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1. INTRODUCTION SCALING UP ELECTROLYSERS TO MEET THE 1.5°C CLIMATE GOAL 1.1 HYDROGEN AND RENEWABLES The world is undergoing a dramatic change in the way energy is produced, transformed, stored and used in its various forms. People are becoming increasingly conscious of the need to move towards a society where energy stops contributing to climate change and local pollution, replacing fossil fuels with renewable energy. 15 The major cost component for green hydrogen is the electricity supply. Cost decline in this is already underway through the competitive deployment of renewables. There is a need to focus on reducing the procurement and construction cost and increasing the performance and durability of electrolysers, to achieve further cost reductions in green hydrogen production. Green hydrogen can achieve cost-competitiveness with fossil-based hydrogen today in ideal locations with the lowest renewable electricity costs. Cost reductions in renewable electricity and electrolysers will continue to increase the number of sites where green hydrogen can be produced competitively, however. Policy support in recently unveiled hydrogen strategies in many countries is mostly in the form of explicit electrolyser capacity targets and, to a more limited extent, cost targets. These have yet to translate into specific regulatory instruments. So far, these explicit targets are not enough to be in line with 1.5°C decarbonisation pathways. KEY POINTSPDF Image | GREEN HYDROGEN SCALING UP ELECTROLYSERS
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