At present, hydrogen is primarily produced through the reforming of natural gas, since it is the most cost efficient option. However, biogas, oil and coal can also be used as energy resources. The main products are then hydrogen and carbon dioxide. There are several synergies between hydrogen and natural gas or biogas. For example, fuel stations for natural gas vehicles can be supplemented with hydrogen through a small scale reforming of natural gas into hydrogen on location. Thus the available infrastructure for vehicle fuel can also be used for hydrogen. Additionally, hydrogen can be mixed into methane, creating hythane, lowering the emission of greenhouse gases. Regular natural gas vehicles can normally use hythane without any need for technical adjustments.

Another method of producing hydrogen is through so called electrolysis. This is achieved with the help of electricity from for instance solar, wind or hydropower which is used to decompose water into hydrogen and oxygen. At the moment this is a relatively expensive method of hydrogen production, and approximately 30-40% of the energy is lost through the electrolytic process. However, the efficiency is expected to improve and in the long run electrolysis is considered to be an important method for producing hydrogen from renewable resources.

Another advantage to hydrogen as an energy carrier is that it can store energy from all forms of energy sources, renewable as well as fossil and nuclear ones. Which source is appropriate in each case depends on the local resources available, such as a combustion facility. In addition, environmental concerns affect the choice of energy source, for example if the hydrogen is part of a system of renewable energy.
In the chemical industry large amounts of hydrogen are created as a by-product. It can be used for instance as vehicle fuel. Thereby it can function as an important hydrogen source before the production of hydrogen from renewable sources gets started on a bigger scale.

The cost of hydrogen depends on the price of the energy used to generate it. For instance, if the price of natural gas rises, while the price of wind power falls, there is a change in the conditions of producing renewable hydrogen.

Did you know that…?

• In Sweden the gasification of biomass to hydrogen is an option due to abundant forest resources.
• One thing that holds true for all methods of hydrogen production is that the energy obtained can never be greater than the energy added.
• At present, research is conducted on how to produce hydrogen through artificial photosynthesis.