Renewable Hydrogen's Role in the Energy Transition with Ana Quelhas of EDP Renewables
Madrid-based EDP Renewables designs, develops, manages and operates power plants that generate electricity using renewable energy sources.
Quelhas is leading EDP’s renewable hydrogen business. Prior to that, she was the Head of Energy Planning at EDP. Before joining the company, Quelhas worked in the Directorate-General for Research of the European Commission, in Brussels, supporting the development of the strategic research agenda in the field of energy.
Why Renewable Hydrogen?
Quelhas opened by discussing EDP Renewables’ commitment to renewable hydrogen. While electrification is often the focus of global decarbonization, certain industries and applications cannot fully transition using green electricity alone. Heavy industries such as steel, cement, petrochemicals, as well as transportation sectors like aviation and maritime, require high-temperature processes or long-distance transport, which makes renewable hydrogen a promising alternative for reducing their carbon footprints. Quelhas explained that renewable hydrogen can provide the energy required for these hard-to-abate sectors where electrification may not be feasible.
Green vs. Renewable Hydrogen: A Clarification
Tucker talks to Quelhas about the distinction between “green hydrogen” and “renewable hydrogen.” She clarifies that while both terms describe hydrogen produced using renewable energy sources, there is no universally accepted definition for green hydrogen. In contrast, the term “renewable hydrogen” is more clearly defined, especially in Europe where legislative frameworks ensure its proper classification. Quelhas notes that renewable hydrogen projects must comply with specific legislation to qualify for support mechanisms. At EDP Renewables, they focus solely on developing renewable hydrogen projects, a path she sees as crucial for achieving long-term decarbonization.
The Hydrogen Market: A Work in Progress
Quelhas highlights that there is currently no established global market for renewable hydrogen, even though gray hydrogen, produced from fossil fuels, is widely used in industrial processes. Gray hydrogen is typically produced and consumed locally, with no real price discovery or trading mechanism in place. Renewable hydrogen, however, represents an entirely new opportunity to create a global market for clean energy. Quelhas emphasized that this transition will require significant investment in infrastructure, storage, and transport mechanisms, which are not yet fully developed.
Differences in Hydrogen Approaches: Europe vs. U.S.
When discussing the differing approaches to hydrogen in Europe and the U.S., Quelhas points out a fundamental difference: Europe’s hydrogen strategy is driven not only by decarbonization but also by a desire for energy independence. Europe’s reliance on imported fossil fuels makes renewable hydrogen an attractive solution for reducing energy dependence while simultaneously achieving climate goals. In the U.S., where fossil fuel resources are more abundant, there is more focus on blue hydrogen (produced using natural gas and carbon capture), though renewable hydrogen is gaining ground.
The Role of Water in Hydrogen Production
One of the key challenges in producing renewable hydrogen is the need for water in the electrolysis process. However, Quelhas explains that the water required to produce hydrogen is significantly less than the amount used in fossil fuel production, making it a net positive for sustainability. In regions where water scarcity is a concern, EDP Renewables is exploring the use of desalinated or recycled water. According to Quelhas, the cost of water, even when desalinated, represents only a small fraction of the total cost of producing hydrogen, ensuring that these solutions remain economically viable.
A New Energy Future: Hydrogen’s Growing Role
Quelhas expresses confidence in renewable hydrogen’s ability to decarbonize heavy industry and long-distance transportation, such as aviation and maritime. She also acknowledges that the path forward will require continued investment in hydrogen storage, transport infrastructure, and policy development. EDP Renewables is not just focused on producing renewable hydrogen but is leveraging its portfolio of renewable energy assets, such as wind and solar, to make these hydrogen projects economically competitive.
Quelhas says that EDP Renewables is uniquely positioned to lead in this area, given its extensive renewable energy portfolio and expertise. The company is also taking advantage of existing coal power plant infrastructure in regions like Portugal and Spain, repurposing these sites for renewable hydrogen production.