The City of Lancaster in the US state of California has partnered with energy company SGH2 to construct what is claimed to be the world’s largest green hydrogen production facility.
The facility will leverage SGH2’s technology to recycle mixed paper waste to produce “greener than green” hydrogen.
In addition, the green hydrogen will be five to seven times cheaper compared to “gray” hydrogen produced from fossil fuels like natural gas.
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The City of Lancaster will co-own the production facility. The project will produce up to 11,000 kilograms of green hydrogen per day, and 3.8 million kilograms per year – nearly three times more than any other green hydrogen facility, built or under construction, anywhere in the world.
The production facility will process 42,000 tons of recycled waste annually. The City of Lancaster will supply feedstock of recyclables. This will help the city to save between $50 to $75 per ton in landfilling and landfill space costs.
The facility will be built on a 5-acre site, will employ 35 people full-time once it’s operational, and will provide over 600 jobs during 18 months of construction.
Full operation of the plant is expected in the fourth quarter of 2022.
Rex Parris, the mayor of Lancaster, said: “As the world, and our city, cope with the coronavirus crisis, we are looking for ways to ensure a better future. We know a circular economy with renewable energy is the path, and we have positioned ourselves to be the alternative energy capital of the world. That’s why our partnership with SGH2 is so important.
“This is game-changing technology. It not only solves our air quality and climate challenges by producing pollution-free hydrogen. It also solves our plastics and waste problems by turning them into green energy, and does it cleaner and at costs far lower than any other green hydrogen producer.”
Bloomberg New Energy Finance reports that clean hydrogen could cut up to 34 per cent of global greenhouse gas emissions from fossil fuels and industry.
SGH2 is in negotiations to launch similar projects in France, Saudi Arabia, Ukraine, Greece, Japan, South Korea, Poland, Turkey, Russia, China, Brazil, Malaysia and Australia.