Now available in OGEL 3 (2024): The Art of Certifying Hydrogen: A New Era in International Trade
Published 14 October 2024
The Art of Certifying Hydrogen: A New Era in International Trade
Abstract
Hydrogen, like all other gaseous energy carriers, lacks a unique fingerprint that would allow for easy identification of its origin, sustainability attributes, or production method. Although terms such as ‘green’, ‘sustainable’, ‘low-carbon’, ‘renewable’ and ‘clean’ are commonly used to describe hydrogen production technologies, they are not reliable as references in regulations for tracking sustainability attributes. Consequently, there is a need for tracking tools. Certification plays a crucial role in determining whether hydrogen meets certain standards or regulatory requirements. Certification schemes facilitate market mechanisms and incentives for the production and trade of low-carbon and renewable hydrogen by reducing information asymmetry about the type of hydrogen being traded. This article examines several key aspects related to hydrogen certification: (i) the role of hydrogen in the energy transition; (ii) the importance of certification schemes in the development of a hydrogen economy; (iii) an overview of existing and emerging hydrogen certification mechanisms; (iv) technical design elements of certification schemes; and (v) recommendations for establishing a unified certification scheme. The article concludes that harmonisation of certification mechanisms will enable interoperability across international borders for international hydrogen trade to advance the creation of a global hydrogen economy.
The Art of Certifying Hydrogen: A New Era in International Trade is part of the OGEL 3 (2024) Special Issue on "Contractual, Legal, and Regulatory Dynamics for Hydrogen Projects and Markets" and is available here https://www.ogel.org/article.asp?key=4143 (sign in to download).
