Introduction: In the third episode of Unlocking the Energy Trilemma, our guest Mr. Thierry Lepercq discusses "Deciphering Electricity Price Cannibalization," moderated by our managing director, Mr. Ravi Krishnan, and our partner, Mr. Jose A. Martinez. They talked about how intermittent renewables, without energy storage, are causing energy sources to compete and drive prices into the negative zone. Hydrogen could play an important role in solving the Energy Trilemma. We ended this podcast on April 13th, 2024. Below are the questions answered in the podcast. Listen to the podcast directly by clicking on the link provided above.
In what way can the surplus renewable energy in the market, which is primarily characterized by the negative prices, be effectively harnessed to facilitate the production of hydrogen for either as a fuel or as an energy storage medium?
Is the absence of adequate energy storage technology a risk to the achievement of the energy transition?
When combining solar and wind with energy storage, do you prefer short-duration storage solutions or long-duration options lasting more than four hours? Do you believe that existing technology has improved sufficiently to deliver the high round-trip efficiency and cost competitiveness required to maintain a consistent supply of renewable energy?
Do you think the technology has matured enough to provide the high round-trip efficiency that you need and the cost competitiveness that you would need to achieve that high level of availability through renewable energy resources?
Is the current situation where cheap renewables flood the market, sometimes leading to zero or negative electricity prices, hindering or accelerating the development of other energy sources like hydrogen?
How critical is the location of your hydrogen projects and the choice of electrolyzer technology to the production cost of hydrogen? In your view, what constitutes the optimal conditions or "sweet spot" necessary to make hydrogen economically viable as a key enabler for the energy transition?
Given the additional investments in sectors like hydrogen and renewables, do you believe these will ultimately have a positive or negative impact on the electricity user's final bill? What is your view on this potential impact?
In your opinion, how can stakeholders work together to effectively cut the production costs of green hydrogen, hence increasing its worldwide competitiveness? Given the current advances in technology and standardization efforts, what steps do you believe are critical to accomplishing this goal?
When considering the deployment of large-scale infrastructures like pipelines spanning 1,000 kilometers from Morocco to France, do you believe we have enough time to meet the transition timelines set for energy sustainability? How critical is timing in relation to the ambitious goals we've established for the energy transition?
Is hydrogen really the winning horse among the various pathways available for achieving the energy transition, such as grid modernization, renewables, carbon capture, digitalization, and electric vehicles?
Do you feel hydrogen will be a significant enabler in achieving the net zero and decarbonization targets that many industrial and energy facilities around the world are aiming for as part of their sustainability goals? What are your thoughts about hydrogen's potential role in this context?
What are your thoughts on the issue about efficiency losses in hydrogen power generation, including losses from electrolysis and combustion, which can result in a net efficiency as low as 34% in some cases? Do you think these efficiency difficulties will be overcome in the future, or do you believe they are inherently case-specific?
What specific advice or action would you take if you had the power to break the energy trilemma?