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7. CONCLUSIONS: STAKEHOLDER ROLES IN SCALING UP GREEN HYDROGEN COST REDUCTION 92 Today, green hydrogen represents only a limited share of global supply. The transition to a future where green hydrogen has not only displaced fossilbased hydrogen, but also gone beyond the industrial sector to become a fuel and energy carrier, will therefore not happen overnight. It will also not happen without the participation of multiple stakeholders. Coordination is key, across four dimensions at least: Across the value chain: Hydrogen supply (as covered in this report) has to be done in parallel with infrastructure development and, more importantly, demand. At least during the early stages, when a market has not yet developed, production projects need to be codeveloped with an offtaker, since there is no grid or ubiquitous established sink that can absorb all the production. While blending in the gas grid, if combined with tracing and financial compensation, can provide an alternative, it is only an alternative for early stages of development. Across borders: All sectors, from electrolysers to fuel cells, direct reduction of steel to ammonia ships and synthetic fuels, will benefit from global collaboration. This applies to the deployment level – enabling learning from projects to drive costs down – and at the research level, enabling the coordination of national programmes. Across sectors: The green hydrogen covered in this report will benefit from combining different applications to aggregate demand, justifying larger projects and achieving economies of scale that benefit production and, perhaps, infrastructure. Across stakeholders: Green hydrogen will not scale up without support from multiple stakeholders. Fortunately, there is already widespread interest in hydrogen from energy utilities, steel makers, chemical companies, port authorities, car and airplane manufacturers, shipowners and airlines, amongst others, but their actions need to be in the same direction. For governments, there are multiple actions that could be pursued to promote green hydrogen production. Most of these will have the largest impact in the early stages of deployment (see Figure 36). Some, however, such as market regulation and financing, will be crucial once the market kicks off and the scale-up process begins. Governments should also adopt a flexible approach in which strategies and targets are frequently reviewed to give consideration to the latest developments. For example, the Australian strategy includes this approach (Strategic Actions 2.1 and 2.2) to remove market barriers and support technology growth, as the market develops.PDF Image | GREEN HYDROGEN SCALING UP ELECTROLYSERS
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