This report was supported by the BC Clean Energy and Major Projects Office and prepared by Foresight Canada and Sacré-Davey.
Executive Report Summary
Hydrogen has the potential to contribute to decarbonization targets by serving as a clean energy carrier for hard-to-abate sectors. There are challenges associated with transportation, including the need for specialized infrastructure and potential safety risks if not handled and contained correctly.
Gaseous hydrogen can be inefficient if large quantities are required, and liquid hydrogen can be volatile and expensive. This has led to growing interest in exploring the properties, risks, and opportunities of different hydrogen carriers. This report explores the trade-offs and opportunities of hydrogen carriers,
including ammonia, methanol, and liquid organic hydrogen carriers (LOHC). In particular, the differing transportation, handling, and storage requirements.
This report includes an overview of existing regulations in BC in relation to the transportation of hydrogen and hydrogen carriers, though this is an
area that is still developing as new technologies and processes emerge. The report examines existing infrastructure within BC and identifies potential upgrades that would be required for transportation of hydrogen and hydrogen carriers with a focus on pipeline, truck, and rail. Generally, there is established infrastructure in more populated areas, such as the south of the province and where there are existing industrial or oil and gas industries such as in the north east and on the north coast.
Further assessment has been undertaken to evaluate the different hydrogen carriers and potential infrastructure development impacts in BC. This includes an assessment of environmental and social considerations, scalability and costs, and market potential of hydrogen carriers. Pipeline transportation could be the best long-term solution, particularly for large volumes of hydrogen, but practical limitations exist in the technical feasibility of converting existing pipelines along with the environmental, social, and economic challenges in developing new pipelines. Although supply chains, existing infrastructure, and regulations are established for road and rail transportation, particularly of ammonia and methanol, there may be challenges in delivering large volumes and the cost of additional processes needs to be considered. There is growing market potential for both green ammonia and methanol which may be attractive in having more diverse end-use applications.
The trade-offs and advantages of each carrier and transportation method will need to be assessed for different scenarios.
Factors to be considered include availability of existing infrastructure, distance, volume demand, end-user requirements, and the location of production sites and end-users. The risk analysis section provides an overview of key hazards associated with hydrogen and hydrogen carrier transportation. In all transportation scenarios, hazards can exist such as accidental releases, adverse weather/environment, derailments, road crashes, fires, explosions, hydrogen embrittlement, and cracking in critical equipment and piping. A review of past incidents has been undertaken to recognize potential hazards and highlight preventative measures. Processes will need to be clearly defined to understand and address hazards associated with specific transportation options and carriers, ensuring that appropriate handling processes, storage requirements, and procedures are in place to promote safety and limit risks.
Opportunities
The opportunity assessment highlights key areas within the BC ecosystem that can be leveraged to support hydrogen and hydrogen carrier transportation initiatives within the province. The existing policy and regulatory environment is favorable to investors, which is reflected in growing research and new projects in the region. The number of hydrogen and fuel sector organizations also contributes to a knowledgeable and skilled workforce. Physical resources and existing infrastructure within BC, such as an affordable and clean supply of energy and availability of natural gas and freshwater, positions the province as a key location for hydrogen production and transportation.
There are also many opportunities for partnerships to contribute to the existing hydrogen ecosystem within BC. In particular, there are opportunities with existing industry partners developing the hydrogen sector and with First Nations communities to lead and collaborate on projects.
Capitalize
on existing supply chains, innovation and leadership in the hydrogen sector within BC to advance technology and improve efficiencies in hydrogen carrier use and transportation.
Support
knowledge centers and skilled workforce within the region and improve the cost, efficiencies and availability of technology to support the hydrogenation and dehydrogenation process of carriers which could enable easier and more affordable transportation of hydrogen via carriers.
Invest
in infrastructure on a case-by-case basis which aligns with hydrogen demand, but note that a combination of different transportation methods and carriers would be a more resilient and balanced approach.
Expand
infrastructure in line with the planned hydrogen hubs and active hydrogen projects in BC with good market potential and opportunities.