Wasserstoff für den Klimawandel - Vom Hype zur Realität
© Munich Re Foundation

Hydrogen for climate protection - from hype to reality

Dialogue Forum in cooperation with acatech – National Academy of Science and Engineering

1 October 2025, 6 pm

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    Is hydrogen the "Champagne of the Energy Transition"? Or an essential component on the path to sustainable energy supply? Where does it have the greatest benefit, and what framework conditions are needed to establish a competitive hydrogen market? The experts of the Dialogue Forum, organized by the Munich Re Foundation in cooperation with acatech, provided deep insights into the world of hydrogen.
    Prof. Robert Schlögl, chemist at the Max Planck Institute for Chemical Energy Conversion and President of the Alexander von Humboldt Foundation, made it clear right from the start that energy concepts focused solely on electricity cannot work. For him, the following applies: "Hydrogen is not the Champagne of the Energy Transition, as some people think, but rather the mineral water." The question is at most how much hydrogen is needed for a sustainable energy transition.
    Prof. Schlögl
    © Oliver Jung / Munich Re Foundation
    Hydrogen is not the Champagne of the Energy Transition, as some people think, but rather the mineral water.
    Prof. Robert Schlögl
    Chemist, Max Planck Institute for Chemical Energy Conversion / President of the Alexander von Humboldt Foundation

    Versatile hydrogen

    The great advantage of this colorless and odorless gas is that it is suitable for many applications that are still carried out today with coal, oil, or natural gas. "This not only has cost advantages over purely electrical solutions but is also a crucial factor in achieving the energy transition without user resistance," Schlögl is convinced. The disadvantage is that up to 80 percent of the energy used can be lost during hydrogen production, depending on the process. An ideal sustainable energy system therefore consists of a mixture of hydrogen and electricity from renewable sources.
    For the climate balance, it is decisive where the hydrogen comes from. Worldwide, about 120 million tons of so-called gray hydrogen are currently produced from methane annually. This results in 12 to 15 tons of CO₂ per ton. However, even with green hydrogen, which is obtained from water using regenerative electricity in large electrolyzers, there are still two to four tons of CO₂ due to the process. "Green therefore does not mean zero CO₂," explained the energy expert and clarified.
    Dialogforum Panel
    © Oliver Jung / Munich Re Foundation

    Costs as an obstacle

    In terms of cost, hydrogen cannot keep up with current gas prices. However, when energy prices soared after Russia's invasion of Ukraine, hydrogen was indeed competitive. Possible applications, according to Schlögl, include the production of e-fuels for aircraft, energy storage, or the manufacture of green steel. "The hydrogen economy will definitely come. How much we do here depends on when we overcome the ideological threshold," he left no doubt. A guideline for the further path could be a quote from Goethe: "It is better to decide imprecisely in the right direction than precisely in the wrong direction."
    An example of moving in the right direction is the SALCOS (Salzgitter Low CO₂ Steelmaking) project. The steel company Salzgitter, together with partners from industry and research, has created the foundations for almost climate-neutral steel production. Using electricity from renewable sources, green hydrogen is obtained through electrolysis, replacing coal in the conventional blast furnace process. "We are currently investing €2.5 billion in converting our liquid phase steel production to hydrogen. That's a lot of money for a company like Salzgitter AG,” explained Dr. Stefan Mecke, Senior Manager and SALCOS® Project Spokesperson. Of course, the economic question cannot be ignored. "The social good of climate protection must be translated into a price and a willingness to pay, that is the real challenge. We have the technical processes under control, but we are still working on the framework conditions for our business case." Nevertheless, the project is indispensable if Salzgitter wants to continue producing in Germany. After all, the country has mandated climate neutrality by 2045.
    Stefan Mecke
    © Oliver Jung / Munich Re Foundation
    The social good of climate protection must be translated into a price and a willingness to pay; that is the real challenge. We have the technical processes under control, but we are still working on the framework conditions for our business case.
    Dr. Stefan Mecke
    Senior Manager SALCOS® Communication / Project spokesperson SALCOS®, Salzgitter AG

    Stable framework conditions necessary

    A greenhouse gas-neutral energy transition is therefore not possible without hydrogen. But where should the required quantities come from? At the EU level, the goal has been set to produce ten million tons of green hydrogen annually by 2030. "To achieve this, we need 12,500 conventional electrolyzers," Maike Schmidt, Head of the Department of System Analysis at the Center for Solar Energy and Hydrogen Research Baden-Württemberg (ZSW), put the dimensions into perspective. A further ten million tons are to be imported from partner countries. It must be clarified how this quantity can be transported. "There are still many open questions, but Europe has set out on its way."
    The specially established European Hydrogen Bank is suitable for promoting projects and advancing the market ramp-up of hydrogen. "At the federal level, we have the national hydrogen strategy, which pursues the ambitious goal of building ten gigawatts of electrolyzer capacity in Germany by 2030. In my opinion, it is absolutely the wrong message to now call this goal entirely into question just because it might be achieved later," criticized Schmidt. For companies to invest accordingly, stable framework conditions are necessary that do not change with every legislative period. "The fact that we are now suddenly increasingly relying on natural gas again, although the decision for a hydrogen core network was made last year and the first work and investments have already taken place, I already find a bit dramatic," she remarked.
    Maike Schmidt
    © Oliver Jung / Munich Re Foundation
    At the federal level, we have the national hydrogen strategy, which pursues the ambitious goal of building ten gigawatts of electrolyzer capacity in Germany by 2030. In my opinion, it is absolutely the wrong message to now call this goal entirely into question just because it might be achieved later
    Maike Schmidt
    Head of the Department of Systems Analysis, Center for Solar Energy and Hydrogen Research Baden-Württemberg (ZSW)

    Energy transition is irreversible

    "It is a misconception to believe that if we slow down the energy transition, the economically strong 1980s or the 2000s, when Germany was the world's leading exporter, will simply return. We are facing new challenges and need planning security for the transformation of industry. We must continue to work on the political framework conditions, but we should not completely change course as soon as difficulties arise," added Mecke. It is clear that the energy transition will not be available for free. "According to a study, an electric car made from green steel will only be about 0.6 percent more expensive than one made from conventional steel. That amounts to a few hundred euros, which in most cases is not even the price of a special paint job."
    Panel DF 2025
    © Oliver Jung / Munich Re Foundation
    "The goals for hydrogen production in Germany are correct; at most, we can discuss the path and possibly rely more on the free play of market forces than on regulation," Schlögl made clear. Otherwise, we will end up buying the technologies from China in the end. "In the world around us, hydrogen is a reality, not a hype. We no longer need to discuss this. Please stop questioning it. That is poison, it is deadly," he appealed to politics. The emissions trading established at the EU level is a good instrument to promote the development of a carbon-neutral energy system. "We need incentives to help green steel break through," demanded Schmidt. Here, the public sector has a great lever as a purchaser. And if necessary, companies must also be supported financially. "It will not work without regulation, but with a lot of freedom and as few rules as possible," added Schlögl. The state must act as a controller, not as an entrepreneur.

    Falling prices through scale effects

    As Mecke made clear, we are destined for success. “If the flagship projects that are already underway don't get off the ground, it will be difficult to find imitators. And, of course, developments are still to be expected in the production of green hydrogen. The first wind turbines were also smaller and the electricity they generated was more expensive than that produced by modern turbines,” he said, drawing a parallel with the early days of wind energy. "With increasing production, the price of green hydrogen will also fall," Schlögl pointed out. "A large part of it, we will in any case have to import from other countries. On the one hand, because of the space issue in Germany, on the other hand, because more green energy is available in other countries. "But we must also guarantee that we actually take the hydrogen, otherwise it will not be produced," explained Schmidt.
    On the way to climate neutrality, there is no way around hydrogen. Even beyond the climate question, the development of a hydrogen economy makes sense. "The collapse of multilateralism will force us to assign a different importance to hydrogen," Schlögl believes. For we would have a considerable advantage in the form of greater resilience if we freed ourselves from dependence on fossil fuels using renewable energies and hydrogen. For reasons of self-interest, Germany and Europe should therefore not leave the club of the willing.
    Video of the Dialogue Forum
    Munich Re Foundation
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    Panel guests

    Dr Stefan Mecke
    Senior Manager SALCOS® Communication / Project spokesperson SALCOS®, Salzgitter AG

    Prof Robert Schlögl
    Chemist, Max Planck Institute for Chemical Energy Conversion / President of the Alexander von Humboldt Foundation

    Maike Schmidt
    Head of the Department of Systems Analysis, Center for Solar Energy and Hydrogen Research Baden-Württemberg (ZSW)

    Moderation 

    Dirk Reinhard
    Vice Chairman, Munich Re Foundation

    Dialogforum
    © Munich Re Foundation / Oliver Jung