Hydrogen situation in Italy

Green hydrogen production and utilisation are the central topics covered at the RENMAD-H2 conference, held in Rome, from June 11 to 12.

Date:
21 June 2024

Renmad H2 Italia
Renmad H2 Italia  

Green hydrogen production and utilisation are the central topics of the inaugural RENMAD-H2 conference held in Rome, from June 11 to 12, 2024. The purpose of the conference is to develop a rapidly growing, profitable and resilient business along the entire hydrogen supply chain: thirty industry experts together to discuss how to plan, purchase, build and manage commercial renewable hydrogen projects in Italy by providing an overview on hydrogen, from available technologies to the relevant regulations.

According to the Ministry of the Environment and Energy Security (Ministero dell’Ambiente e della Sicurezza Energetica, MASE), the development of the hydrogen market, including electrolysers and compression and storage systems, should take place in a similar way as with for other renewable energy technologies (solar, wind, geothermal). The national strategy has set the goal of reaching 200.000 tonnes per year of hydrogen production within 2030, of which 80% domestic and 20% imported (from North African countries). The tool for increasing production will be a system of incentives that reduces the difference in production cost between green hydrogen and other types of hydrogen (grey and blue).

The cost evaluation revealed that the difference in production costs between green hydrogen and hydrogen from fossil sources is about six euros: the average production price of green hydrogen is 8,5 euro per kilogram, while that of grey hydrogen is 2,5 euros per kilogram. Thus, this gap will have to be reduced through a combination of incentives, in which the ones for green hydrogen production should be cumulative with the ones for the construction of production plants, which should include biohydrogen as well (hydrogen produced from biomass by gasification) and biogas (hydrogen produced by fermentation processes).

According to an initial estimate, Europe should reach the following target between now and 2030: a domestic production of 10 million tonnes and an import of an additional 10 million tonnes. The strategy to be followed is structured in four different lines of action: the first two concern the definition of support schemes for the domestic production of renewable hydrogen and its importation; the third envisions the aggregation of future energy sector demand and supply, linking the national initiatives of member states, promoting information dissemination and transparency; the fourth should involve the European Hydrogen Bank to provide various financing tools for projects.

Although Italy represents a high-potential market for the development of green hydrogen, it still has to face some major obstacles: the high cost of electrolysers, the limited availability of renewable energy sources and the lack of infrastructure. Such aspects affect hydrogen transportation and require a significant investment in both capital and time.

The regulatory framework as well represents a weak link in Italy. Italian regulation is fragmented and, in this regard, some regions decide differently: Liguria does not require specific authorisations, considering the construction of a hydrogen production plant as exempt from building permits. Other regions require the regional Integrated environmental authorization (AIA), while others (Trentino Alto Adige) require the Environmental impact assessment (VIA) arguing that the photovoltaic plant associated with the electrolyser represents an integrated chemical plant.

Although in a complex and uncertain legislative framework, significant investments have been made in hydrogen technologies in recent years, and more are in the planning stages. Research remains the primary route for accelerating the energy transition and reducing CO2 emissions in the coming years. AMasili

This activity was financed by the Ministry of the Environment and Energy Security through the National Electricity System Research (Ricerca di Sistema Elettrico Nazionale, RdS) - Three-Year Implementation Plan 2022-2024 - 1.3 Integrated Hydrogen Technologies Project

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Last update

11/11/2024, 08:14