How proper measurement of low carbon hydrogen’s carbon intensity can reduce regulatory risk

Low carbon hydrogen (whether based on renewable or nuclear electricity, or fossil fuels with carbon capture) is a means to decarbonise sectors of the economy which are hard to electrify. Its business model is heavily dependent on government intervention (e.g. mandatory targets, subsidies, decarbonisation policies) so low carbon hydrogen is subject to significant regulatory risk. The boundary between low carbon hydrogen and electrification is not clear cut. Low carbon hydrogen needs to demonstrate that it is good value for money as a way to reduce emissions. Source: OIEScarbon intensity

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