A study by Springer Nature Group indicates net-zero policies could render up to 50% of fossil fuel assets to be worthless by 2036, which may result in US$11trn disappearing from the economy and potentially placing significant strain on the global financial system.
As it stands, fossil fuel dependent companies which do not adopt plans to manage the transition to clean energy risk losing large contracts, a decline in stakeholder support and in some cases going into administration.
Given these challenges, H2i Technology’s mission is to provide a cost-effective carbon reduction technology that can protect the investments that have been made in fossil fuel assets and assist in an economically sustainable transition to net zero.
“H2i Technology’s hydrogen enhancement system provides a ‘right now’ emissions and fuel reduction solution for operators of diesel-powered assets while also delivering a commercially viable avenue to commence meeting the rapidly shifting net-zero requirements,” says H2i Technology Chairman, David Vinson.
“We can see this is a large underserviced market. Since March 2022, we have had over 200 enquiries across Africa, Asia, India, the Middle East, Europe, New Zealand, and Australia, which shows there is a significant demand for our product.”
Initially, H2i Technology will target off-road diesel assets, including stationary diesel generators, as they provide the fastest route to the market.
Independent analysts, Gordon Capital, have reviewed opportunities for H2i Technology's hydrogen enhancement system and have found a significant addressable market for its product.
Overall, the research showed there are 20 million diesel generators worldwide that are suitable for its attachable system, which has proprietary software to manage the injection of hydrogen into a diesel engine to significantly reduce emissions and fuel costs.
H2i Technology is currently manufacturing ten commercial-ready hydrogen enhancement systems in Victoria, which it plans to use to run trials with potential customers across the steel manufacturing, agriculture, construction, mining and hospitality/tourism industries.
The units are due to be ready in July 2023, with field testing planned to commence with potential customers over the second half of 2023. Testing showed the system can be retrofitted onto an engine to extend its operational life, significantly reduce emissions (up to 30%), decrease particulate matter (50%), cut fuel costs (up to 20%), and optimise efficiencies.
With units for stationary generators ready for market, the Company says its system can also be attached to some off-road vehicles, depending on the engine.
As part of its growth strategy, H2i will further develop the technology for on-road vehicles and LPG, LNG, CNG, and petrol engines, which will increase the Company's addressable market and profitability.