Hydrogen and fuel cell technology holds opportunity for South Africa

Mkhulu Mathe (PhD) Analytical Electrochemistry, University of Georgia, Athens, GA

As the world races to reduce carbon emissions and slow climate change, there is a move towards fuel cell technology, finding favour across a wide range of applications from stationary to portable and mobile.

South Africa, a signatory to the Paris agreement on climate change, is part of the growing drive towards clean energy solutions for electrical energy and transportation systems. Besides carbon emissions reduction, other key drivers are the provision of power to remote rural communities and making use of the country’s rich source of high-grade platinum.

Recently, at 1 Military Hospital in Pretoria, the Department of Science and Innovation (DSI) unveiled Hydrogen fuel cell systems as a primary power source for a COVID-19 field hospital. In Durban CHEM Energy  SA, a subsidiary of Taiwanese conglomerate Chung-Hsin Electric and Machinery Manufacturing Corp (CHEM) opened a multi-million commercial fuel cell production factory at the Dube TradePort Special Economic Zone (DTPSEZ). It will manufacture the latest generation of fuel cell products for backup and continuous (off-grid) telecom power solutions.

The European Commission, in July 2020, issued a communique indicating its support for hydrogen fuel technology by kick-starting the European Clean Hydrogen Alliance as part of its New Industrial Strategy. The Alliance will play a crucial role in facilitating and implementing the actions of the strategy and supporting investments to scale up production and demand for renewable and low-carbon hydrogen. Other recent international developments include a leading vehicle manufacturer testing fuel-cell trucks; Norway, Denmark and South Korea are using portable fuel cells to power houses, nursing homes and community centres and Japan and Australia signing a cooperation agreement on hydrogen fuel cell technology.

South Africa’s fuel cell activities date back to the mid-2000s with the start of Hydrogen South Africa (HySA) an initiative of the Department of Science & Technology (DST), now Department of Science and Innovation (DSI). The overall goal of HySA is to develop and guide innovation along the value chain of hydrogen and fuel cell technologies in South Africa to bring about wealth, jobs and Intellectual Property Rights creation through the initiation of new high-technology industries based on minerals found in South Africa, especially Platinum Group Metals (PGMs).

HySA phases included the pioneering stage (phase one) aimed at skills development; phase two the establishment of a portfolio of IP and the third phase, the creation of local industry. To date, HySA has garnered several SA patents and two Netherlands patents, one US patent and has several SA and international patents pending. HySA has worked in conjunction with the local universities and science councils and Eskom on some of these. In contrast, local mining houses have taken an interest in the use of fuel cell technology for powering vehicles and underground ventilation.

A fuel cell works like a battery without needing recharging. It produces electricity and heat as long as there is fuel. A fuel cell consists of two electrodes—a negative electrode (or anode) and a positive electrode (or cathode)—sandwiched around an electrolyte. Oxygen passes over one electrode and hydrogen over the other, generating electricity, water and heat. Since the fuel cell relies on chemistry and not combustion, emissions from this type of system are pure water.

Fuel cells are used for stationary applications such as primary and backup power for commercial, industrial and residential buildings and in remote or inaccessible areas.  Mobile fuel cell applications are housed in vehicles, including forklifts, automobiles, buses, boats, motorcycles and submarines.

The fuel or electrolyte applied is used in the classification of fuel cells. This classification determines the kind of electrochemical reactions that take place in the cell, the type of catalysts required, the temperature range in which the cell operates, the fuel required, and other factors. Thus we get a Direct Methanol Fuel Cell (DMFC), a Phosphoric Acid Fuel Cell (PAFC) and a Proton Exchange Membrane (PEM) fuel cell uses hydrogen and oxygen gas as a fuel. The science of operations with regards to reactions, temperatures and other factors will be left for the curious reader to research.

Reports suggest that emphasis on renewable sources of energy such as solar PV and wind energy have the potential to create instabilities in electricity supply systems because their supply is variable. They, therefore, require backup generating capacity. Furthermore, they require substantial investment in infrastructure.

On the other hand, the use of distributed generation solutions (localised or on-site power generation) such as fuel cell or a hybrid solar PV-fuel cell technology, improve power quality and efficiency.

In the short term, the end-user is projected to drive the growth and advances in the fuel cell technology market at a considerable pace. Already the use of localised power systems is a growing global trend with some countries offering incentives.

The mobile application use of fuel cell vehicles is projected to increase significantly followed by stationary and military service. The installation of hydrogen refuelling stations will further drive the market in line with regional priorities.

Fuel cells are not without their challenges. The cost of the catalyst and its inverse correlation to the number of units produced is one. Typical fuel cells like the DMFC, PAFC, and PEM rely on Platinum Group Metals (PGMs) such as platinum for enhancing the reaction rate. For South Africa, the local development of fuel cell technology is an opportunity to beneficiate its platinum reserves in addition to its exports.

The cost of the catalyst used in a fuel cell makes up nearly 26% of the total price when 1000 systems are produced per year. However, when the number of systems produced increases to 500 000 per year, the catalyst cost rises to nearly 41% of the fuel cell total price. Unless a method of using less catalyst without compromising the efficiency of the fuel cell is found, the catalyst cost is projected to be an inhibitor in the growth of the fuel cell market beyond moderate production.

The use of hydrogen as a fuel has several disadvantages mainly related to its safety in transportation and storage. This concern has seen the adoption of codes and standards for using hydrogen as a fuel in vehicles as well as portable and stationary applications.

The completion of the CHEM Energy SA fuel cell factory, at Dube TradePort, along with other related activities around the country signals a diversification of clean energy solutions with the stationary applications market being the ideal driver of fuel cell uptake. Fuel cells are perfect as a backup to ensure critical power supply to institutions - hospitals, clinics for refrigeration of vaccines and other medications, telecommunications and more - are uninterrupted.

The next step would be formulating policy that will drive the growth of fuel cell technology . The initial intention of government with the establishment of HySA was not only for the country to be an early adopter of the technology but rather to position it as an exporter of value-added technologies that include PGMs.

With the country’s risk of load shedding and the increasing demand for alternative energy supply, the government now has the opportunity to develop policies that will set targets to drive the growth and advancement of fuel cells locally with tremendous potential opportunities lying in fuel cell driven vehicles. These include the manufacture of appropriate flask-type cylinders to hold the electrolyser; the manufacture of fuel tanks possibly using 3D printing and the production of competitive hydrogen.