Water as key enabler of the energy transition

How can the energy transition go hand in hand with sustainable water management? And how can energy companies make informed decisions towards achieving both their climate and water targets?
streams of water from an industrial plant

Energy companies play a crucial role in our economic development and in achieving our global climate goals. They carry the responsibility for ensuring a reliable and secure energy supply. Hydrogen and biofuels can play an essential role in decarbonizing economies. Although hydrogen has a lower carbon footprint compared to fossil fuels, it does have a large water footprint for the electrolysis process and cooling. Growing water challenges like water scarcity, water pollution and droughts, combined with shifting towards renewable energy sources can lead to constraints in access to water and to stakeholder conflicts if not managed well.

Balancing energy needs with sustainable water management

The energy transition requires careful considerations on the impacts and dependencies to water. Responsible water management as part of the energy transition will ensure business continuity, license to operate and the availability of sufficient and safe water for future generations. There are several key challenges in relation to water that need to be considered:

  • Alternative energy products like hydrogen and biofuels can have large water footprints and other water requirements than fossil fuels, geothermal energy, and solar power. Producing green hydrogen requires not only water for the electrolysis process, but even larger quantities for cooling. To provide these quantities, the availability and quality of water supplies must be investigated carefully.
  • The quality of the water matters as green hydrogen production requires ultra-pure water for the electrolysis process. The lower the raw water quality is, a higher level of treatment is needed. This will not only add costs, but also the management of reject waters like brine.
  • Securing permits to access water sources for hydrogen production can become complex as some countries have already restricted access to freshwater resources for hydrogen production. What are the optimal water supply sources? How can water be supplied from these and of what quality? Especially in water stressed regions impacted by climate change and population growth. The costs and environmental implications of tapping into alternative water supply sources must be carefully evaluated.
  • Site-specific challenges: each location can present unique local challenges and opportunities. Local stakeholder engagement and water resources management require contextual approaches and solutions.
  • These challenges need to be considered carefully to take decisive steps prior to transforming business models and operations as these hold strategic opportunities to enhance competitiveness, business resilience and create value for stakeholders.

    Steps to mitigate water risks in hydrogen production

    Water in hydrogen production is multifaceted and should be considered from a technical, physical, regulatory, social, financial, and environmental aspect. This can be done by through the following steps.

    Royal HaskoningDHV has supported multiple energy companies to make informed decisions on water resource management as part of their energy transition. Our clients value the diverse expertise we bring from our technical process engineers, hydrogen experts, policy and water governance experts. Our sustainability consultants assist you to integrate decision making on water in your corporate ESG and Sustainability Strategy.

    At an asset level, focusing on managing your water resources more effectively and responsibly can be achieved by developing a Water Stewardship Plan or a Water Master Plan. These plans are designed to help you identify and address the water-related risks and opportunities that affect your business, your stakeholders, and the environment. Our technical engineers can help you navigate most optimal water technology choices.

    Royal HaskoningDHV offers a wide range of solutions that can help the transition of energy companies while achieving your sustainability goals, including those in relation to water. Reach out to us to learn more and start your journey towards sustainable water management for your energy company.

    Basja Jantowski - Global Lead Water Strategy – Water for Industry

    BasjaJantowski

    Global Lead Water Strategy – Water for Industry