EFFECTS OF HYDROGEN PRODUCTION ON ECONOMIC GROWTH IN THE EUROPEAN UNION

Mihaela Ionescu ()
Additional contact information
Mihaela Ionescu: University of Oradea, Doctoral School of Economic Sciences, Oradea, Romania

Annals of Faculty of Economics, 2021, vol. 30, issue 2, 35-41

Abstract: In this article the author presents some aspects of the hydrogen market, this fuel is essential to support the European Union's commitment to achieving climate neutrality by 2050. In 2020, the crisis caused by the Covid-19 pandemic has given a boost by speeding up the global long-term challenge of climate change, with more and more countries committing to achieving "zero net" emissions. The energy system in the single internal market is responsible for 75% of greenhouse gas emissions. According to the Green Deal Pact. In the context of the crisis caused by the Pandemic Corona, the European Commission issued the Hydrogen Strategy in which it provided for an investment plan in green energy with the aim of economic recovery in Europe. In this sense, green hydrogen can be the fuel that contributes to reducing energy costs at European level. Decarbonisation leads to a significant increase in the role of electricity, which can cover the demand of over 50% of final energy by 2050, compared to about 20% today. Hydrogen contributes to the security of energy supply by reducing dependence on the import of fossil energy and natural gas. Thus, the diversification of energy supply takes place by facilitating the implementation of renewable energy sources. This is assessed by the estimation of imported fossil fuels that will be replaced by hydrogen based on domestic renewable sources. Green hydrogen can be obtained from clean energy where investments in renewable energy, whose prices are falling, and innovation are a viable solution for the green economy. Hydrogen does not emit greenhouse gases and does not pollute the air when used. In Romania, the potential for renewable energy production is estimated to be almost ten times higher in 2030 than at present, which creates a significant opportunity to use some of this potential in the production of hydrogen that can replace fossil fuels.

Keywords: Decarbonisation; economic growth; Green Deal Pact; green hydrogen; renewable energy sources; wind farm (search for similar items in EconPapers)
JEL-codes: E23 (search for similar items in EconPapers)
Date: 2021
References: View complete reference list from CitEc
Citations:

Downloads: (external link)
http://anale.steconomiceuoradea.ro/volume/2021/n2/003.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ora:journl:v:30:y:2021:i:2:p:35-41

Access Statistics for this article

More articles in Annals of Faculty of Economics from University of Oradea, Faculty of Economics Contact information at EDIRC.
Bibliographic data for series maintained by Catalin ZMOLE ( this e-mail address is bad, please contact ).