(Reuters) – Shell (LON:RDSa) Plc said on Wednesday that it would start building a renewable hydrogen plant in the Netherlands. The energy giant said that when the plant is finished in 2025, it will be the biggest in Europe.
Shell said that Holland Hydrogen I, a 200-megawatt electrolyser in the port of Rotterdam, could make up to 60,000 kilogrammes of clean hydrogen every day.
The London-based company wants to become a “net zero” greenhouse gas emitter by 2050. As it moves away from oil and gas, it has been increasing its low-carbon output.
Shell said that it wants to use the electricity from the offshore wind park, Hollandse Kust Noord, which it owns part of, to make hydrogen at the plant.
“Renewable hydrogen will be a key part of the energy system of the future,” said Anna Mascolo, the executive vice president of Shell’s emerging energy solutions. “This project is a big step toward helping hydrogen live up to its potential,” she added.
Renewable and low-carbon hydrogen is a key part of reducing emissions, but it will only make up 5% of the world’s final energy mix by 2050. This is less than what is needed to meet climate goals, according to a report released last month by a global energy consultancy.