Icelandic power company HS Orka and UK-based joint venture Hydrogen Ventures Limited (H2V) have revealed plans to develop a production plant for green methanol using green hydrogen to power the marine sector.
The parties also intend to use this clean fuel to power domestic and commercial vehicles such as cars, vans and lorries.
As explained, the new project harnessing the power of hydrogen to fuel transportation will contribute to Iceland’s ambitious target of becoming carbon neutral by 2040. More than 80% of Iceland’s energy consumption is already based on renewables – primarily geothermal and hydro power – but the development of green hydrogen projects will position the country among world leaders in the field of renewable and clean energy.
“Iceland has set itself ambitious targets for reducing its carbon emissions and we believe harnessing the power of hydrogen is crucial in achieving them,” Horacio Carvalho , H2V’s Chief Executive Officer, commented.
“We are very excited about this collaboration with H2V… in addition to electricity, HS Orka will be able to supply them with fresh water and natural carbon dioxide, which is essential for the methanol production,” Tómas Már Sigurðsson , HS Orka’s CEO, said.
Specifically, HS Orka/H2V’s projects will focus on using geothermal energy to produce green hydrogen, which will then be used in the production of synthetic fuels. All the hydrogen created and used will be certified ‘green hydrogen’ meaning that 100% of the energy used to generate it comes from renewable sources.
This project will comprise two phases, with an initial 30MW input, followed by the second phase of a much larger scale for the production of green hydrogen.
The total cost of Phase One is anticipated to be €100 million.