ARTICLE Hydrogen’s bright future in the no-carbon world Demand for hydrogen will fuel the scale that brings prices down, argues TotalEnergies Chairman & CEO Patrick Pouyanné, and it’s up to governments to prime the pumps. On 28 May 2021 the global energy giant signalled its strategic lowered the cost by scaling up the technologies. “For me, this transformation from a conventional oil and gas player into a could be a future role of TotalEnergies: a massive producer broad energy company with a strong focus on clean fuels, of hydrogen at an affordable price.” Renewables are more including hydrogen. competitive and the capex for electrolyzers is falling, which The new name and logo recognize TotalEnergies’ aspiration will help the economy of hydrogen to happen, but the LNG to be a top-five global producer of renewables. When asking experience suggests that technology isn’t enough. shareholders to approve the change, TotalEnergies Chairman and Chief Executive Patrick Pouyanné told them: “To contribute DEMAND SOLUTIONS to the sustainable development of the planet in the face of “With LNG, the technologies were there, but demand was climate challenge, we are moving forward together towards lacking,” Pouyanné recalled. “We need to accelerate the new energies… Our ambition is to be a world-class player in the hydrogen cost-reduction by developing the international market.” energy transition.” To do that, the TotalEnergies Chief said, policymakers must develop demand. “People think about the energy transition as TÊTE-À-TÊTE a supply-side problem, but there is no appetite to invest in very Two weeks later, Pouyanné spoke with Dominique Senequier, large plants to increase supply if we do not have the demand.” It Founder and President of Ardian. He said hydrogen will help is a chicken-and-egg problem, he conceded. TotalEnergies “reach our carbon-neutrality ambition,” but admitted it’s easier said than done. Cost is the big challenge. “Hydrogen STATES MUST PRIME THE PUMPS has a bright future in the no-carbon world, providing we can Governments can help, he argued. “They could, for example, produce it at a very competitive cost.” He noted that at present, decide that all natural gas networks in Europe should be injected clean hydrogen – which is not a primary fuel, but is the result of with 5% or 10% hydrogen. Or they could create regulation an industrial process – costs roughly between five and ten times which forces the next generation of long haul trucks, beyond say more than natural gas. 2030, to be hydrogen-driven. Or they could require that new “Lowering the cost of hydrogen requires a change of scale,” he trains run on green H. Or all three.”2 said. “We’ve done it before, starting 40 years ago, with LNG Meanwhile the extent of infrastructure is a brake on demand, – liquified natural gas.” Then, Total and other energy players he says. “It’s another call to government. Car manufacturers are 50