The Scottish Offshore Wind Energy Council (SOWEC) has published a report to support industry planning for repurposing of oil and gas infrastructure for green and blue hydrogen production in the UK Continental Shelf.
The report was commissioned from engineering and technical consultancy Vysus Group.
The report highlights that both steam methane reforming (SMR) for blue hydrogen production and electrolysis for green hydrogen production are both commercially viable, but in the mid-term electrolysis will be the preferred process for offshore hydrogen production, as it does not carry the greenhouse gas emission burden of SMR.
While SMR currently enjoys a cost advantage, it is expected that electrolyser costs will reduce significantly as the market develops, stated the report.
During the period 2021 to 2050, covered by the report, the Scottish Government expects to increase production from small scale operations, with circa 200MW per unit production capacity for green hydrogen to over 25GW total by 2045.
The majority of the green production is expected to occur offshore at large scale, stated the report.
The study’s findings suggest that the UK benefits from a well-developed regulatory framework, experienced in the regulation of onshore and offshore sites with the potential for a major accident.
It also found that knowledge of the existing regimes suggests that the regulations, codes and standards can readily be applied to assets repurposed to host offshore hydrogen generating equipment.
The report’s publication follows the recent Crown Estate Scotland’s Innovation and Targeted Oil and Gas (INTOG) leasing process for offshore wind farms to help decarbonise Scotland’s oil and gas sector.
It also follows the opening of the Scottish Government’s consultation on a new planning process which will inform the areas to be made available for seabed leases.
For example, DCR regulations intended for use in the offshore oil and gas industry have found application in the management of safety in the design of offshore substations.
Brian McFarlane, SOWEC’s co-chair said: “Offshore wind is at the heart of a successful energy transition.
“Scotland has a world-class supply chain working in oil and gas and maritime engineering.
“This report highlights the readiness of Scottish companies to shift into hydrogen, and also sets out a route map on the political, economic, regulatory, and technological steps needed to enable the transition.”