Long-distance and cross-border trade in hydrogen will play a key role in matching the lowest cost supply of hydrogen with demand in the most cost-effective manner at global level, the Hydrogen Council’s new report Global Hydrogen Flows released recently highlights. While helping accelerate the transition to net zero, long-distance and international hydrogen trade flows can reduce the total system costs across the hydrogen value chain by as much as US$6 trillion, as shown in the new report, co-authored by McKinsey & Company.
The report combines the global industry data from the Hydrogen Council with a bespoke advanced-analytics optimization model, specifically developed for the study, that balances supply and demand across all regions, multiple carriers, end products and scenarios. Out of 1.5 million potential trade routes, the report identifies more than 40 prospective trade routes of hydrogen (or hydrogen equivalent derivatives), with the capacity to transport more than one million tons per annum by ship or pipeline. The study identifies distinct patterns for hydrogen trade.
Access the report here