CERAWEEK: Partners, new and old tech needed for clean energy profits: experts

Profitably deploying clean technology entails using existing underused technologies, innovating new technologies and forming partnerships among new and existing businesses with complementary – rather than duplicative – capabilities, panelists said March 19 during the CERAWeek by S&P Global conference.

In response to a request from Eduard Sala de Vedruna, S&P Global clean energy technology lead, for a one-word factor needed for clean energy business strategies, panelists listed collaboration, innovation and ambition as key.

Asked for advice for individuals hoping to start up such businesses, Karen Bomber, ABB Energy Industries chief commercial officer, said "no single answer" exists. ABB provides information technologies for industries.

"We use partnerships as truly a partnership," Bomber said. "It couldn't be subordinate or a vendor ... from a technology standpoint. Each party is bringing something to the table. Now, as far as our process of how to do that, I will be honest. We're still evolving. It's a combination of ad hoc or word of mouth. ... You start to understand where your gaps are, your blind spots are. And then we start funneling and making sure that when the Energy Department comes to the table, that you're working together."

Increasing innovation

An example of such partnerships of equals could include efforts by Tokyo-based INPEX, represented on the panel by Toshiaki Takimoto, senior managing executive officer and head of Net Zero Business.

Takimoto cited INPEX's development of large-scale, low-carbon ammonia technology as an example of the "innovation" factor in successful clean technology business models.

But INPEX is also forming partnerships with Paris-based Air Liquide Group, Oklahoma City-based LSB Industries and Houston-based Vopak Moda Houston on Houston Ship Channel project with the goal of producing more than 1.1 million mt of ammonia by the end of 2027, with options for future expansion.

INPEX, Japan's largest oil and gas exploration and production company, is also working with Green Hydrogen International near Corpus Christi, Texas, on the Gulf Coast.

"We are not sure yet we can commercialize those projects," Takimoto said. "We are trying to export to Japan and Korea."

Rob Wingo, EQT executive vice president for corporate ventures, said the essentials of forming profitable clean technology partnerships is "pretty basic," as prospective business leaders must "understand what we're trying to accomplish, understand what our purpose and understand the thing that we're focusing."

"Their time is very limited, right?" Wingo said. "They're probably operating while looking for staff. And I would say make sure you have a target to be reaching out to and take the time ... to understand the customer. ... Make sure that the partner is going to be complementary. Make sure that you're bringing something to the table -- that there's not too much overlap of what you're trying to accomplish."

Using existing technology

Sushil Purohit, CEO of Gentari, a clean energy solutions company owned by Petronas, advocated using existing, underutilized technologies to reduce emissions in a way that has proven to be profitable.

"The kind of challenge that we have today is quite enormous," Purohit said. "Some of the technologies that already exist and products for a long time have been producing power and providing stability. Right now, for example you can actually make engines run on hydrogen. There's another activity that is making something of a comeback, which is pumped hydro."

Power grids are adding "enormous amount of renewable power systems, resulting in a need for long-term storage for the power system," Purohit said, which can be effectively supplied by pumped-hydro projects.

Wingo said EQT, a large natural gas producer, seeks to decarbonize its processes using existing technologies.

"We have been very aggressively cutting our emissions, with a lot of time and money and resources," Wingo said. "What we're trying to do is we're trying to get our carbon intensity way down, because we think that needs to be a feedstock for other types of derivative products. ... We think clean gas is going to be vital for the energy transition."

EQT is working on carbon capture utilization and sequestration, Wingo said, and working to generate revenue through the generation of carbon offsets, partly by analyzing the amount of carbon dioxide that is captured in soil as part of its processes, Wingo said.