Shanghai Electric Accelerates Hydrogen Energy Chain Development, Boosts Clean Energy Adoption

• Shanghai Electric is focusing on the integration of wind, solar, storage, and hydrogen, a key strategy for expanding clean energy applications in the future.

SHANGHAI, July 30, 2024 /PRNewswire/ -- Shanghai Electric ("the Company") (SEHK:2727, SSE:601727) announced that the Company has made another significant stride in lowering the overall costs of green hydrogen with its latest Z-series alkaline electrolyzer technology, an energy-saving innovation breaking through the bottleneck of the renewable energy sector to make emission-free hydrogen production more economically sustainable.

A solution that further propels the industry toward decarbonization, the solution, which adds to Shanghai Electric's prowess in new energy innovation, makes industrial applications of green hydrogen more feasible, accelerating the utilization of hydrogen in chemical, transportation, metallurgy, and green energy storage sectors.

"Hydrogen production involves multiple segments and a long industrial chain, with cost being the primary challenge. Green hydrogen is more expensive than grey hydrogen, requiring solutions across production, storage, refueling, and usage. Our goal is to streamline the entire technology chain, driving industry-wide cost reductions," said Wu Liang, Chief Engineer of Shanghai Bright-H Technology Co., Ltd.

Green hydrogen, the cleanest form of hydrogen, is emerging as a crucial solution in the worldwide quest for renewable energy and decarbonization, but the overall economic feasibility of its production, storage, refueling, and usage is currently a major development constraint. Shanghai Bright-H Technology Co., Ltd. ("Bright-H Technology"), a subsidiary of Shanghai Electric, has been focusing on industry pain points and technological challenges, fully addressing the key links in the hydrogen energy development chain.

Through exploring alkaline water electrolysis and proton exchange membrane (PEM) water electrolysis, the Bright-H Technology is dedicated to providing integrated "production-storage-refueling-usage" system solutions for its customers, achieving breakthroughs in green chemistry, metallurgy, transportation, and energy storage.

Setting its focus on hydrogen energy as part of its technological drive to push the boundary of clean energy innovation, Shanghai Electric has been advancing hydrogen production technology and exploring its commercial applications with other energy sources since 2015. Shanghai Electric's ongoing endeavor has allowed it to spearhead a number of pilot projects, which puts the Company at the forefront of hydrogen energy innovation as it seeks to integrate the clean energy source within a broader power ecosystem.

For hydrogen production, Shanghai Electric has explored two technology routes, leveraging its technological advantages to build an industrial chain. In June 2023, Shanghai Electric independently manufactured and released a 2000 Nm³/h alkaline electrolyzer, which was China's largest single hydrogen production unit at the time. In October 2023, the Company rolled out a megawatt-level PEM electrolyzer with a capacity of 200 Nm³/h, leading the industry in China in overall performance, with its compact, lightweight, and flexible design making them better suited for hydrogen refueling stations.

Shanghai Electric has also developed high-pressure hydrogen storage tanks and offers diaphragm compressors for hydrogen refueling while exploring hydrogen applications, such as green chemistry and hydrogen-blended gas turbines. In November 2023, the company tested a hydrogen-blended gas turbine at Datang Haikou Power Plant, achieving a hydrogen volume ratio above 7%, the first operational F-class project in China. In addition, Shanghai Electric proprietary DeNox burner is capable of achieving hydrogen blends of up to 30%.

As of now, Shanghai Electric has secured hydrogen energy projects across the power, transportation, and chemical sectors, leading the way in advancing sustainable energy solutions and driving innovation in clean hydrogen. The Taonan wind power-biomass green methanol integrated demonstration project is set to produce one million tons of green methanol annually in three phases. The first phase aims to develop a 250,000-ton wind-biomass green methanol project, supported by an installed capacity of 680,000 kilowatts of renewable energy.

Marking a breakthrough in hydrogen energy technology development and commercialization, The Zero-Carbon Demonstration Project by the Bright-H Technology integrates renewable energy generation, PEM water electrolysis for hydrogen production, hydrogen storage, and fuel cells. The power generated by the project is sourced from renewable energy, with fuel cells providing additional power during low-demand periods, achieving zero carbon emissions in hydrogen production and green energy self-sufficiency.

For more information about the hydrogen R&D and latest related projects with Shanghai Electric, please visit https://www.shanghai-electric.com/group_en/.