German chemicals firm Evonik develops membrane for green hydrogen

German chemicals group Evonik on Wednesday said it has developed a membrane for electricity-based hydrogen production that could significantly reduce production costs.

Commercial manufacturing of the special membrane, which could be a boost to green hydrogen production, recently began at a pilot plant in the western Ruhr region, the company said.

It employs a process to extract hydrogen from water known as Anion Exchange Membrane (AEM) electrolysis.

Hydrogen is expected to play a central role in the transition to a carbon-neutral economy, assisting in the production of green steel. 

"Demand for green hydrogen will grow strongly over the coming decades as a result of the energy transition," Evonik said. 

However, green hydrogen is still roughly twice or even four times as expensive as so-called grey hydrogen, which is produced from natural gas. 

"Alongside high energy prices, the electrolysis technology used influences the economic viability of green hydrogen production," the company added.

The new AEM system uses fewer precious metals and allows hydrogen to be produced under pressure, eliminating the need for additional compression steps.

"Specialist studies see a potential saving of at least 25% on investment costs," Evonik said, adding that large-scale application of AEM technology is attracting particular interest in China.

In parallel with the production launch in Germany, the company has set up a technology centre in Shanghai. 

The membranes produced in the Ruhr are being tested there under industrial conditions in cooperation with local partners and customers. 

"The centre is aimed at global customers and is at the same time closely connected to the rapidly growing Chinese market," Evonik said.