New Delhi: As we delve into the subject of decarbonizing mobility, our collection, “The Options in Propulsion Expertise,” takes centre stage. All through this collection, we are going to solid a highlight on a spectrum of options, specifically Hydrogen-ICE, FCEV, CNG, Ethanol-Methanol, Hybrid methods, and BEVs. Our first article will spotlight H2ICE’s potential for decarbonizing the heavy mobility section in India.Emergence of hydrogen within the Sustainable mobility spectrum
In recent times, pushed by rising CO2 ranges, there have been a number of excessive local weather occasions globally. They’ve prompted governments worldwide to take steps to scale back carbon emissions that lead local weather change. The transport sector, which contributes to over 24% of carbon emissions globally, has change into a key space for decarbonisation efforts. Consequently, over the previous few years the mobility market has been reworking quickly, shifting in direction of various decrease emission powertrain choices of which electrical mobility has been rising as the choice of alternative for decarbonisation. Globally, the sale of electrical automobiles has been rising quickly, with the share of electrical automobiles rising to 14% of latest automobiles offered in 2022.Within the heavy-duty vans section, electrification is constrained by battery weight (and thus the efficient payload) and charging time concerns. It’s on this section that hydrogen (particularly inexperienced hydrogen, which is produced from electrolysis of water utilizing renewable power) is globally rising as a substitute answer. There are 4 hydrogen mobility choices being mentioned at the moment, which embody HFC (Hydrogen Gasoline Cell), H2ICE (Hydrogen Inner Combustion Engine), E-Fuels and HCNG (Hydrogen Compressed Pure Fuel). Of those, two hydrogen choices dominate the discourse, HFC (Hydrogen Gasoline Cell) and H2-ICE (Hydrogen inner combustion engine) automobiles.HFC automobiles use a propulsion system much like BEVs (Battery electrical automobile), the place power saved as hydrogen is transformed into electrical energy by a gas cell to energy an electrical motor. H2-ICE automobiles burn hydrogen in an ICE engine. These automobiles might be developed by modification to current pure fuel engines. Whereas finally, HFC would be the most popular choices for electrification of heavy mobility, given the present increased prices of gas cells, H2-ICE automobiles can play a key function as an interim answer, guaranteeing decarbonization of this section.
Hydrogen Mobility in Heavy Car Segmet
Hydrogen has a gravimetric power density of 33.6 KWH/kg, which is considerably increased than 200-300 WH/kg for lithium-ion batteries at the moment being utilized in numerous electrical automobiles. Which means the upper power requirement of heavier automobiles might be met with out correspondingly rising the burden of automobiles and thus lowering the payload capability.
Aside from a decrease payload, H2-ICE automobiles present different benefits for the lengthy haul, heavy automobiles section. By way of refuelling instances, a typical 40 tonne (GCVW) trailer which requires an put in battery capability of 300-350 KWh can have a charging time of 1.5 hours with a DC ultra-fast charger (240 KW). In comparison with this an H2-ICE automobile has a refuelling time of 5-Quarter-hour, which is similar to that for fossil-fuel ICE automobiles. For the trucking trade, the place uptimes critically affect the entire price of possession, H2ICE can guarantee a pure shift from present diesel vans.
Given the give attention to inexperienced hydrogen within the nation, H2-ICE offers a viable energy prepare possibility for decarbonizing the heavy-duty automobile section. It will probably additionally propel the event of hydrogen refuelling infrastructure, which may assist adoption of HFC within the time to return. Recognizing the relevance of H2-ICE to the Indian context, we’re seeing corporations getting into this section with new merchandise.
Ashok Leyland has partnered with RIL to develop a H2-ICE heavy-duty truck (19-35 tonnes), which was unveiled earlier this 12 months. RIL has additional plans to make use of these vans together with retrofits, as a part of its contracted fleet of 45,000 vans which are used for refining and advertising and marketing operations. TATA Motors can also be engaged on growing H2-ICE options.
The Indian context
India, having one of many world’s best renewable power (RE) tariffs, holds immense potential for producing hydrogen at aggressive LCOH (Levelized Value of Hydrogen). This not solely paves the way in which for home development but additionally unlocks promising export alternatives. Furthermore, the trajectory of RE tariffs in India is poised to lower additional, pushed by economies of scale, sturdy authorities assist, and ongoing enhancements in operations and upkeep. One other pivotal issue shaping LCOH is the electrolyser capex whereby the Indian authorities has taken proactive steps, introducing a scheme with incentives totalling INR 4,440 Crore to spice up home electrolyzer manufacturing, which is anticipated to scale back electrolyser costs.
Our evaluation reveals that owing to the associated fee discount within the inexperienced hydrogen manufacturing in addition to worth chain until refuelling stations, H2-ICE heavy responsibility automobiles will likely be at a TCO benefit of ~30%-35% as in comparison with an equal diesel automobile by 2030-2035. This not solely makes hydrogen-powered automobiles economically viable but additionally sparks important discussions relating to hydrogen’s widespread utilization and the urgent challenges that must be addressed to make sure development of the hydrogen mobility ecosystem.
Challenges and alternatives
Though H2-ICE is a viable answer for the decarbonization problem, its growth and adoption within the nation are depending on sure important elements. As we mentioned earlier, with anticipated discount in value of inexperienced hydrogen manufacturing and different worth chain parts sooner or later, H2-ICE is anticipated to change into economically aggressive to the prevailing diesel choices. Nevertheless, the widespread development of the hydrogen mobility ecosystem will additional require (1) the event of hydrogen transportation and refuelling infrastructure and (2) increasing the automobile choices obtainable to the shoppers.
Hydrogen transportation, refuelling system
Hydrogen manufacturing and refuelling footprint will rely on a mixture of things i.e. the LCOH for manufacturing of Hydrogen in a specific state, the space of the manufacturing centre from the demand centroids / arterial highways. The transportation mode between the manufacturing and consumption centre will likely be additional influenced by the trade-off between the amount transported and the capex for the transportation possibility specifically Kind 1 cylinders, Kind 4 cylinders, liquid / cryogenic cylinders or pipelines, that are respectively within the rising, order of capability and capex.
Added to that is the truth that Hydrogen refuelling methods (HRS) has a excessive capital expenditure and thus can add additional to the manufacturing and transportation LCOH and thus show a barrier to widespread refuelling availability. The important thing could be to drawn an optimum stability between the manufacturing, consumption and transportation elements to make sure the bottom price of Hydrogen on the pump.
Car choices obtainable to the shoppers
Adoption of H2-ICE automobiles may also rely on OEMs providing a complete vary of hydrogen-powered automobile fashions that rival Inner Combustion Engine (ICE). Technologically, an H2 ICE automobile requires minimal modifications to the powertrain of standard ICE automobiles, permitting for a sequential launching of H2 ICE fashions alongside their conventional counterparts. Growth of H2-ICE automobiles is already gaining traction with gamers resembling Tata Motors and Ashok Leyland planning to focus on this section, and because the know-how borrows lots of current powertrain structure, this ought to be the simpler piece of the puzzle to unravel.
Approach ahead
Completely different steps might be taken to advertise H2-ICE automobiles within the nation. A cluster strategy, concentrating on key logistics corridors for hydrogen refuelling infrastructure growth may help in guaranteeing most affect on emissions whereas optimizing investments. Fifty per cent of India’s freight motion occurs alongside the Golden Quadrilateral and two diagonal freeway networks connecting Delhi and Mumbai and Chennai and Kolkata. Virtually half of this freight motion is by street, which if focused for using H2-ICE automobiles can result in substantial emission discount. We estimate that 5 million to 7 million tonnes of CO2 eq might be saved until 2030, given the associated fee trajectory of inexperienced hydrogen manufacturing and the anticipated discount in H2-ICE automobile prices.
Establishing the refuelling infrastructure alongside transportation networks will play a pivotal function in catalysing the adoption of hydrogen-powered inner combustion engine (H2 ICE) automobiles and a strategic strategy might contain the event of hydrogen highways – basically well-planned highways that host a community of hydrogen refuelling stations at constant intervals. By initiating focused industrial pilots alongside these key routes, and validating each operational feasibility and financial viability, the success can then function a blueprint for enlargement into different components of the street community. One promising start line could possibly be the migration of fixed-route vans akin to these being utilized by OMCs in addition to these being utilized by categorical supply logistics fleets to H2ICE.
Refineries are already shifting in direction of inexperienced hydrogen utilization in current refining processes and refiners can additional amplify the affect of inexperienced hydrogen through the use of the identical for a) powering their current truck fleets and b) set up a distribution community for mobility wants via Hydrogen Refuelling stations. A strategic fast win for gearing up the decarbonization might contain retrofitting the prevailing fleet of vans already engaged in distribution, and advertising and marketing operations.
A notable instance is the collaborative initiative between RIL and Ashok Leyland, which intends to implement such a method. This initiative entails establishing HRS (Hydrogen Refuelling Stations) on the each day working routes of those vans. The potential for decarbonization is substantial given the appreciable scale of those truck fleets related to refineries and OMCs, numbering within the tens of hundreds (as seen with RIL-Ashok Leyland’s annual fleet of 45,000 contracted trucks-targeting ~0.5-0.7 million tonnes of CO2 equal emission financial savings per 12 months and IOCL’s each day fleet of 16,000 trucks-targeting ~0.2-0.3 million tonnes of CO2 equal emission financial savings per 12 months ).
The FCEV-based Heavy Obligation vans could be the optimum answer, as soon as the prices of the know-how come down for the gas stacks and the home manufacturing ecosystem is setup. Nevertheless, within the interim H2ICE offers a really viable various for decarbonisation of vans, which make up 38% of the entire street transport emissions.
( Disclaimer: Ashim Sharma is Senior Companion and Group Head at NRI Consulting & Options. The article was produced with inputs from: NRI’s Yogesh Shivani (Principal), Nishant Shekhar (Supervisor) and Parth Parmar (Deputy Senior Marketing consultant).Views are private.)
