Hydrogen: A Future Cornerstone of EU-Russia Energy Relations?

Green hydrogen is set to play a central role in the efforts of the European Union and many EU member states to decarbonize different sectors in order to reach their 2050 climate goals. The hydrogen strategy adopted by the European Commission in July 2020 seeks to make green hydrogen an integral part of Europe’s energy system by 2050. In particular, the strategy emphasizes the potential of green hydrogen in sectors where direct electrification is a challenge, including energy storage, heavy-duty transport, aviation, shipping, and energy-intensive manufacturing. However, in order to enable a market ramp-up for hydrogen, low-carbon hydrogen derived from fossil fuels is also being considered as a production option alongside green hydrogen.

The G20’s Renewed Attempt to Spearhead a Clean-Energy Transition

The Group of Twenty (G20), a federation of the most important industrialised and emerging countries, is a crucial forum for initiating a clean-energy transition at the global level. Its member states account for nearly 80 per cent of the world's energy demand and more than 80 per cent of global CO2 emissions. The G20 brings together key players in international energy markets and international institutions along with major energy exporters. According to the International Renewable Energy Agency (IRENA), a concerted effort on the part of G20 nations could increase the global share of renewable energy sources to 44 percent by 2030. But a successful move away from fossil fuels remains to be seen, not only in the US, where President Trump intends to withdraw from the Paris Agreement, but also among the other G20 members. Indeed, 82% of the primary energy in G20 states is still fossil-based. Since assuming the G20 presidency, in 2019, Japan has been pushing for renewed sustainable energy efforts in the G20.

The Role of Germany in the Future of Renewable Energies

Germany is widely regarded as an international frontrunner in the global energy transition. Efforts to promote renewable energy have played a key role in lowering the cost of wind and solar power and contributed significantly to the growth of these technologies around the world.