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Certification of low-carbon hydrogen in the transport market

Author

Listed:
  • Sai Bravo

    (TREE - Transitions Energétiques et Environnementales - UPPA - Université de Pau et des Pays de l'Adour - CNRS - Centre National de la Recherche Scientifique)

  • Carole Haritchabalet

    (TREE - Transitions Energétiques et Environnementales - UPPA - Université de Pau et des Pays de l'Adour - CNRS - Centre National de la Recherche Scientifique)

Abstract

This paper develops a theoretical framework to study the deployment of free-of-emissions green hydrogen in the transport sector. We consider a vertically related market with hydrogen producers upstream and fuel stations downstream. Production technologies differ in cost efficiency and carbon emissions. We show that when consumers have limited information about the hydrogen origin, no new green producers are able to enter the market. A label for green hydrogen allows multiple production technologies to co-exist, but society is better off when producers use vertical restraints to increase consumers' information.

Suggested Citation

  • Sai Bravo & Carole Haritchabalet, 2021. "Certification of low-carbon hydrogen in the transport market," Working papers of Transitions Energétiques et Environnementales (TREE) hal-03371277, HAL.
    • Handle: RePEc:hal:wptree:hal-03371277
    Note: View the original document on HAL open archive server: https://hal-univ-pau.archives-ouvertes.fr/hal-03371277
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    File URL: https://hal-univ-pau.archives-ouvertes.fr/hal-03371277/document
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    References listed on IDEAS

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    Keywords

    Label; Vertical Restraints; Innovation; Hydrogen;
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