15 th April, 2004

1. HYDROGEN - ACTIVITIES IN THE OIL & GAS SECTOR 15th April, 2004 R & D Centre, NTPC, Noida.

2. BACKGROUND • The Planning Commision (Power & Energy Division) meeting held on July 18, 2003, under Chairmanship of Shri. K.C. Pant, (Deputy Chairman, Planning Commission) deliberated on the Hydrogen Energy Status & Prospects in the 21st Century. • Following the presentation made by MNES and input provided by DST, TERI, BHU, IOC and others on the subject, the Chairman constituted a Sub-committee under the Chairmanship of Shri. N.K. Singh, Member (Energy),Planning Commission to address various aspects and develop guidelines for Hydrogen Energy S & T in the country.

3. BACKGROUND • First meeting of the Group on Hydrogen Energy was held under the Chairmanship of Shri. N.K. Singh, Member (Energy), Planning Commission on 27th August 2003 at Yojana Bhawan, New Delhi. • During the meeting it was decided to setup four sub-groups on different aspects of hydrogen for hydrogen production; hydrogen storage & distribution; hydrogen applications; safety standards, security and related policy issues. Reports of the sub-group on “Hydrogen Production” as well as the sub-group on “Hydrogen Storage & Distribution” were prepared by IOC-R&D.

4. WHY HYDROGEN ? • Potentially an inexhaustible supply of energy • Can be produced from several primary energy sources • Reduced dependence on petroleum imports if produced from coal or renewables • Potential environmental benefits • High energy conversion efficiency by use of H2 in Fuel Cells(UPTO 90%) in place of I.C. engines (30-35%)

5. HYDROGEN GENERATION PROCESSES Steam reforming of Natural Gas/Naphtha Partial oxidation of hydrocarbons Thermal cracking of Natural Gas Coal/Bio mass Gasification Electrolysis – Electricity from renewable sources like solar, wind, hydel etc.

6. HYDROGEN PRODUCTION World wide production • From Natural gas (mostly steam reforming) - 48% • Oil (mostly consumed in refineries) – 30% • Coal – 18% • Electrolysis –4% Nearly all H2 production is based on fossil fuels at present.

7. H2 OPTIONS FOR INDIA • Hydrocarbon Liquid Fuels • Natural Gas • Solar / Wind power for electrolysis • Coal • Bio-mass • Other options like Chlor-Alkali Units & Co-generation electricity from Bagasse at sugar mills

8. STORAGE OPTIONS Storage as gas under pressure (250 – 350 bar) Cryogenic storage as liquid hydrogen (Temp. –253 0 C) Storage as metallic hydrides Carbon adsorption and glass microsphere storage techniques (under development)

9. MoP&NG INITIATIVES ON HYDROGEN • A presentation on “Hydrogen- Status of development for Use in Automotive Applications” was made by IOC(R&D) on 30.6.2003 to MoP&NG. • The meeting was chaired by Secretary, MoP&NG and attended by senior officials from Planning Commission, MoP&NG, MNES, CSIR and Oil Industry.

10. MoP&NG INITIATIVES ON HYDROGEN • A presentation on “Hydrogen - Alternative Source Of Energy” was made to Planning Commission by MoP&NG on 12.09.2003. • Report of the sub-group on “Hydrogen Storage & Distribution” was submitted by MoP&NG to Planning Commission in October 2003.

11. MOP&NG DECISIONS ON HYDROGEN • Focus to be primarily on production of hydrogen, storage and distribution, beginning with use of hydrogen directly in I.C. Engines and examining economics of use of metal hydrides and fuel cells from a long-term perspective. • Corpus of funds to be created with oil companies pooling resources for hydrogen research. Concessions required from the Finance Ministry to be indicated for follow up. • IOC-R&D to be the nodal agency for hydrogen research where a dedicated group will work, including experts from other organisations, such as CSIR,IITs,etc., on deputation. • A Workshop / Conference on Hydrogen to be organized in October-November, 2003. US agencies, MNES, CSIR, DST and Planning Commission may be involved in the organisation of the event.

12. ACTIONS TAKEN BY IOC-R&D • Working groups set up within IOC (R&D) on Production, Storage, Distribution & Utilisation • A “Status Report on Hydrogen as an Alternative Energy Source” has been prepared & submitted to MoP&NG in September 2003. • A genset emission test bench established at IOC-R&D to be used for conversion of portable gensets to Hydrogen with technical support from IIT, Delhi • “International Workshop on Hydrogen” was organised by IOC R&D in association with ONGC, BPCL, HPCL & GAIL during 11-13th December 2003 in New Delhi. • 17 Eminent speakers from all over the world • Around 300 delegates • 9 Exhibitors from India & Abroad

13. ACTIONS TAKEN BY IOC-R&D • International Linkages for Hydrogen Research-Interest shown by following agencies to work with IOC-R&D • U.S. Department of Energy (DOE) • USAID / USAEP • Institute of Transportation Studies, University of California, Davis • Pure Energy Corporation, New Jersey, USA • Energy Conversion Devices, USA • Hydrogen Systems, Belgium • National Hydrogen Association (NHA), USA

14. THANK YOU

15. WHY FUEL CELL TECHNOLOGY IS FAVOURED ? • Batteries are the cleanest automotive energy source. • To liberate electric cars from electro-chemical battery. • Electric cars have a limit range and slow charging. • GM’s EV-1 and Honda’s EV- Plus have limited range. • Decades of research and investment on electro-chemical batteries. • Power density is required for effective automotive propulsion haven’t attained.

16. WHY FUEL CELL TECHNOLOGY IS FAVOURED ? • Hybrid Electric Vehicle (HEV) approach followed to increase range of vehicle. • Toyota Prius and Honda Insight have been introduced. • HEVs are having high efficiency internal combustion engines with batteries. • Batteries supplement power to the engine during acceleration and hill climbing. • Combined electric and mechanical drives make them costly and complex.

17. FUEL CELL THEORY • First demonstrated in principle by British Scientist Sir Willliam Robert Grove in 1839. • Grove’s invention was based on idea of reverse electrolysis. • In electrolysis, an electric current is introduced in to electrolyte. • This flow between two electrodes causes the splitting of water.

18. FUEL CELL THEORY • A fuel cell consists of two electrodes - Anode and Cathode. • Hydrogen and Oxygen are fed into the cell. • Catalyst at Anode causes hydrogen atoms to give up electrons leaving positively charged protons. • Oxygen ions at Cathode side attract the hydrogen protons. • Protons pass through electrolyte membrane. • Electrons are redirected to Cathode through external circuit. • Thus producing the current - power

19. FUEL CELLS FOR DIRECT ENERGY CONVERSION

20. TYPES OF FUEL CELLS Temp.°CApplication • Alkaline (AFC) 70-90 Space • Phosphoric Acid 150-210 Commercially available (PAFC) • Solid Polymer 70-90 Automotive application (PEMFC) • Moltan Carbonate 550-650 Power generation (MCFC) • Solid Oxide 1000-1100 Power generation (SOFC) • Direct Methanol 70-90 Under development (DMFC)

25. FUEL CELL CARS • Start to look real • Fuel cell car - the long awaited • Prototype vehicles have been displayed • Clear personal transportation of the future • Moving from laboratory vision to technical reality

26. FUEL CELL APPLICATION FOR AUTOMOTIVE USE • Proton exchange membrane (PEM) variety has emerged as the best design • GM has obtained nearly 400 patents in PEM technology • SOFC together with and on-board gasoline fuel processor or reformer would be suited as auxiliary power units (APUs) • Replacement of low efficiency alternator in automobiles • BMW, Renault and Delphi are pursuing this approach

27. FUEL CELL VEHICLE CONFIGURATION Wheels Batteries AC/DC Drive motor Fuel Cell Power conditioner Fuel Accessories Wheels

28. CALIFORNIA FUEL CELL PARTNERSHIP • The voluntary alliance to demonstrate and promote Fuel cell technology. • Formally established in April 1999 • Intend to test more than 50 fuel cell cars and buses in California - 2001 - 2003 • Auto-makers - Daimler Chrysler, Ford, General Moters, Honda, Hyundai, Nissan, Toyota and Vollks Wagen • Energy Providers - BP, Shell and Texaco • Fuel Cell Cos. - Ballard Power Systems - International Fuel Cells.

29. CALIFORNIA FUEL CELL PARTNERSHIP Government Agencies • California air Resource Board • California Energy Commission • South Coast Air Quality Management District • US Department of Energy • US Department of Transportation Hydrogen Fuel Infrastructure • Hydrogen Burner Technology • Pacific Gas and Electric • Proton energy Systems, Inc • Stuart Energy Systems

30. FUELS FOR FUEL CELL SYSTEMS • General Motor’s and Adam Opel AG’s View (GAPC) Long term vision : Hydrogen Problem : H2 - Storage H2 -Infrastructure Bridging Strategy : Fuel Cell Systems for vehicles using conventional / Pump Grade Fuels Gasoline tank Fuel Cell Drive System Establishing infrastructure and storage technology for hydrogen in between co-operation of OEM’s with mineral oil companies GM / Exxon / Mobil / BP

31. GASOLINE REFORMER DEVELOPMENT • Daimler Chrysler pursuing gasoline reforming tech. • Partners - XCELLSiS, Germany and Shell Hydrogen • Developed and tested a prototype gasoline reformer to produce hydrogen on board • Shell’s proprietary Catalytic Partial Oxidation tech. • New reactor unit performed well under stationary and dynamic operating conditions • General Moters and Exxon Mobil have developed gasoline reformer • Conversion efficiency of gasoline reformer - 80%

32. HYDROGEN / FUEL CELL OPTION FOR POWER SECTOR • Hydrogen Production through off peak power shaving • Hydrogen via coal gasification