A blueprint for the use of green hydrogen technology in isolated territories

Nigel HolmesCEO, Scottish Hydrogen & Fuel Cell Association

Scotland, Orkney Islands

Presentation Outline

The FCH-JU supported BIGHIT project is developing a new integrated Hydrogen Territory in Orkney:

- Builds on locally supported FC&H projects – now scaling up

- Work across EU regions to bring in key expertise and knowledge

- Critical role of the FCH-JU to accelerate technology deployment

- Early lessons from BIGHIT – not just about innovative technology

BIG HIT project is supported by EU Horizon 2020 Grant Agreement nº 700092

- Archipelago of 70 Islands, 20 are inhabited

- Total population of 22,000

- Main town is Kirkwall, population 9,000

- And it is quite windy…

Orkney – place & people

Scottish Climate Plan, February 2018. Electricity from renewables met 68.1% of Scotland’s annual electricity demand in 2017

Scotland’s Ambition100% Renewable Electricity by 2020

CCC advice to ‘Quadruple UK renewable s by 2050’

Scotland’s Net Zero Target by 2045

CCC updated advice in May 2019

Year Scottish GHG Reduction

2030 70%

2035 80%

2040 90%

2045 100%

CCC Report May 2019: https://www.theccc.org.uk/wp-content/uploads/2019/05/Net-Zero-The-UKs-contribution-to-stopping-global-warming.pdf

An Inclusive & Just Transition to the Low Carbon Economy

Scotland’s Just Transition Commissionnow established and taking evidence

Delivering Scotland’s Transition to a Low Carbon Energy System

• Smart and Integrated Local Energy Models = Hydrogen Valley

• Whole Energy System Approach = Sector Coupling

• Hydrogen as part of the Just Transition to Low Carbon Energy

Scotland’s last coal fired power station closed in March 2016

Scotland’s Rapid Growth in Renewable Power

But Wind Power becomingIncreasingly Constrained

From Joos & Staffell paper on Short term integration costs of variable renewable energyWind curtailment and balancing in Britain and Germany published April 2018.

UK Grid Balancing Costs >£100M in 2016

Energy Generation in Orkney 100% Renewable Electricity

• Renewables generate > 100% of Orkney annual electricity demand

• Over 55MW installed. 1000 installations for 10,000 households

• Hosts the European Marine Energy Centre (EMEC) on Eday

• But local renewables are being severely constrained.

By 2014 Orkney was generating over 120% of annual electrical demand from wind & tidal renewable power.

Orkney First Steps with EMEC & CES 0.5MW Electrolyser & Surf ‘n’ Turf

Surf 'n' Turf is generating hydrogen from wind and tidal on Eday to avoid grid limitations and develop local use. These foundation projects were supported by HIE & the Scottish Government’s Local Energy Challenge Fund.

Surf ‘n’ Turf Launch Sept 2017

Fuel Cell system at Kirkwall harbour co-funded by BIGHIT

• €10.9m project initial budget, €5m FCH-JU funding. Total spend now > €13m

• Produce hydrogen from wind with 1MW electrolyser

• Supply hydrogen for 5 x FC range extended EV vans in Kirkwall

• Two hydrogen heating systems, first is in Shapinsay school

Building on Surf ‘n’ Turf with BIGHIT

BIGHIT – 12 Partners from across Europe

EU Horizon 2020 Grant Agreement nº 700092

BIG HIT Grant no.: 700092

Creating an Exemplar Green Hydrogen Territory in Orkney

BIGHIT video clip

Hydrogen for Heat, Power, Transport

Hydrogen refuelling station by ITM Power in Kirkwall, opened May 2018. Refuels the 5 Symbio

FC-EV vans used by Orkney Islands Council.

Hydrogen is moved on the Shapinsayferry by tube trailer, and supplies the harbour fuel cell and hydrogen refuelling station in Kirkwall

Operational data from Fuel Cell EV Range Extended Vans

Fleet of 5 Calvera hydrogen trailers and 5 SymbioFCEV range extended vans used by Orkney Islands Council staff

Operational data, May-Aug 2018

Deployment in Kirkwall Harbour for On-shore power (cold ironing)

Fuel Cell delivers 15-50kW to ferries when berthed at pier

Ferries & Hydrogen Trailer logistics Training & crew familiarisation

Commercial & business models are used to identify the best areas for added value

Exploit Local Value from Constrained Renewables

The production cost is currently estimated at between £5.17 - £9.87 per kg H2

Under Scenario 1 the largest cost is from electrolyser & hydrogen storage CAPEX

Scenario 2 (optimized) H2 production cost is estimated at £2.50 to £3.00/kg

Orkney ‘Green Hydrogen’ Local Production Cost Estimates

Scenario 1 Scenario 2 Scenario 3

BIGHIT Community outreach & wider stakeholder engagement

BIGHIT taking part in the Orkney International Science Festival

BIGHIT Dissemination

Hydrogen Territories Platform (HTP)

• HTP Scope will allows the exchange of information to exploit replication possibilities of the BIG HIT approach to other remote regions/territories

• HTP Member benefits include access to key project deliverables, key conclusions & best practice. Preliminary business models and S-LCA socio-economic assessments complete.

• HTP members role is to comment on replication methodology, provide data for development, and validate methodology for project exploitation

Building on BIGHIT Next Steps for Orkney

Integrated Hydrogen Energy Systems

Development & Deployment

• FC-H2 Ferry: H2020 co-funded HYSEAS III

• H2-ICE Ferry Innovate UK HyDIME

• Grid load management Interreg ITEG

• Energy system development ReFLEX

• Industrial H2 & O2 applications study

• Between island mobility and logistics

• Commercial & domestic/community heat

€70m of project investments are now in place for hydrogen deployment in Orkney

€70m Project Pipeline in Orkney

HySeas III – H2020 €21m EU funded project World first fuel cell ferry now scheduled for construction with operation in Orkney by 2021.

HyDime – Innovate UK project UK’s first H2

injection system for hydrogen/diesel APU for Shapinsay ferry. May 2019 completion, led by Ferguson Marine with OIC & EMEC partners.

€11m EU INTERREG Integrating Tidal Energy into the European Grid (ITEG)

£28.5m BEIS ReFLEX project for Orkney Virtual Energy System

BIG HIT - Key Conclusions

BIGHIT is developing a Hydrogen Territory in the Orkney Islands:

- BIGHIT builds on locally supported FC&H ‘starter’ projects

- Partnership benefits across EU regions, example is trade mission

- Critical role of the FCH-JU in supporting local project scale-up

- BIGHIT is enabling the development of larger follow-on projects

- Not just about technology… integration and market uptake is critical

- Local community energy engagement and participation is also vital

- We’re ‘Learning by Doing’ and will share our experience via HTP

29

Thanks for Listening about

BIGHIT in Orkney

BIGHIT thanks all our funding partners for their support

BIG HIT project is supported by EU Horizon 2020 Grant Agreement nº 700092