Emerging Trends in the Power Generation Industry: Hydrogen and Nuclear Power
The power market has become something that is taken for granted by the developed world.
The power market has become something that is taken for granted by the developed world. We expect to flip a switch in our homes or businesses, or plug in equipment, and the power will just be there. Today, much of the power generated in the U.S. has shifted from coal to natural gas as its main input, but around the world coal is still very prevalent, particularly in less developed countries.
As the global population has expanded, and efforts to move to cleaner energy continue, there are already dozens of projects and billions of dollars being invested by industry and governments to create the next generation of the power industry. Renewables are leading the charge, as well as hydrogen and a nuclear renaissance of sorts.
With a stated goal of decarbonizing just the U.S. electrical grid by 2035, according to the International Renewable Energy Agency (IRENA) and the Electric Power Research Institute (EPRI) at today’s rate we’ll need three times the overall generation capacity compared to 2020. Annual solar and wind deployments must occur at four times the current rates, and 200,000 miles of new high voltage transmission lines must be installed. For reference, only 675 miles of lines were built in the U.S. in 2022.
Cleaner alternatives to fossil fuels that won’t require an entirely new infrastructure and can be implemented in time to meet some of these seemingly lofty goals are required. Solutions being discussed include solar, hydropower, geothermal, hydrogen and expanding nuclear power capabilities including with small modular reactors (SMR). But realistically, the U.S. Energy Information Administration (EIA) believes at the current pace and with known investments, the stated desire to get to 80% renewable energy sources by 2030 isn’t feasible, but maybe 40% by 2050 is with the right support from government and industry.
Wolfgang Neitzke of Siemens has been discussing these issues with utilities, manufacturers, legislators and his peers and says a big problem he sees in the U.S. is our power grid infrastructure. “We have islands in our grids today — Texas, the East Coast and the West Coast — act very independently,” he says. “And with renewables, the energy has to move in a different direction, like wind farms in the Pacific region need to have the power they generate redirected to other places in the country that need it, which is different direction than fossil fuels today.” This will require reconfiguration and updates to the national power grid, to make it more unified.
Also, the amount of data available today to utility companies with sensors and smart meters in homes is allowing power companies to use algorithms to predict power usage and adjust their generation and storage capabilities to meet these needs. Recent storms in Texas have shown us just how vulnerable our current infrastructure is, so moving toward more protected stored energy is imperative.
Hydrogen: Paving the Way for a Cleaner Future
Hydrogen has emerged as a promising alternative fuel for power generation due to its clean combustion properties and versatility across various sectors. In the power industry, hydrogen can be utilized in several ways:
- Fuel for Gas Turbines and Fuel Cells: Hydrogen can be combusted directly in gas turbines or used in fuel cells to generate electricity with zero emissions other than water vapor.
- Energy Storage: Hydrogen can store excess renewable energy through electrolysis, where electricity splits water into hydrogen and oxygen. This stored hydrogen can be later converted back into electricity or used in industrial processes.
- Grid Balancing: Hydrogen can support grid stability by providing backup power during peak demand periods or when renewable sources are intermittent.
One of the significant advantages of hydrogen is its compatibility with existing natural gas infrastructure. This existing infrastructure can be repurposed for hydrogen distribution and storage, significantly reducing the costs and time required for deployment. This adaptability makes hydrogen a feasible option for scaling up renewable energy integration without massive infrastructure overhauls.
Nuclear Power: A Resurgence in Clean Energy
In parallel to hydrogen, nuclear power is experiencing a resurgence as a reliable and low-carbon energy source. Modern nuclear technologies offer several advantages:
- Low Emissions: Nuclear power plants produce minimal greenhouse gas emissions during operation, making them crucial for achieving carbon reduction targets.
- Reliability: Nuclear power provides a stable and continuous energy supply, unlike intermittent renewable sources like wind and solar.
- Advanced Reactor Designs: New reactor designs focus on enhanced safety features, reduced waste generation and improved efficiency, addressing past concerns about nuclear energy.
Countries such as the United States, China and several European nations are investing in next-generation nuclear technologies, aiming to revitalize their nuclear power capacities as part of their clean energy strategies. These advancements include small modular reactors (SMRs) and advanced reactors that promise safer operations and cost-effectiveness. These SMRs can be used at individual sites, including manufacturing facilities or data warehouses that power hundreds or thousands of servers like those operated by Amazon Web Services and Google Cloud.
Hydropower: An Original Clean Energy Source
In addition to hydrogen and nuclear power, hydropower has been powering machinery and the world for centuries. From running mills to enormous dams around the world, this clean energy is one that can’t be overlooked. The challenges with these plants are a very long approval process, that include ecological impact studies that review the ecological and biological impact of redirecting waterways and displacing wildlife that resides there. And maybe more importantly, climate change is causing water shortages in many parts of the world making it even more challenging to rely on water as a universal solution. That said, in some parts of the world, hydropower is a very viable solution. Energy created from hydropower can be stored by electric power systems and ensure continuous baseload of power during high demand when solar, wind and other energy sources may not be able to meet the needs of consumers. It’s an inherently clean technology with many advantages and is relatively efficient to produce and store.
Challenges and Future Outlook
Despite the promising advancements in hydrogen and nuclear power, both technologies face challenges that need addressing:
- Cost Competitiveness: Both hydrogen production and nuclear power generation currently face higher costs compared to conventional fossil fuels. Continued research and development efforts are essential to drive down costs and improve economic viability.
- Public Perception and Regulatory Hurdles: Nuclear power, in particular, continues to face public perception challenges regarding safety and waste disposal. Addressing these concerns through transparency and improved safety standards is critical for wider acceptance.
- Infrastructure Development: While hydrogen benefits from existing natural gas infrastructure, scaling up production and distribution networks, as well as storage facilities, remains a significant logistical challenge.
Looking forward, the synergy between hydrogen and nuclear power could play a pivotal role in achieving global climate goals. By leveraging hydrogen for flexible energy storage and grid balancing alongside the reliability of nuclear power, countries can foster a resilient and sustainable energy future.
Impact of New Energy Solutions on Manufacturing
What does this mean for manufacturers of equipment used by the power industry? Well, there are several solutions on the show floor at IMTS 2024 that highlight technology that can be used by Power Energy OEMs and power utilities.
Digital twins can be used to make companies faster and more competitive by learning how a part is going to be made, programming it and determining how much actual time it takes to manufacture. This will allow companies to predict — and thus avoid — potential collisions in the machining process, to much more accurately quote customers on time and pricing and ensures that parts are produced according to specification the first time.
Additionally, Neitzke says additive manufacturing has a place in today’s power market for things like turbine blade repair for gas turbines — something that may not have been considered even a few years ago.
Cybersecurity is another issue that utilities need to prioritize and be diligent with data security within their organizations, and to prevent hackers from nefarious takeovers.
The power generation industry is embracing a diverse mix of technologies to meet growing energy demands while mitigating environmental impacts. Hydrogen and nuclear power represent integral components of this evolving landscape, offering clean, reliable and scalable solutions for a carbon-neutral future. As technological advancements continue and global investments grow, these trends are set to reshape the energy sector profoundly in the coming decades.
Adaptability is the final and overarching theme not just for the power market but for the world today. Adjusting our expectations and being more agile and adaptive in what we do, how we do it and changing to meet our customers’ needs is critical to a successful transition to not just clean energy but to our global manufacturing community.
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