What is Green Hydrogen? How Is It Produced and How Will It Shape the Energy Future?

The Future of Green Hydrogen

Green hydrogen is a sustainable energy carrier based on renewable energy sources that plays a critical role in combating global warming and reducing carbon emissions. In line with the EU Green Deal and Net Zero targets, the question of what is green hydrogen energy is of great importance for the decarbonization of the industry.

Definition and Key Characteristics of Green Hydrogen

The answer to the questionof what is green hydrogen lies in the energy source used in the production process. Green hydrogen is a type of hydrogen that is produced using renewable energy sources such as solar and wind instead of fossil fuels and does not create carbon emissions during the production process. With this feature, it is at the center of the long-term sustainability and green hydrogen strategies of companies and countries.

How is it Different from Other Types of Hydrogen?

While conventional hydrogen production usually relies on fossil fuels, green hydrogen is differentiated by its clean production technologies. Thanks to the "clean production technologies" used in its production, green hydrogen is differentiated from carbon-intensive methods and thus green hydrogen production provides a competitive advantage in global markets. The carbon intensity of the production method is a financial risk or opportunity for exporters, especially as the hydrogen sector is directly regulated under the Border Carbon Regulatory Mechanism (BCDRM/CBAM).

The Importance of Zero Carbon Emissions

Green hydrogen is vital for decarbonization, especially in hard-to-abate sectors. In line with the Paris Agreement targets and Net-Zero commitments, it enables absolute emission reductions by replacing fossil fuels in industrial processes. This helps companies reduce their carbon costs and avoid future carbon tax obligations.

How is Green Hydrogen Produced?

The answer to the question ofhow to produce green hydrogen is based on scaling up the potential of renewable energy. Green hydrogen production is realized by utilizing abundant renewable resources such as solar and wind energy.

Developing countries with high renewable energy potential, such as Turkey, have the opportunity to scale these resources (solar and wind) to create green industries such as green hydrogen. This production model not only contributes to the decarbonization of the national grid but also opens a new door for clean energy exports.

What are the Uses of Green Hydrogen?

The question ofwhere green hydrogen is used finds an answer especially in heavy industry and energy storage. Green hydrogen plays a strategic role in the Turkish and global market in the following areas:

• Iron and Steel Industry: The use of hydrogen to replace coal in steel production (hydrogen-based steel production) is a priority technology being piloted for decarbonization of the sector.
• Export and Trade (CBAM): Hydrogen is one of the six priority sectors under the EU's Border Carbon Adjustment Mechanism (CBAM). Producers exporting hydrogen to the EU are required to report the embedded emissions of their products.
• Green Industries and Energy: By increasing green hydrogen production, countries like Turkey can gain access to global markets and meet the growing demand for green energy.
• Renewable Energy Storage: It can be used as a means of storing and transporting intermittent energy sources such as solar and wind.

By investing early in green hydrogen, Turkey can become competitive in global markets and a key player in supply chains in the European market.