Digital Technologies

 

R. BECK, Aspen Technology, Bedford, Massachusetts

The energy transition, coupled with a global drive for sustainability in the energy and chemical industries, is already impacting the economy and all players across the energy value chain. These geopolitical forces will create winners and losers across these industries over the next 10 yr. 

Renewable energy, such as wind and solar power generation, are of unequal potential geographically. Many parts of Asia are challenged by limited access to locations that can generate substantial solar or wind power (FIG. 1). In addition, liquid fuels are difficult to substitute in several applications such as air and ocean transport.

FIG. 1. Global wind and solar energy potential. Source: Peter Ziehan and Enterprise Products Partners.

The electrification of vehicles and other applications will create a large future demand for metals processing, which has an uncertain lifecycle carbon impact. Enter H₂. H₂ offers the opportunity to fill a significant fraction of the world’s energy needs and can be generated carbon-free. However, H₂ also presents several challenges, especially with respect to storage, transport, cost of electrolysis generation, sources and availability of renewable electricity for electrolysis, cost and the efficiency of carbon capture (in the case of blue H₂) and safety. The race is on to reduce the cost penalty of utilizing H₂ in comparison with other energy sources. 

Despite these challenges, the H₂ economy is witnessing strong momentum reflected in announced capital projects that aim to deliver H₂ generation and storage at scale. In fact, several regions are investigating the feasibility of a H₂ economy as a significant zero-carbon alternative. 

Digital technology will be an essential component in delivering the H₂ economy, accelerating and de-risking innovation, de-risking adoption and enabling faster and better scaleup and optimization of the H₂ value chain. It will be fundamental in overcoming many value chain obstacles, maximizing commercialization, design and supply chains, and boosting production and economics. 

Which digital technologies will be most important? Developing H₂ as an energy source involves the complete value chain from production to end-use and encompasses the entire commercialization lifecycle, from innovation to reliable operation at scale. Innovations in asset optimization software span design, operations, supply chain and maintenance, and are uniquely suited to address these challenges. 

These solutions incorporate modeling of H₂ and carbon capture processes, risk and availability assessment across the value chain, incorporating stochastic modeling and asset health monitoring (FIG. 2).

FIG. 2. The digital technology solutions addressing the H₂ value chain.

The role of digital technology in H₂. Software technology will be a strategic asset as the industry seeks to successfully navigate the energy transition. In the case of the H₂ economy, digital technology will be a major accelerator for driving down the cost of H₂, evaluating and optimizing many value chain alternatives and removing constraints to safely scale the value chain. 

Drilling down further, the following are how today’s digital technologies can expedite the transition to H₂. 

Employing advanced methods for innovation and optioneering, while driving down costs. Rigorous process simulation software can represent H₂ electrolysis, H₂ reformer processes, other innovative H₂ synthesis approaches and H₂ liquefaction and pipeline transport—accelerating commercialization and improving access to capital.¹ 

Several specific digital technology opportunities to accelerate innovation include: 

• Hybrid models incorporating artificial intelligence (AI) together with first principles models for new processes, including membrane technology, combining reforming, carbon capture and novel processes
• Rate-based simulation modeling for carbon capture
• Powerful, rigorous models to handle electrochemistry
• High-performance computing for evaluating thousands of alternatives in an optioneering context
• Integrated economics to rapidly screen techno-economic alternatives during concept design and pilot plant testing.

Integrating collaborative engineering workflows. Cross-functional teams will be able to rapidly select concepts, scaleup designs, execute projects and use modular design to accelerate industrial implementation. This will drive down project timetables 50% or more.² 

Facilitating advanced, integrated supply chain planning. New software advances optimally integrate the H₂ economy value chain with existing natural gas and power networks. 

Automating processes to create the self-optimizing plant paradigm. New technologies such as H₂ electrolysis, carbon capture, crude-to-chemicals and industrial scale fuel cells, are to be deployed as autonomously as possible to compensate for shortages of highly skilled operators.³ 

Optimizing the value chain with risk and availability modeling. This includes the use of new capabilities to evaluate H₂ production, transportation, storage and end-use options, as well as the risks to achieve reliable energy goals. 

For both H₂ electrolysis and fuel cells, the ability to simulate electrochemistry, handle dynamics and consider stochastic variation are crucial. From electrolysis and steam reforming to carbon capture and fuel cells, advanced modeling and digital twin solutions have played a prominent role in the H₂ generation research and development arena for the past 30 yr. The rigor, accuracy and flexibility of the author’s company’s modeling technologies have made them a preferred choice for industrial and government research, as well as academic initiatives related to H₂ and carbon capture. 

The author’s company’s process simulation software^a is a proven modeling solution for applications such as fuel cells and H₂ electrolysis processes due to its ability to rigorously model complex chemical processes and effectively model the electrochemistry. The ability to rapidly estimate economics also makes this a strategic tool for techno-economic analysis. 

H₂ challenges: Scaleup, distribution and reliability. To accelerate H₂ production while achieving favorable economics, the industry will need to focus on several areas, including: 

1. Conversion efficiency, process optimization and scale-up of H₂ production, including the selection of the most advantageous production approach that will drive down production costs
2. The development of low-cost and efficient H₂ distribution and storage value chains, including the evaluation of carrier alternatives such as ammonia and cryogenic and solid H₂
3. The implementation of low-risk, high-reliability and cost-competitive H₂ end-user technology.

Central challenges for green and blue H₂ production include the identification and rapid evaluation of highest efficiency electrolysis and/or membrane conversion approaches, the evaluation of economics of catalyst and adsorbent options, and the improvement of economics based on highest cost choke points. 

TABLE 1 summarizes a simplified state of play of the basic options—It is more complicated than this as carbon capture must be combined with blue H₂ synthesis. Within the framework outlined, several key alternatives include: 

1. Distributed H₂ production modules vs. large centralized production.
2. A phased approach, leveraging both blue and green H₂ options initially and migrating to higher efficiency green H₂ as economics improve over time and technical risk diminishes.
3. Research and development to drive down the cost of fuel cells for end-use, electrolysis for production and to reduce risk in transport and storage.
4. Focus on larger scale, concentrated end-uses such as power generation and grid storage in the shorter term.

TABLE 1. H₂ production: Ways to commercialize clean H₂

Solution: Digitalization across the value chain. As the industry transitions to H₂, it is vital that companies look for asset optimization software that extends across the entire value chain, addressing the key areas of production, distribution and storage and usage (FIG. 3).

FIG. 3. Addressing the H₂ value chain with one set of digital solutions.

The following will detail how today’s digital solutions can assist companies as they explore all avenues of the H₂ economy. 

Selecting green of blue technology—A system solution. The H₂ economy offers many alternatives and permutations. The most appropriate choice of technologies will be highly dependent on regional energy options, industrial players and government policies. Currently, industry participants from Europe and the Middle East to Asia-Pacific and Latin America are pursuing different pathways to the same end goal. 

To effectively understand the alternatives, economics and risks, a comprehensive view of systems risk is crucial, especially when assessing the impacts to the proposed value chains. This is where a system risk analysis tool^b is ideal, as it includes a built-in, proforma H₂ economy model to facilitate these analyses (FIG. 4).

FIG. 4. Modeling the end-to-end H₂ economy value chain in a proprietary reliability management solution^b. It enables the view of optimal investment strategies to minimize risk and maximize economics and energy availability.

INNOVATION AND CONCEPTUAL DESIGN

Green H₂ electrolysis. Advances in today’s custom unit modeling technology can uniquely handle electrochemistry—including electrolyte properties and power-to-model electrolysis—end-to-end. Gas and chemical providers are currently leveraging solutions that push the modeling frontiers with respect to electrolysis reactors for H₂ production. 

Blue H₂—Reforming. Best-in-class engineering software models and optimizes process routes and energy use in producing H₂ from natural gas or from coal. For example, Air Products, a leader in both blue and green H₂ that effectively performs carbon capture today, recently presented a case study on its H₂ modeling for optimizing installed H₂ plants to deploy blue H₂. 

Carbon capture. Carbon capture is receiving increasing investment attention within the industry. As hydrocarbons and metals continue to be in demand in the global energy and resource mix, CO₂ will continue to be a byproduct of conversion. Carbon capture, using a variety of technology alternatives, is racing toward broader commercial viability. The main challenges include minimizing energy use during CO₂  capture, optimizing CO₂  capture processes in the face of complex chemistry, and effectively maximizing the recharge and reuse of catalyst and adsorbent materials to avoid creating a secondary waste disposal challenge. 

Advanced process modeling is a vital element when solving these technical challenges and improving economics, as well as when ensuring operational integrity, energy optimization and improvement. Companies must look for highly differentiated, rate-based modeling—the most rigorous, accurate and efficient method for modeling solvent-based carbon capture processes. Additionally, custom unit modeling and AI-based hybrid models can be used to model the advanced membrane technologies currently being tested for carbon capture. 

Leaders in the carbon capture arena are using digital tools to make their innovative leaps. These include most universities performing work in that area, several government research labs and research centers. There are also key commercial players in carbon capture. Several refiners and chemical producers are also employing chemical and energy simulation software to model end-to-end carbon capture. 

H₂ liquefaction and storage. A strong modeling environment can predict the performance and safety of H₂ liquefaction designs. For example, the Norwegian University of Science and Technology has demonstrated how liquefaction can be rigorously modeled in proprietary simulation software^c.

Fuel cell technology. As with electrolysis, digital applications have unique power and flexibility to model and improve fuel cell technology. In this case, areas such as adsorption modeling and dynamic modeling are also crucial elements to look for in these tools. Several dozen players in fuel cells are using these technologies to their advantage. An example of a fuel cell system model is shown in FIG. 5.

FIG. 5. Example of fuel cell modeling for design and optimization demonstrating safety, efficiency and economic benefits.

Optioneering and commercialization. Today’s digital solutions provide integrated workflows that provide powerful innovation capability during research and development, conceptual design, techno-economic optioneering and commercialization. These advanced tools are already proving crucial in driving down the cost of H₂, improving economics and executing at scale. Key differentiators to look for include the following: 

• Optioneering workflows: Used to rapidly find the optimal technology and execution from a cost, sustainability and reliability view. High-performance computing and integration solutions rapidly screen thousands of process alternatives and identify the leading candidates. This is crucial in areas like green H₂ and carbon capture, where the optimal process designs are still under development.

Companies can also leverage integrated economic and cost modeling, energy efficiency optimization and risk modeling workflows to explore cost and energy sensitivity of different alternatives. These tools are being used by Technology Center Mongstad, National Energy Technology Laboratory and others to conduct techno-economic evaluation during concept development. 

• Conceptual layout workflow: Conceptual 3D layout software tied to process simulation optimizes fitting process designs into constraints of either existing or new plant sites, and in the case of distributed implementation, fits a fuel cell unit or H₂ production unit into an existing site, such as a power or fueling station. This approach has been adopted by ExxonMobil to reuse asset 3D models during conceptual design.
• Modular design workflow: A range of modular design tools rapidly develops reusable and reconfigurable designs that can be used for distributed H₂ production, industrial fuel cell or carbon capture. It achieves the scope and scale that a company’s strategy will require.
• Industrial AI-powered workflow: Accelerate the discovery of opportunities much faster when you can build models from lab and bench data (hybrid models) and leverage AI to identify strategies for implementing and debottlenecking H₂ distribution supply chains.

Advanced control and optimization. Best-in-class adaptive process control and dynamic optimization technology will be crucial in the control and reliability of new and complex technologies represented by H₂ production and carbon capture. Many refiners use adaptive process control on their existing H₂ plants and are leading the implementation of dynamic optimization, which has significantly reduced energy use, H₂ loss and flaring at sites like CEPSA’s La Rábida refinery’s H₂ network. 

Integrated supply chain. The H₂ economy will require an evolutionary approach to migrating existing energy distribution supply chains into one that will evolve to handle gray, blue and green H₂. Today’s advanced planning, scheduling and supply chain tools provide energy companies a unified platform to handle the end-to-end supply chain across businesses in a unique way. Additionally, enterprise risk modeling systems will be crucial in understanding success factors in supply chain implementation. 

Beyond H₂: Short- and long-term sustainability. The energy industry is facing several challenges—the need to drive to net-zero carbon emissions, macroeconomics impacting global demand for hydrocarbons and an energy transition that is gaining momentum and building demand for renewable electricity and zero-carbon mobility solutions. 

At the World Economic Forum’s Davos Agenda in January 2021, Bill Gates talked about the need to create a trusted global carbon market, which will spur the need to shift very large capital investments into low carbon areas. He talked specifically about the H₂ economy, carbon capture and energy storage, as well as Green Premiums and driving the economics of new technologies through scaling and investment. 

There are unique and differentiated technologies available today with respect to innovating, scaling and achieving competitive advantage in the H₂ economy, biofuels and other energy transition strategies. 

There are many resource efficiency, energy transition and circular economy value creation levers that the process industry is expected to employ to proactively drive decarbonization and energy transition. Additionally, H₂ provides an energy source for circular economy programs that seek to eliminate emissions and waste in production. 

There is significant opportunity for companies to accelerate the time-to-value for the H₂ economy, carbon capture and biofuels by leveraging digital solutions that help ensure faster adoption, scale and competitive advantage.

FIG. 6. The author’s company’s solutions that strategically create value for sustainability use cases.

Technology solutions to jumpstart sustainability. The extent of the energy transition complexity requires a balance of the many objectives across a company’s assets and a data-based and quantitative approach. Digitalization and industrial AI will be crucial tools in this balancing act. FIG. 6 demonstrates how digital technologies map closely to the essential elements of the energy transition that the industry is considering. Examples of publicly disclosed case studies of sustainability value created by digital technologies are summarized in FIG. 7.

FIG. 7. Examples of sustainability value created by the author’s company’s technology solutions.

Takeaway. The current macro-economic pivot toward sustainability and energy transition, and the momentum behind it, make it especially attractive for industry and technology players to work more closely and collaboratively than ever before. Innovative ideas from both sides can achieve unprecedented breakthroughs. 

Achieving energy transition leadership with industrial-scale H₂ production and carbon capture technologies will require an unmatched level of innovation, creativity, agility and execution. This is a clear area where a software technology innovator can complement and add value to industry participants, individually and collectively. 

Areas where shareholder value is created from the use of technology include: 

• Time to market: Accelerating innovation, optioneering, concept selection and capital investment decision-making by up to 50%
• Cost of production: Reduce capital cost through visual estimating, reduce operating costs by saving energy and water through optimized designs, and incorporating new technology effectively into existing facilities
• Uptime, safety and risk: Employ AI and analytics to reduce risk, while improving uptime, safety and reliability
• Customer satisfaction: Maximize agility and resilience in the supply chain.

NOTES

 

^a Aspen Plus® 

^b Aspen Fidelis™ 

^c Aspen HYSYS®

LITERATURE CITED

 

1. Gross, B., “Direct air CO2 capture and AI,” Aspen Technology OPTIMIZE 2021 

2. Victory, D., “Optimizing new assets,” Aspen Technology OPTIMIZE 2017 

3. Air Products at AspenTech Optimize 2021

RON BECK is the Senior Industry Marketing Director at Aspen Technology, Inc., leading the company’s global energy industry marketing. During his 14 yr at AspenTech, he has held multiple marketing roles, including Industry Marketing, Product Marketing and Telesales Marketing. He has more than 30 yr of experience in providing software solutions to the process industries and 15 yr of experience in chemical engineering technology commercialization. Mr. Beck earned a Bch degree from Princeton University.