Monday 22 February 2021
EDP launches new business units to focus on green hydrogen and energy storage
The EDP Group is strengthening its commitment to decarbonisation with the creation of two new business units that will focus on green hydrogen and energy storage technologies.
The H2 Business Unit (H2BU) will be its new arm for the development of green hydrogen projects, with EDP aiming to strengthen the integration of green hydrogen into its portfolio “in a strategic and cross-cutting way” and promote investment in renewables.
H2BU will focus on its opportunity development efforts for green hydrogen in promising sectors, such as steel, chemistry, refineries and cements, as well as long haul heavy transport, with the US and Europe as priority markets.
The dedicated energy storage unit will be associated with EDP Renewables' operation in the US and will aim to achieve a storage capacity of 1GW within the next five years.
EDP CEO Miguel Stilwell de Andrade said: “The creation of these business units reinforces EDP's leadership in the energy transition. The growing penetration of renewable energy sources increasingly requires integration with storage systems, such as batteries, to provide the necessary flexibility to the electrical system and thus enhance the growth of renewable energy sources themselves.
“In addition, the combination of renewable energy sources in electricity generation with the electrification of consumption, will be the most cost-effective way for decarbonisation for most of the final energy uses. But if we want to meet the goals of carbon neutrality, we will need to use other energy vectors, such as green hydrogen, to respond to sectors where electricity is not a technically viable or economically attractive option.”
EDP currently has a pilot project in Ribatejo Central, the partnership in H2Sines and a collaboration with Alenquer City Council, among others.
The company is also developing the Behyond project, a partnership between Portugal and Norway to study the feasibility of offshore hydrogen production and is also involved in creating a hydrogen market in Europe in alliance with European Alliance Clean.
