HYDROGEN ECONOMY HITS HANDBRAKES IN DENMARK

First here is an update on Sarawak's plans for a Hydrogen Economy. 

The feedback I received is that a South Korean company Sam--ng is willing to do an offtake for 1 million tonnes of green hydrogen. 

The 1 million tonnes of green hydrogen (H2) will be produced in a brand new hydrolysis plant that will use 2000 MW of electricity to be generated from a 1000MW solar plant and another 1000 MW from hydro-electric power.

However the South Korean company does not want to participate in the 1000 MW solar farm or the hydrogen hydrolysis plant. 

The cost of the 1000MW solar plant is said to be RM5.0 million per MW. So 1000MW means RM5.0 Billion.

Sarawak is offering 1000MW of hydro power but together with the technology risk of the hydrogen facility.

The 1000 MW hydro-electric power will mostly come from the new 1300MW Baleh hydro-electric power plant that cost RM6.0 Billion to build. The Baleh Dam will be operational by 2025/2026.

The Bakun dam also has unutilized power capacity.

So RM6.0 Billion for 1300 MW Baleh Dam, RM5.0 Billion for 1000 MW solar farm and I dont know how much for the hydrolysis plant (hydrogen plant).

Here is a story from Denmark. Please click on the link here.

https://www.hydrogeninsight.com/transport/hydrogen-vehicles-in-denmark-left-without-fuel-as-all-commercial-refuelling-stations-shuttered/2-1-1519914

ALL of their Hydrogen Stations (like petrol stations) for cars powered by hydrogen gas have shut down. Not financially feasible.This is a big blow.

The problem is the easy availability and the fantastic efficiency of oil (petrol, diesel) and gas. Although China is going big on Electric Vehicles (EV) it could be a fad.

Here is the big threat - if consumption of Alternative Fuels or Alternative Energy increases then consumption of petrol and diesel will decrease. Wont this send the prices of petrol and diesel down? It will become cheaper and cheaper to run petrol and diesel cars.

Also more and more oil and gas deposits are being discovered like that 80 Billion barrels in Russia's Arctic alone. That should send the price of oil even lower.

So can the Hydrogen Economy, Alternative Fuels and Alternative Energy keep up with the likely downward spiral in the prices of fossil fuels? 

These are big risks for the big boys. This is not a risk you want to take using taxpayers money. Penjaga Gunung Sarawak.

The views expressed are those of the writers and do not necessarily reflect those of MMKtT.