RWE appoints Jacobs for Wales green hydrogen study
Renewable energy company RWE has awarded Jacobs a feasibility study contract to investigate the production and supply of green hydrogen in South Wales.
The four-month study will look into the feasibility of initially installing a 100MW electrolyser at RWE’s Pembroke Power Station to produce green hydrogen.
“This feasibility study provides us with an opportunity to work alongside RWE to grow their innovative projects that will further move our sector to low and zero emission generation,” said Donald Morrison, Jacobs People & Places Solutions Senior Vice President for Europe and Digital Strategies. “This work reaffirms our 20-year relationship with RWE at Pembroke Power Station and demonstrates our ambitions for Jacobs to be at the forefront of delivering the energy transition.”
The study will draw on Jacobs’ global hydrogen and multi-disciplinary capability with teams involved from the UK, mainland Europe and Australia. It will also focus on how green hydrogen could be used for transport and decarbonisation activities in South Wales to support carbon reduction targets.
The green hydrogen project has the potential to grow to several GW in scale and could be linked to floating offshore wind in the Celtic Sea. It is the first from RWE’s Pembroke Net Zero Centre which launched in early 2021.
Richard Little, Pembroke Power Station Manager, said: “We’re excited to see the outputs of Jacobs’ feasibility study over coming weeks, the first step towards the potential construction of large-scale hydrogen infrastructure at Pembroke. Hydrogen will be a game changer in the decarbonisation of heavy industry in South Wales and RWE will be a key partner in helping achieve that.”
It marks another key energy transition project in Jacobs’ growing portfolio, supporting clients with integrated solutions that reduce emissions.
In 2021, Jacobs established the Office of Global Climate Response and ESG, to deliver on the company's commitments to climate change through innovative solutions for its clients across energy transition, decarbonisation, adaptation and mitigation, and natural resource stewardship.
Adjusted EBITDA for RWE Group in 2021 is expected to be at €3.65bn, due to higher than expected earnings from the Hydro/Biomass/Gas segment and an outperformance by Supply & Trading.
“In 2021, we also continued to successfully forge ahead with our wind and solar portfolio, both in project development, construction and operations,” said CFO Michael Müller.
RWE performance (preliminary earnings)
Offshore Wind: Adjusted EBITDA to be at €1,110mn, slightly above previous year, mainly due to portfolio effects in the UK from the full consolidation of the offshore wind farm Rampion and the commissioning phase of the Triton Knoll wind farm overcompensated year-on-year weaker wind conditions.
Onshore Wind/Solar: Adjusted EBITDA expected to just top the upper end of guidance and to be at €258mn. Year-on-year earnings are lower, primarily impacted by the negative effect from the unprecedented Texas cold snap in February 2021, which reduced earnings by approximately €400mn.
Hydro/Biomass/Gas: Adjusted EBITDA to increase to €731mn, thanks to a strong performance at the end of 2021, mainly on the back of a strong day-to-day optimisation of the power plant dispatch.
Supply & Trading: To record an adjusted EBITDA at €769mn, due to an excellent performance in the trading business in particular in the first half of 2021. Adjusted EBITDA from Coal/Nuclear expected to be at €889mn. The year-on-year increase in earnings is due to realised higher generation margins.
• Join global business leaders and sustainability experts who are taking meaningful action at Sustainability LIVE, being held at Tobacco Dock, London, 23-24 February 2022. Register your attendance today. Click here to discover more.