An Assessment of Current Hydrogen Supply Chains in the Gulf Cooperation Council (GCC)

Abstract

The Gulf Cooperation Council (GCC), comprising: Saudi Arabia, United Arab Emirates, Kuwait, Qatar, Oman, and Bahrain, is home to an abundant number of resources, including natural gas and solar and wind energy (renewables). Because of this, the region is favourably positioned to become a significant player in both blue and green hydrogen production and their export. Current dependence on fossil fuels and ambitious national targets for decarbonisation have led the region and world to research the feasibility of switching to a hydrogen economy. This literature review critically examines the current advantages and strategies adopted by the GCC to expedite the implementation of hydrogen supply chains, as well as investigation into the methodologies employed in current research for the modelling and optimisation of hydrogen supply chains. Insight into these endeavours is critical for stakeholders to assess the inherent challenges and opportunities in establishing a sustainable hydrogen economy. Despite a substantial global effort, establishing a solid hydrogen supply chain presently faces various obstacles, including the costs of clean hydrogen production. Scaling-up storage and transport methods is an issue that affects all types of hydrogen, including carbon-intensive (grey) hydrogen. However, the current costs of green hydrogen production, mostly via the process of electrolysis, is a major obstacle hindering the widescale deployment of clean hydrogen. Research in this literature review found that compressed gas and cryogenic liquid options have the highest storage capacities for hydrogen of 39.2 and 70.9 kg/m3, respectively. Meanwhile, for hydrogen transportation, pipelines and cryogenic tankers are the most conventional and efficient options, with an efficiency of over 99%. Cryogenic ships to carry liquid hydrogen also show potential due to their large storage capacities of 10,000 tonnes per shipment, However, costs per vessel are currently still very expensive, ranging between $ 465 and $620 million.