Chlor-alkali producers in Brazil are hoping to tap into the expected growing demand for renewable hydrogen, according to industry association Abiclor.
Abiclor has included the prospects for renewable hydrogen in its strategic roadmap to 2035.
Hydrogen is a by-product of chlorine alkali production and, while for much of the world using a electrolyser to obtain hydrogen is a novel concept, "our industry has been producing hydrogen through electrolysis for 50 years," Abiclor president Milton Rego told Argus.
The Brazilian chlor-alkali sector currently produces 40,000 t/yr of hydrogen from 3.2mn t/yr of chlor-alkali output — some of which is used by the companies for their own processes, while some is sold as feedstock to other chemical and industrial gas companies.
While the hydrogen would typically not be considered renewable or green — given that it is a by-product — Rego noted that chlor-alkali producers use power from Brazil's grid to run their facilities and that over 80pc of the country's electricity comes from renewable sources.
The large share of renewables in Brazil's grid means that chlor-alkaline firms in the country can produce hydrogen with a lower carbon footprint than similar companies elsewhere, Rego said. But national and international certification schemes will be needed to demonstrate the green credentials of the by-product hydrogen that the companies produce, as demand for renewable hydrogen grows, he said.
According to Abiclor's calculations, the sector's output as a by-product could increase by 40pc until 2035 to reach around 60,000 t/yr.
Despite the potentially strong increase, 60,000 t/yr would arguably only make up a small share of overall hydrogen output in the country by 2035, even if just a fraction of Brazil's planned renewable hydrogen plants is realised. But chlor-alkali producers are confident that their hydrogen would be cost-competitive because of lower energy requirements compared with conventional electrolyser plants.
In their process, "the energy is shared with the other products produced — chlorine and alkali," Rego said. "In this way, the energy requirement per kg of gas is lower than an electrolysis plant dedicated only to the production of hydrogen".
While producing hydrogen from dedicated electrolyser plants may be more expensive, traditional chlor-alkali firms may in future also pursue this path to boost their overall output and capitalise on a growing market. "If there is dynamism in this market, these companies will start producing hydrogen, only hydrogen," Rego said, adding that "I have no doubt that chemical companies will invest to increase their green hydrogen production capacity".
Rego also noted that there are still hurdles that need to be overcome before a hydrogen economy can take off properly, pointing to a lag in establishing regulatory frameworks and certification standards, within Brazil and globally.
The largest chlor-alkali producers in Brazil include Unipar, Braskem and Dow Brasil.
