Green Hydrogen in Transport - How GHG Quota Trading Makes GH2 Competitive

Recording of Friday, June 21, 2024 | The smarter E Europe 2024 | Exhibition Program | Language: English | Duration: 15:43 .

GHG Quota Trading for Enhancing Competitiveness of Green Hydrogen and RFNBOs in the Transport Sector

David, a co-founder of GT Emission Solutions and head of its hydrogen unit, discusses the potential of greenhouse gas (GHG) reduction quota trading in making green hydrogen and RFNBOs more competitive, particularly in the transport sector. Started in 2019, Green Trex has been involved in GHG quota trading by collecting emission savings from different sources like electricity and certifying them with German environmental authorities to trade on the market. This system runs parallel to the EU's Emission Trading Scheme (ETS). Currently, GHG quotas are valued at approximately €100 per ton on average but have a theoretical limit of €600 per ton based on supply-demand dynamics. Hydrogen refueling station operators benefit directly from these revenues while producers also gain due to reduced costs for certification and sourcing green electricity. The mechanism mandates that fossil fuel marketers compensate about 10% of their emissions through options like biofuels or renewable energy credits verified by environmental authorities. Starting July 1st, RFNBOs can also participate in this scheme further promoting green alternatives which could potentially make niche applications more viable despite current infrastructure limitations.

_{Automated summarization by AI Conver}