult transition period. We have not found that mechanism yet, but I am confident we will do so in the coming weeks. We need to help the industry in this transition. It will take longer in haulage. We will still be-----

Will the Minister look at the current scheme?

Yes. We are looking at a variety of schemes.

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