In an exclusive interview with Energy Review, Elie Rizk, director of business development at Mitsubishi Power Middle East, and North Africa, shares his views on energy transition journey and the future of hydrogen as a renewable energy source in the MENA region.
Hydrogen is increasingly being seen as playing an important role in achieving carbon neutrality. How will hydrogen contribute to driving clean energy in the future?
The journey to decarbonization includes adopting robust energy transition policies – shifting from an energy mix based on fossil fuels to one that produces very limited, if not zero, carbon emissions and from renewable energy sources. Hydrogen has been widely used in oil and gas industries and now has an enhanced ability to transform the grid and facilitate a sustainable future. It is light, diffuses rapidly, and can be harnessed with renewable power effectively to meet the world’s increasing power needs
Hydrogen has the potential to improve the economics of renewable energy investments, enhance security of power supply and serve as a carbon-free seasonal fuel when stored, therefore supplying energy when renewable energy production is low and energy demand is high. This means that hydrogen enables the greater use of renewable electricity; and is capable of decarbonizing nearly every sector that makes up the global economy, including ones that have traditionally been difficult to decarbonize using renewables alone.
Mitsubishi Power plays a central role in power generation and is continuously working towards reducing environmental impact through technological innovation. We are developing energy solutions and processes that will enable hydrogen’s transition from industrial use to being a clean fuel of choice that will drive a net-zero carbon future. We are also revolutionizing the global power sector by developing a hydrogen power generation upgrade system that utilizes existing gas turbine facilities, therefore making the hydrogen transformation cost effective and within reach.
What is the demand for hydrogen in the MENA region? What are the opportunities and challenges for increasing hydrogen supply and demand here?
Countries across the MENA region are redefining the global energy landscape by setting ambitious clean energy targets that aim to reduce carbon emissions and have taken on the challenge to switch from relying on fossil fuels to more cost-effective and sustainable energy sources. The region is a prime testbed, featuring ample low-cost land, stable economic climates, low cost of capital, existing industrial capacity, while also serving as an excellent source of renewable energy, particularly solar. The demand for low and zero-carbon energy solutions, including hydrogen, is expected to increase dramatically in the coming years, and the region is therefore presented with a unique opportunity to be in the driver’s seat of that development.
The key technology components for hydrogen production and utilization are available across the globe today. It now needs to be brought up to commercial scale and begin implementation across sectors that present the most attractive business case, keeping in mind key factors such as indirect value creation, local job creation and grid stabilization.
Over the last few years, the versatility of hydrogen has also attracted stronger interest from governments across the region. However, the main challenge to achieving mass-scale hydrogen demand is high production cost. Part of our journey towards a net-zero carbon future requires investment in technological innovation to make clean energy sources like hydrogen more affordable and widely adopted. This will put us one step closer to creating a strong production and storage chain of hydrogen in the region.
How is Mitsubishi Power collaborating with key stakeholders in driving the region’s energy transition initiatives?
Mitsubishi Power has played a significant role in shaping the MENA region’s energy sector over the past 50 years. The company is committed to helping customers make the transition to a clean energy future by offering a wide spectrum of products and solutions, as well as vital services such as training, emergency operations, preventive maintenance, and support for operation and maintenance (O&M) using state-of-the–art ICT technology. Throughout the years, we have enabled major plant rehabilitation, and transformed power plants across the region, in addition to forming long-standing alliances and partnerships with key stakeholders and expanding our product offerings across MENA.
In 2018, Mitsubishi Power received an order for the construction of a 1,026.3 MW gas turbine combined- cycle (GTCC) power plant for the Emirate of Sharjah in the United Arab Emirates (UAE). The plant, to be fired by natural gas, will center on two M701F gas turbines in a project underway by the Sharjah Electricity and Water Authority (SEWA) in consortium with multi-national engineering services company Elsewedy Electric. Earlier this week, SEWA kicked off the trial operation of the first gas-fired unit to generate electricity with a capacity of 345 megawatts to ensure the quality of the units’ function and the stability of the electrical network.
Currently, Mitsubishi Power’s JAC-class gas turbine is set to power a 2.4GW gas-fired Fujairah F3 GTCC power plant being built in the UAE. It will be the largest natural gas fired GTCC facility in the country, sufficient to power 380,000 households and playing a crucial role in the country’s power generation sector and contributing to the GCC’s power grid. The plant is owned and operated by Fujairah Power Company F3 LLC, a special purpose company (SPC) jointly owned by Abu Dhabi National Energy Company (TAQA) and Mubadala Investment Company, as well as Marubeni Corporation and Hokuriku Electric Power Company. Fujairah F3 is the first project in the Middle East utilizing Mitsubishi Power’s advanced M701JAC model turbine and the company completed the shipment of gas turbines in December 2021 and full commercial operation is scheduled to begin in 2023.
In Saudi Arabia, Mitsubishi Power works with key energy stakeholders including, Ministry of Energy, Saudi Aramco, the Saudi Electricity Company (SEC), and the Saline Water Conversion Corporation (SWCC). In 2014, Mitsubishi Power signed a Corporate Procurement Agreement with Saudi Aramco for GT Repair, and then in line with the iktva initiative established a repair shop for combustor components in 2016 and a rotor repair shop in Dammam in 2017.
With our strong heritage and industry-leading power technology, Mitsubishi Power is well prepared to facilitate the region’s power infrastructure expansion, and its evolution towards smarter and cleaner power.
Please tell us about how your business is leveraging technology for operations in power generation, oil and gas, and other industrial sectors?
Mitsubishi Power has been researching and innovating hydrogen technologies since 1970. In 2018, the company developed a 30% hydrogen mixture combustion technology for its advanced class gas turbines. By 2025, Mitsubishi Power will have 100% hydrogen readiness in the large-scale, industrial J-class gas turbines. This transition capability of gas turbines will significantly elevate the demand for hydrogen in the region, ultimately driving innovation and cost reductions.
Also, customers with existing Mitsubishi Power “F” and “J” class gas turbines in their fleet, can convert their power generation facilities with minimal modification and investment, to hydrogen-fired units.
Mitsubishi Power has also expanded its technological capabilities by developing a suite of intelligent solutions that accelerates decarbonization with power plant design, O&M and system knowledge, together with strong customer and partner collaborations. TOMONI™ leverages advanced controls, artificial intelligence, and machine learning with multi-layered cybersecurity to make energy systems smarter, more profitable, and ultimately more autonomous on the road to a sustainable future.
From pioneering the world’s largest, most efficient, and most reliable gas turbines, to hydrogen powered GTs, energy storage, and carbon utilization technologies, total energy management solutions, and power infrastructure digitalization, Mitsubishi Power is making significant investments to address the region’s rising demand for energy with cleaner power strategies and technology.
