Renewable

Power to X, Renewable Fuels, RFNBOS or E-Fuels

Power to X (PtX) is a process for converting renewable electricity (Power), generated from wind, solar or water, into a variety of end products (X). One option is using the electrolysis process. In this process, the renewable electricity is used to split water (H₂O) into its components hydrogen (H₂) and oxygen (O₂) in an electrolysis plant. The hydrogen can then either be used directly in industry as a feedstock for material production or as process energy, it can be used for energy storage or converted further, e.g. into liquid (Power to Liquid) or gaseous (Power to Gas) fuels for transport. Fuels produced in this way are referred to as renewable fuels of non-biological origin (RFNBOs), renewable fuels or e-fuels.

Opportunities

The use of electricity from renewable energy sources to produce fuels and other products brings many advantages. The Power to X technology, when deployed at scale, contributes to the transition to a low-carbon economy. The production of RFNBOs is low in emissions and does not require the use of crops, counteracting the food vs. fuel debate. Green hydrogen production requires large amounts of renewable electricity, opening up new economic opportunities for countries rich in renewable energy sources. PtX is expected to promote trade, local value chains, and economic diversity while contributing to greenhouse gas reduction, energy security, and job creation.

Regulatory Framework

Thanks to its versatility green hydrogen will be crucial for the upcoming energy transition and for achieving international and EU climate targets such as those set out in the European Green Deal including the Fit for 55 package. For this reason, legislation regarding Power to X is increasingly being proposed and enacted. As of 13 February 2023, the European Commission (EC) adopted new rules on how to define hydrogen and its derivatives as renewables. The adopted delegated acts (DAs) supplement the Renewable Energy Directive (REDII) by establishing a methodology, setting out detailed rules to produce RFNBOs. ISCC is seeking the recognition of the ISCC EU certification approach for RFNBOs as soon as possible. At the Voluntary Scheme webpage of the European Commission, our official application can be found. Please also note that the EC published a Q&A Document on RFNBOs certification – it can be found at the same webpage.

Development

Developing the market for PtX is a feasible challenge. Improved technologies, economies of scale in production, a sound regulatory framework and a robust global multi-stakeholder certification system will be essential for the growth of a strong market. Current developments offer great opportunities for companies that want to pioneer green hydrogen technology. ISCC is working with authorities and innovative companies to further streamline the certification approach for PtX projects and invites companies interested in the certification of PtX products or using renewable electricity as a feedstock in the chemical industry to initiate the certification process. We look forward to helping companies decarbonise their production processes and demonstrate compliance with the latest sustainability requirements.

ISCC Certification to Date

As of today, certification of PtX projects under ISCC PLUS (outside the REDII) is already possible, for example to produce valuable raw materials for the chemical industry. ISCC has already certified renewable electricity as a feedstock in the industry, through its innovative and independently developed certification approach. In early 2021, Vynova, a manufacturer of chlor-alkali products and PVC resins, became the first company to receive ISCC PLUS certification for caustic soda made from renewable electricity. ISCC is seeking the recognition of the ISCC EU certification approach for RFNBOs as soon as possible.

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