Lloyd’s report outlines two steps to green energy heaven
11 Aug 2020
The future of UK offshore energy lies in a two stage move to electrification followed by exploitation of hydrogen together with carbon capture and storage, advises a new report by Lloyd’s Register.
The technical study on behalf of the Oil and Gas Authority (OGA) into potential options for decarbonising the system, examined the means to move to an integrated energy future.
The findings of this study informed the Energy Integration Project report by the OGA in partnership with Ofgem, The Crown Estate and the Department for Business, Energy and Industrial Strategy (BEIS).
Tristan Chapman, senior vice president of clean energy at Lloyd’s Register, stated:
“Oil and gas will continue to play a key part of the UK’s future energy mix, and can be balanced alongside low carbon, alternative energy sources. This transition will mean emissions from hydrocarbon production can be reduced to net zero, while we accelerate the technological developments needed to move to 100% clean energy sources in years to come.
He said the research demonstrated that platform electrification, via offshore wind farms as well as from shore, and gas-to-wir einplace of natural gas, offered the best opportunities in the near-term.
“However, the longer term vision, and where the real potential lies is in the mix of blue hydrogen, green hydrogen, and CCS at scale, allowing for the creation of truly integrated hubs providing continuous energy across borders.”
The OGA report predicts the integration of offshore energy systems, including oil and gas, renewables, hydrogen and carbon capture and storage, could contribute to deliver approximately 30% of the UK’s total carbon reduction requirements needed to meet the 2050 net zero target.
Colette Cohen OBE, CEO of the Oil and Gas Technology Centre in Aberdeen said the report reinforced the importance of an integrated energy future to unlock the full potential of the North Sea and accelerate the UK to a net zero future.
“The OGA’s commitment to support deployment of technologies and pioneering projects to enable this transition is very welcome. We look forward to working with the regulator, industry and cross sector to deliver technologies to drive the transition to net zero future.”
Sir Ian Wood, chair of Opportunity North East said the most encouraging featuring is that UK North Sea Continental Shelf activities could achieve 60% of the UK’s decarbonisation requirements, demonstrating the importance of oil and gas operators and supply chains allocating more resources to energy transition activities.
“The expansion of offshore wind, growth of hydrogen as alternative fuel and development of carbon capture usage and storage infrastructure offer opportunities to diversify and expand our supply chain and create new jobs, new export opportunities and make a major contribution to Scottish and UK net zero targets,” he said.
