3 ways to reduce dependency on oil and gas Sponsored by SAP
In addition to expanding LNG and clean hydrogen production, energy expert Benjamin Beberness, Global Vice President Oil, Gas, and Energy Business Unit, SAP, says there are also important gains from carbon capture, utilization, and storage . These three elements will be key in reducing dependency and reaching net zero.Natural gas in its liquified state is the perfect transition fuel. Natural gas can help meet emissions reduction and improve air quality, as itthan coal and diesel fuel.
Beberness points out that natural gas acts as a reliable partner for renewable energy sources. It supplements renewable sources like wind, solar, and hydroelectricity, filling shortfalls to match supply and demand. Afterall, not all processes and activities are ready or easy to electrify such as large-scale transportation, but the ability to liquefy gas into LNG further helps diversify the fuel mix and reduce air pollution.
“The natural gas industry’s success will be measured by adopting new and smart technologies like drones, machine learning and artificial intelligence,” said Beberness. “The focus will be on coupling operational data with improved operational processes to reduce methane leaks and capture emissions.”Unlike LNG, low-carbon hydrogen represents a tiny share of the energy market today. However, it is perceived as having great potential as a versatile energy source.
Traditionally, hydrogen is produced by gasification of coal. Referred to as “brown” or “black” hydrogen it has the largest emissions of CO2 and CO as they can’t be easily captured or reused in other processes. Today, hydrogen is based on natural gas, referred to as “grey,” which has lower emissions relative to coal. When CO2 capture is coupled with production from natural gas, the resulting “blue” hydrogen becomes a low carbon energy source.
Beberness is excited about the advancement in technologies for electrolysis because they herald a promising and growing form of “green” hydrogen production. However, he warns, there are still policy changes and much investment and maturing needed before it will be possible to scale up and reduce the costs of this form of energy production
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