A spokesperson from Mitsubishi Power explores how we might meet the rising demand for electricity
In this article, Javier Cavada, President & CEO EMEA, Mitsubishi Power, explores the transition to a hydrogen-based economy and how it is gaining momentum, particularly as countries race to reduce carbon emissions while working to meet growing power demand.
"We live in a world where the electrification of everything is creating new requirements for clean power every day, a trend projected to cause the doubling of global electricity demand by 2050 according to the IEA.
Globally right now, the data centre industry accounts for more than 1% of the world’s power consumption, which is expected to reach 8% by 2030, according to the International Energy Agency (IEA). At the same time, the world needs to ensure that the power it generates is clean, reliable and affordable in order to meet Net-Zero obligations.
And the reality is, while renewable energy deployment around the world is increasing, it is intermittent, unreliable and not domesticated enough to be directly delivered to homes via our grid systems – it requires back up.
Natural gas in gas peaker plants currently ensures grid stability, but clean technologies like renewable hydrogen are essential in bridging the gap to deliver a meaningful energy transition.
Hydrogen’s versatility makes it well-suited to decarbonise sectors like heavy industry, transport, and power generation.
The International Energy Agency (IEA) estimates that hydrogen could meet 10% of global energy needs, while the Hydrogen Council projects it could reduce CO₂ emissions by six billion tons annually by 2050.
Hydrogen is unique because it can be produced with zero emissions, especially through electrolysis powered by renewable energy, creating “green hydrogen” with an exceptionally low carbon footprint.
One promising application is blending hydrogen with natural gas in existing gas power plants, which could significantly cut emissions. Hydrogen also offers long-term energy storage, which supports grid stability and is particularly beneficial for regions dependent on intermittent renewable resources.
Retrofitting gas turbines to use hydrogen is an immediate, cost-effective solution for decarbonising power generation. For example, Mitsubishi Power has developed gas turbines like the M501JAC, which can run on a blend of 30% hydrogen and natural gas, with plans to reach 100% hydrogen in large-scale turbines by 2025.
Germany’s Power Station Strategy is a good example of the hydrogen economy taking shape, placing hydrogen at the centre of its long-term decarbonisation plan. It prioritises the installation of gas-fired power stations, to run on hydrogen, supporting German industry to make progress towards the production of steel, cement, and other energy-intensive products with zero carbon emissions by 2045.
In the United States, the Advanced Clean Energy Storage Hydrogen Hub – or ACES Delta Hub – will be the country’s largest hydrogen storage facility when it enters operation. It will be the first project to combine utility and industrial scale renewable hydrogen production, storage, and transmission and support Intermountain Power Agency’s ‘IPP Renewed’ project, which will transition from coal-fired electricity generation to clean power. The fully-funded project will enter commercial operation in 2025.
The main component of the project is the construction of an 840 MW hydrogen-capable combined-cycle power plant employing two Mitsubishi Power M501JAC gas turbines. These will initially run on a blend of 30% green hydrogen and 70% natural gas, starting in 2025 and incrementally expanding to 100% green hydrogen by 2045.
The project will convert green hydrogen using a large electrolysis facility and store it underground in salt dome caverns the size of the Empire State Building. During the first phase of the project, we're building two of these caverns, which will have 300,000 megawatt hours of storage capacity.
In the future, the salt dome has the capacity for 70-100 caverns. This gives us the ability to store a huge amount of hydrogen, enough to provide storage for the entire Western United States.
The H2H Saltend project in the UK, a collaboration with Mitsubishi Power, Equinor, and SSE Thermal, highlights another hydrogen initiative. Part of the Zero Carbon Humber partnership, this project will convert natural gas to hydrogen, capturing the CO₂ emissions. It aims to reduce emissions by 900,000 tons annually and form the world’s first net-zero industrial cluster by 2040, with a combination of low-carbon hydrogen, carbon capture, and carbon removal technology.
Europe is committed to a hydrogen future, but challenges remain in hitting ambitious targets. A recent report from the European Court of Auditors has suggested a ‘reality check’ on Europe’s Hydrogen Strategy to overcome high financing costs, limited investor confidence, and a lack of committed buyers. To address these issues, policymakers must move from policies to targets and commitments to contracts, and fostering a global hydrogen market.
The low-carbon hydrogen Delegated Act is the missing piece of the EU's regulatory puzzle for clean hydrogen and complements existing rules defining renewable hydrogen. Once adopted, the new Delegated Act will provide regulatory certainty around low-carbon hydrogen and is therefore expected to bolster investors' confidence.
As we move forward, we must not lose the momentum on tripling renewable energy before 2030. But our message to governments across the world is simple – unleash the potential of hydrogen now. Mitsubishi Power's technology can offer practical solutions to make hydrogen an essential component of the energy transition."
