2022TheGreenHydrogenStandardHydrogenprojectsthatmeettheGreenHydrogenStandardwillbelicensedtousethelabel“GH2GreenHydrogen”andwillbeeligibletoobtainandtradeGH2certificatesoforiginforgreenhydrogenandderivativessuchasgreenammonia.TheGreenHydrogenOrganisation(GH2)ForewordTheGreenHydrogenOrganisation(GH2)isanotprofitfoundationUnlockingGreenHydrogen’svastpotentialunderSwisslaw.InadditiontoitsofficeinGenevaitispresentinLondon,Perth,andSydney.Thecentralimportanceofgreenhydrogeninthetransitiontonetzeroisclearerthanever.ThemissionofGH2istodramaticallyacceleratetheproductionEveryweekbringsanotherwaveofgreenhydrogenannouncements:newnationalstrategies,andutilisationofgreenhydrogenacrossarangeofsectorsgovernmentincentives,industrycommitmentsandcollaboration,researchinsightsandglobally.Itwillpushtorapidlydecarboniseindustrieslikesteel,advocacy.cement,fertilisers,shippingandaviationthathavesofarmadelimitedprogressreducingtheiremissions.Russia’sbrutalinvasionofUkrainehasunderlinedtheunsustainabilityofEurope’sdependenceAglobalstandardthatdefinesgreenhydrogenisessentialtoonfossilfuels.Wehavestoppeddebatingifgreenhydrogencansaveus.Nowwearedebatingpromoteconfidence,raiseandleverageinvestment,facilitatetradehowquicklywecanmakeithappen.andunlockgreenhydrogen’svastpotential.AdditionalinformationregardingGH2isavailableviawww.gh2.orgAsafuel,whenhydrogenisuseditsonlyemissioniswater(H20).Butifallformsofhydrogenarezeroemissionwhenused,theyaredefinitelynotwhenproduced.TheGreenHydrogenStandardTheGreenHydrogenOrganisationItisessentialthereforethatwereachagreementonglobalstandardsthatdefinegreenhydrogen.ThispublicationmaybereproducedfreeofchargeinanyformatThisisnotjustatechnicalissue.Everyoneneedstoknowthat“green”hydrogenmeanshydrogenormediumprovidedthatitisreproducedaccuratelyandnotproducedwithoutsignificantassociatedgreenhousegasemission.Thisisincontrasttomostofusedinamisleadingcontext.thehydrogenusedtodaywhichismadefrommethanebyprocessesthattypicallyresultinmoreThematerialmustbeacknowledgedastheGreenHydrogenthantenkilosofCO2emissionsforeachkiloofhydrogen.Organisationcopyrightwiththetitleandsourceofthepublicationspecified.ThereisagrowingappreciationthatgreenhydrogenistheonlyhydrogenproductionoptionCopyrightinthetypographicalarrangementanddesignrestsstrictlyalignedwitha1.5-degreepathway1.withtheGreenHydrogenOrganisation.May2022.However,evenamongsupportersofgreenhydrogen,therearedifferentviewsabouthowtoFormoreinformation,pleasecontactdefinerenewableelectricity,howtomeasureemissions,andwhat,ifany,sustainabilitycriteriaSamBartlett(sam.bartlett@gh2.org).shouldapply.Greenhydrogenwillbeagloballytradedcommodity.Astandardisneededtobuildtrustandconfidencebetweeninvestors,producers,customersandconsumers.Wealsoneedasociallicensetooperatefromthecommunitiesthatwillhostgreenhydrogenproduction.Thereareclearrisksthat,ifnotmanagedtoahighstandard,thegreenhydrogenrevolutionwillstall.ItisforthesereasonswehavedevelopedandagreedthisStandard,theGreenHydrogenStandard.Itestablishesaglobaldefinitionofgreenhydrogen:Greenhydrogenishydrogenproducedthroughtheelectrolysisofwaterwith100%ornear100%renewableenergywithclosetozerogreenhousegasemissions.WeinvitegreenhydrogenproducerstohavetheirprojectindependentlyaccreditedbyGH2.ProjectsthatmeettheStandard,assetoutbelow,willbelicensedbyGH2’saccreditationbodytousethelabel“GH2GreenHydrogen”andwillbeeligibletoobtainandtradeGH2certificatesoforigin.Greenhydrogenissometimescharacterisedashavingzerogreenhousegasemissions.However,theproductionofrenewableelectricitycaninvolvesomegreenhousegasemissions.Therecanbegreenhousegasemissionsassociatedwithelectrolysisandassociatedprocesses(suchaswatertreatmentanddesalination).Andsomeprojectshavenon-renewableback-uppowersystems.Accordingly,GH2refersto“closetozerogreenhousegasemissions”.TheStandardrequiresthatgreenhydrogenprojectsoperateat<=1kgCO2eperkgH2(takenasanaverageovera12-monthperiod).TheGH2BoardwillreviewtheperformanceofGH2Contentsaccreditedprojectsonanannualbasis,withtheexpectationthattheboundariesoftheemissionsassessmentframeworkcanbewidenedandthattheemissionsthresholdwillbeAcknowledgements....................................4loweredinaccordancewithemergingbestpractice.1.Introduction.........................................52.TheGH2GreenHydrogenStandard....................9GH2’sdefinitionofrenewableenergyisbasedonthetechnologiesthataretheleadingcandidatesforscalingupgreenhydrogenproduction:hydropower,wind,solar,geothermal,Requirement1-Projectoverviewandoutlook....................11tidalandotheroceanenergysources.SomecountriesbelievethatthereisarolefornuclearRequirement2-Stakeholderengagement.......................11energytoacceleratetheshiftfrommorepollutingactivities,suchascoalgeneration.Requirement3-Projectlocationanddesign.....................12However,nuclearpowerhasenvironmentalandsafetyrelatedissueswhichthisStandardRequirement4-Socialimpact.................................12isnotdesignedtoaddress.Similarly,therearesustainabilityissuesrelatedtobiomassandRequirement5-Environmentalimpact..........................15wastetoenergythatrequirecarefulscrutiny.GH2welcomestheGreenHydrogenStandardRequirement6-HealthandSafety..............................18inspiringfurtherrulesandstandardsfornuclearandotherformsofenergyproductionwithRequirement7-Government,transparencyandaccountability.....18closetozeroemissions.3.AccreditationandCertification.........................19TheStandardrequiresthattheenvironmental,socialandgovernanceaspectsofgreen4.GH2PolicyNotes....................................22hydrogenproductionareaddressed.Itrequiresthatthedevelopmentopportunitiesandimpactsofgreenhydrogenproductionanduseareconsidered.ThesearevitalForthcomingPolicynotes.....................................24considerationsforinvestors,customers,consumersandthecommunitiesthathostgreenhydrogenprojects.GH2hasbeenestablishedtobuildtheenergysystemsofthefuture.Greenhydrogenisavastlysuperiortechnologytofossilfuels,andwillinevitablyreplacethem.Theonlyquestioniswhen,andwearerunningoutoftime.Ifyouarecommittedtotheenergytransition,reachouttoushereatGH2.Wehaveaplanettosaveandnotimetowaste.MalcolmTurnbullChairmanoftheGreenHydrogenOrganisationAcknowledgments1.IntroductionInDecember2021theGH2formedaTechnicalCommitteetoadvisetheGH2BoardonGreenhydrogenproducersareinvitedtosubmittheirprojectsforaccreditationthedevelopmentoftheStandard.GH2thanksthefollowingCommitteemembersfortheirandcertificationbytheGreenHydrogenOrganisation(GH2).GreenHydrogenadviceandinput:projectsthatmeettheGreenHydrogenStandard(assetoutbelow)willbeyAnnaFreeman,CleanEnergyCouncilAustralia.licensedbyGH2’saccreditationandcertificationbodytousethelabel“GH2yBarbaraJinks,IRENAGreenHydrogen”andwillbeeligibletoobtainandtradeGH2certificatesoforigin.yEmileHerben,YarayGökçeMete,StockholmEnvironmentInstituteTheGreenHydrogenStandard(hereafter“theStandard”)establishesaglobaldefinitionofgreenyHeinovonMeyer,PtXHubhydrogen.Greenhydrogenishydrogenproducedthroughtheelectrolysisofwaterwith100%yIlka-RoseMitchell,FortescueFutureIndustriesornear100%2renewableenergywithclosetozerogreenhousegasemissions.3ItrequiresthatyJillThesen,TheFederationofGermanIndustriese.V.(BDI)theenvironmental,socialandgovernanceconsequencesofgreenhydrogenproductionareyJohannaFriese,PtXHubthoroughlyevaluated.ItalsorequiresthatthedevelopmentopportunitiesandimpactsofgreenyLindaWright,NewZealandHydrogenCouncilhydrogenproductionandusearefullyconsidered.yLiuYunhui,ResearchCenterforContemporaryManagement,TsinghuaUniversityyMarceloKloster,ArgentineanAccreditationOrganizationTheStandardisbasedonaproject-levelcertificationandaccreditation.Chapter2outlinesyNoamBoussidan,WorldEconomicForumsevengeneralandsevendetailedrequirementsthatprojectsmustsatisfy.yMarkPhillips,NikauCapitalyMiguelangelOcandoWahban,H2VectorEnergyTechnologies,S.L.stepGreenHydrogenTheprojectdeveloperensurescompliancewiththeGH2yNoelTomnay,WoodMackenzie.ProjectyRachelFakhry,NaturalResourcesDefenseCouncil1Standard.yRitaTedesco,ECOSDevelopmentyScottHamilton,SmartEnergyCouncil(Australia)ySimonDawes,CarbonChangeAustraliastepIndependentTheprojectdeveloperengagesanIndependentySonjaButzengeiger-Geyer,PerspectivesClimateGroupGmbHyTomParkinson,FortescueFutureIndustries2AssuranceAssuranceProvideraccreditedbyGH2.yTimHard,ArgusWhilethesecontributionsaregreatlyappreciated,responsibilityfortheStandardrestswithstepConsultationandTheIndependentAssuranceProviderconsultstheGreenHydrogenOrganisation(GH2),Geneva,Switzerland.publiccommentstakeholdersandpreparesanassessment.Adraftreport3ismadeavailableforpubliccomment.4ThefinalreportissubmittedtoGH2’sAccreditationBody.stepGPrroejeenctHydrogenProjectsthatmeettheStandardarelicensedtousethelabel“GH2GreenHydrogen”andwillbeeligibletoobtain4AccreditationandtradeGH2certificatesoforigin.stepGreenHydrogenTheGH2Registryissues,tracksandcancelsGH2GreenProduction5HydrogenGuaranteeofOrigincertificates.CertificationstepReviewandAccreditationisreviewedannually.TheAccreditation6RenewalbodyundertakesspotchecksandmayrecommendrefinementstotheStandard.5TheGreenHydrogenStandardprovidesaclearglobalminimumstandard,whilealsoretainingGH2notesthatsomecountrieshavedeterminedthatthereisarolefornuclearenergytoacceleratetheflexibilitytoaccommodatelocalchallengesandopportunities.TheStandardplacesthetheshiftfrommorepollutingactivities,suchascoalgeneration.However,nuclearpowerraisessomeonusongreenhydrogenproducerstodemonstratethattheyareaddressingtheenvironmental,specificenvironmentalandsafetyrelatedissues,whichthisStandardisnotdesignedtoaddress.socialandgovernanceperformanceoftheirprojectsinaccordancewithnationallawsandSimilarly,therearesustainabilityissuesrelatedtobiomassandwastetoenergywhichthisStandardregulationandglobalbestpractice.TheStandardseekstoensureconsistencyandcredibility,isnotdesignedtoaddress.GH2welcomesiftheGreenHydrogenStandardinspiresfurtherrulesandwhilealsomaintainingcountryownership.standardsalsofornuclearandotherformsofenergyproductionwithclosetozeroemissions.GH2embracestheprincipleandpracticeofaccountabilitybygovernmentandindustrytoallInexceptionalcircumstances,andinconsultationwithstakeholders,GH2willconsideropportunitiescitizensforthestewardshipofnaturalresources.CertificationandaccreditationbyGH2requiretoengagewithprojectoperatorsthatareplanningtoproducehydrogenwithotherrenewablenon-fossilthatgreenhydrogenprojectsaresubjecttoacredible,independentassessment,applyingsources,butonlywheretheseprojectsmeetthesameemissionsandsustainabilitystandards.internationalassurancestandards.Theproceduresemphasiseopennessandstakeholderconsultation.ProactivelyengagingandbuildingtrustwithkeycommunitiesandstakeholdersAcceleratingtheproductionandutilisationofgreenhydrogenrequiresandsupportsalargeincreaseinwillalsobeitsownrewardoutsideofcertificationasitwillbuildsociallicencetooperateandtheproductionandutilisationofrenewableenergy.Inordertobeaccreditedandcertified,theStandardimprovethepositiveimpactsoftheinvestmentandhelpmitigateanyexternalities.requiresthatgreenhydrogenprojectoperatorsprepareanevaluationoftheproject’sutilisationofelectricityandtheimpactontheenergymarket.Theprojectoperatormustdemonstratethatithas1.1Rigorousaccountingofgreenhousegasemissions–guaranteeingidentifiedandimplementedtechnicallyfeasibleandcost-effectivemeasuresthatsupportenergyclosetozeroemissionsefficiencyorotherdecarbonisationoptions,addressinganyimpactsvis-à-visaccesstoaffordableandreliableenergy.Theexpectationisthatgreenhydrogenprojectscontributetothebuild-outofnewTheGreenHydrogenStandardsetsamaximumthresholdforgreenhousegasemissionsofrenewableenergycapacityandavoidleadingtoincreaseduseoffossil-generatedelectricityelsewhere1kgCO2eperkgH2(seeRequirement5E,below).GH2hasworkedwithstakeholderstointheenergysystem.developanemissionmeasurementmethodologythatbuildsoninternationalbestpracticeandthatenablescomparisonswithotherhydrogenproductionpathways.GH2alsoreviewedtheThewidersocialandenvironmentalimpactsassociatedwithadditionalrenewablecapacityneedtobeacademicliteratureandconsultedgreenhydrogenproducersonanappropriatethreshold.4considered.GreenhydrogenproductionfacilitiesalsoneedtobedevelopedandoperatedresponsiblyTheGH2Standardisrigorous,yetpractical,withemissionaccountingproceduresandandsustainably.Keyquestionsinclude:Arethesocialandenvironmentalimpactsofnewprojectsthresholdsthatcanbeappliedconsistentlytogridandoffgridproduction.fullyconsidered?Doestheprojectcomplywithinternationalhumanrightsstandardsandarehumanrightspromotedwheretheenergyisproduced?HasagoodfaithefforttoengagekeystakeholdersTheboundariesofthecarbonaccountingsystemandthethresholdsatwhichhydrogenisandcommunitiesproactivelybeenmade?Havetheybeenprovidedwiththeinformationandpotentialconsidered“green”needtobeclearlydefinedandtrustedascrediblebyallstakeholders.Withopportunitiestoengagethattheyseeasmostrelevantandneeded?somemodifications,GH2appliesthemethodologyfortheelectrolysisproductionpathwaybeingdevelopedbytheInternationalPartnershipforHydrogenandFuelCellsintheEconomyTheGreenHydrogenStandardincorporatesbestpracticesustainabilityassessmentsintoinvestment(IPHE)asoutlinedintheWorkingPaperMethodologyforDeterminingtheGreenhouseGasanalysisandprojectdecision-makingprocessesthroughaninclusiveprocesswherestakeholderEmissionsAssociatedwiththeProductionofHydrogen(seeAnnex1).5TheIPHEdoesnotviewsaresolicited,respectedandaddressed.TheGH2Standardincorporatestheimpactonaffectedestablishanemissionsthreshold.BuildingonIPHE’swork,theStandardaddressesthestorage,communities,labourandworkingconditions,andtheprohibitionofallformsofslavery,childandforcedconversionanddeliveryofH2anditsderivatives(seeRequirement5E).Priorityisgiventogreenlabour.Theuseandmanagementofwaterresourceswillalsobeconsideredduringthecertificationammonia,asaleadingcandidateforthetransportationofgreenhydrogenformanygreenprocess,togetherwithadherencetobestpracticehealthandsafetystandardsingreenhydrogenhydrogenprojectdevelopers.production,storageandtransportation.1.2Environmental,socialandgovernanceperformance1.3Thedevelopmentimpact–SDGperformanceWhiletheemissionsassociatedwithhydrogenproductionhavereceivedsignificantattention,TheSustainableDevelopmentGoals(SDGs)callforthebettermentofglobalpopulations,whiledemonstratingthatgreenhydrogenhasbeenproducedsustainablyneedstobeaddressedpreservingtheenvironmentandguardingagainstaclimatedisaster.6Greenhydrogenisauniqueingreenhydrogencertification.TheStandardtrackstheoverallsocial,environmentalandtechnologyandfuelthatallowsforscalableinvestmentanddramaticallydecarbonisedindustry.governanceperformanceofgreenhydrogenproduction.Asasystemforenergyproduction,italsopromisestodelivergreaterenergyindependenceforcountrieswithoutnaturalendowmentsoffossilfuelsaswellasofferinganalternativetofossilfuels.InordertoGH2focusesontherenewableenergytechnologiesthataretheleadingcandidatesforscalingachievetheSDGsandParisAgreementtargets,theenergytransitionmustbecomeatransformationalupgreenhydrogenproduction.GH2accreditationandcertificationrequirestheprojectoperatorglobaleffort.Anenergyrevolutionisunderway,but759millionpeoplestilllivewithoutelectricityandthetodemonstratethathydrogenisproducedthroughtheelectrolysisofwaterwith100%orneardevelopmentopportunitiesitprovides.7100%renewableenergy.GH2accreditationandcertificationrequiresrenewableenergysourcedfromhydropower,wind,solar(solarthermalandsolarphotovoltaic),geothermalenergy,tide,GreenhydrogenhasenormouspotentialtosupporttheachievementoftheSDGs.Themostobviouswaveandotheroceanenergysources.contributionsrelatetoSDG7(affordableandcleanenergy),SDG8(decentworkandeconomicgrowth)andSDG13(climateaction).Inaddition,therearedirectandindirectcontributionsthatcontributeto6almostalloftheSDGs,includingSDG6(cleanwaterandsanitation)SDG9(industry,innovationandinfrastructure),SDG12(responsibleconsumptionandproduction),SDG14(lifebelowwater)andSDG15(lifeonland)thatshouldalsobeconsidered.TheStandardrequiresthatgreenhydrogenprojectoperatorsassesstheproject’sdevelopmentimpactandcontributiontowardsachievementoftheSDGs.Thisworkshouldbeundertakenatanearlystage,withaviewtomaximisingthedevelopmentpotentialtosupportenergysectordevelopment,increaseenergysecurityanddevelopmentopportunities.72.TheGH2GreenHydrogenStandardTheGreenHydrogenStandardisbasedonaproject-levelcertificationandaccreditation.Itiscomprisedofsevenprinciplesandsevenrequirements.2.1PrinciplesoftheGreenHydrogenStandardTheGreenHydrogenStandardprovidesaclearglobalminimumstandard,whilealsoretainingtheflexibilitytoaccommodatelocalchallengesandopportunities.Thefollowingsevenprincipleswillbeappliedthroughouttheaccreditationandcertificationprocess:1.Sovereigntyandsubsidiarity.GH2acknowledgesthatthedevelopmentofnaturalresourcesandenergymarketsisinthedomainofsovereigngovernmentstobeexercisedintheinterestoftheircitizensandnationaldevelopment.Toavoidduplication,demonstratingadherencetocredibleandcomprehensivenationalrequirements8shallbedeemedsufficienttomeetGH2’saccreditationandcertificationrequirements.Similarly,anypotentialbreachesofGH2’srequirementsbygovernmentagenciesand/orotherpartiesinrelationtotheprojectshallbefullyconsidered.Science-basedknowledgeshouldbeapplied,referringtopeer-reviewedliteratureandinternationallyacceptedstandards.2.Proportionality(materiality).GH2shallensureproportionalityintheaccreditationandcertificationframework.Theprocessshouldemphasisethemostsignificantissuesandimpactsandallowforminorgaps/deviationsinmeetingtherequirementswherethebroaderobjectiveoftherequirementismet.3.Harmonisation.Toimprovequalityandefficiency,GH2encouragesalignmentwithinternationalbestpracticeandwillworktoensuretheinteroperabilityofitsworkwithorganisationsthatarepursuingsimilarobjectives.4.Consultation.GH2accreditationandcertificationrequiresclearevidenceofproactiveandbroad-basedstakeholderconsultation.Allstakeholdershaveimportantandrelevantcontributionstomake-includinggovernmentsandtheiragencies,companiesandtheirsuppliers,localcommunitieswhomaybeaffectedbytheproject,financialorganisations,investorsandnon-governmentalorganisations.Wesupporttheprincipleoffree,priorandinformedconsent.5.Transparency.Tocontributetoinformedpublicdebateandbuildingtrust,theGH2expectsdisclosuresfromprojectoperatorstobeproactive,comprehensive,andpubliclyaccessible.Projectoperatorsshouldfindoutwhatisofparticularrelevanceandinteresttospecificstakeholdersandseekthebestwaystosharethatinformation.Thisinformationshouldbemadefreelyavailableonlineandinotherrelevantformatstothecommunityconcerned9.Freeaccessto,andsubsequentre-useof,opendataareofsignificantvaluetosociety.6.Independentverification,concernsandappeals.GH2reliesonprojectoperatorstomakeacompleteandcompellingcaseofhowtheyaremeetingtheStandard,whichwillbesubjecttoindependentreview.GH2willdevelopareviewandappealprocedurebutin89thefirstinstance,stakeholderswithaconcernregardingcompliancewiththeStandardRequirement1shouldraiseitwiththeprojectoperatorand/ortheappropriatenationalauthorities.Ifthisisnotappropriateoriftheconcernremains,thestakeholdermaypetitionGH2toconsiderProjectoverviewandoutlookthematter.Theobjectiveofthisprovisionistoensurethattheprojectoperatorcandemonstratethe7.FurtherdevelopmentoftheStandard.TheStandardseekstobalancepredictabilityandproject’sstrategicfitwithrelevantpoliciesandplansofthehostgovernment,andthattheflexibilityinanewandrapidlygrowingindustry.Projectproponentshaveemphasisedprojectisapriorityoptiontomeetidentifiedmarketneeds.theneedforclearandstablestandardstoinformlongtermplanning.StakeholdersarealsoinagreementthatGH2shouldtakeintoaccountemergingbestpractices,GH2accreditationandcertificationrequiresthattheprojectoperatorpublishesapubliclyparticularlyasprojectsarescaledupfrompilotstolargescaleoperation.GH2willreviewaccessibleandtransparentoverviewoftheprojectaddressingexpectedoutcomesandimpact.thelessonslearnedfromtheaccreditationandcertificationprocessinconsultationThisshouldinclude:withallstakeholders.AnysubsequentrefinementsormodificationstotheStandardwillincludetransitionalarrangementsthatwillallowprojectoperatorstomakethenecessarya.Asimplebutcompleteoverviewoftheproject(scope;technologyused;capacities;adjustmentswithinareasonabletimeframebeforecomingintoforce.timeframes;involvedparties;howkeydecisionswillbemadeandwhowillmakethem;localandregionalimpacts);2.2GH2Requirementsb.Asummaryoftheproject’scontributiontolocalandnationalpoliciesandplansobjectives,Thesevenrequirementsbelowoutlinethespecificrequirementsthatmustbemetinorderandtheproject’scontributiontotheUNSustainableDevelopmentGoals,forprojectstobeaccreditedandcertifiedbyGH2.Insomecases,therequirementsreferencewhereapplicable;policynotes.Policynotesprovideadditionaldetailandassessmentcriteria.Furtherrefinementsandinterpretationsarelikelytooccurandwillbecommunicatedthroughrevisedrequirementsc.Asummaryoftheenvironmental,socialandeconomicimpactoftheprojectandplanstoandadditionalpolicynotes.mitigatethem.Terminologyd.Asummaryofplansforongoingconsultationandcommunityoutreachandengagement;Theuseoftheterms‘required’and‘must’indicatethataprovisionismandatoryandwillbee.Asummaryofhowprojectoperatorsintendtomeetandsustaincompliancewiththetakenintoaccountintheaccreditationandcertificationoftheproject.requirementsoftheGH2GreenHydrogenstandardoverthewholelifetimeoftheproject.Theuseoftheterms‘expected’and‘should’indicatethattheprojectoperatorshouldconsiderRequirement2theissueanddocumenttheirdiscussionsandposition.Certificationwillconsidertheprogressmadeontheseissuesandanyreasonablebarrierstomeetingtheexpectation.StakeholderengagementandgovernmentapprovalTheuseoftheterms‘recommended’,‘encouraged’,‘maywish’and‘could’indicatethataTheobjectiveofthisprovisionistodemonstratethattheprojecthasbeena)subjecttoaprovisionisoptional,whileaddingtothebalanceofevidenceforcertification.However,theseproperapprovalprocessinaccordancewithnationallawsandregulations,b)thatanyconcernsarenotrequirementsforaccreditationandcertificationoftheproject.regardingtheprojectcanbeaddressedthroughtheappropriatechannelsandwiththerelevantgovernmentauthorityandthatc)theprojecthaswidelyengagedrelevantstakeholderstobuildAcknowledgementstrustandmaximiseitssociallicencetooperateandlocaleconomicdevelopmentopportunities.Indevelopingthesestandards,theGH2hasdrawnonavarietyofinternationalbestpractices,inGH2accreditationandcertificationrequiresthattheprojectoperatorpublishesapubliclyparticulartheInternationalFinanceCorporation's(IFC)EnvironmentalandSocialPerformanceaccessiblesummaryofthegovernmentlicencesandapprovalsassociatedwiththeproject.Standards10,theHydropowerSustainabilityCouncil’sHydropowerSustainabilityStandard11andThisshouldaddresspropertyrights,landuse,waterrights(ifapplicable)environmental,theUNSustainableDevelopmentGoals(SDGs).publichealthandforeigninvestmentapprovalsasappropriate,withlinkstotheassociateddocumentationwherepubliclyavailable.ThedocumentationshouldbemadeavailabletotheIndependentAssuranceProviders,withappropriatecaveatsandsafeguardstoprotectpersonalandcommerciallysensitiveinformation.1011Requirement3GH2accreditationandcertificationrequiresthatissuesrelatingtoprojectaffectedcommunitieshavebeenidentifiedthroughanassessmentprocessutilisinglocalknowledgeProjectlocationanddesignandthatthesecommunitieshavebeenproactivelyengagedabouttheprojectandgivensupporttounderstandandengageinprojectdesignandmitigation;andmonitoringofprojectimpactsTheobjectiveofthisprovisionistodemonstratethatthelocationanddesignoftheprojecthasandeffectivenessofmanagementmeasuresisbeingundertakenduringprojectimplementationbeenoptimisedasaresultofaniterativeandconsultativeprocessthataddressesthemostappropriatetotheidentifiedissues.significanttechnical,economic,financial,environmentalandsocialconsiderations.GH2accreditationandcertificationrequiresthatpublichealthissuesrelevanttoprojectGH2accreditationandcertificationrequiresapubliclyaccessibleevaluationoftheprojectimplementationandoperationhavebeenidentifiedthroughanassessmentprocessutilisinglocationanddesignoptions,includingtherenewableelectricityandwatersources,hydrogenappropriateexpertise;andmonitoringisbeingundertakenduringtheprojectimplementationproductionfacilities,andassociatedstorageandtransportationinfrastructurewithappropriatestageappropriatetotheidentifiedissues.13attentiontosensitiveandprotectedareas.GH2accreditationandcertificationrequiresthatprojectoperatorsarecommittedtoidentifying,Requirement4assessingandmitigatinghumanrightsimpacts,providingaccesstoremedythrougheffectivegrievancemechanisms,andensuringcontinuousimprovement.SocialimpactTheGreenHydrogenStandardrequiresthatgreenhydrogenprojectoperatorsassessInternationalbestpracticehighlightstheimportanceofintegratedassessmentstoidentify:theproject’sdevelopmentimpactandcontributiontowardstheSDGs.Inthecasethat(1)thesocialimpacts,risks,andopportunitiesofprojects;(2)effectivecommunityengagementcommitmentstoadditionalbenefitsorbenefitsharinghavebeenmade,theexpectationisthatthroughdisclosureofproject-relatedinformationandconsultationwithlocalcommunitiesontheprojectoperatorhasestablishedasystemtomonitorandreportonthedeliveryofthesemattersthatdirectlyaffectthem;and(3)theprojectoperator’smanagementofenvironmentalcommitmentsoverthefulllifetimeoftheproject.andsocialperformancethroughoutthelifeoftheproject.12Requirement4BTheexpectationisthattheprojecthasbeensubjecttosocialimpactassessment(SIA)orResettlementothersimilarassessmenttohelpunderstandthepotentialimpactsthataproposedprojectmayhaveonacommunity.Thisshouldincludeabaselinestudyofthecommunity’sexistingTheobjectiveofthisprovisionisthatthedignityandhumanrightsofthosephysicallydisplacedsocialenvironment.Thebaselineinformationisthenusedtohelppredictanysocialimpactsarerespected;thatthesemattersaredealtwithinafairandequitablemanner;andlivelihoodsthecommunitymayface,orchangesthatmayoccurtotheexistingsocialenvironment,byandstandardsoflivingforresettlesandhostcommunitiesareimproved.introducingtheproposedproject.Theexpectationisthattheseassessmentshavebeencarriedoutinaccordancewithapplicableregulatoryrequirements,includingappropriatestakeholderWhenprojectoperatorsseektoacquirelandfortheirbusinessactivities,itcanleadtorelocationconsultationandpublicationoftheresults.Itisexpectedthatthefindingsfromthisworkhaveandlossofshelterorlivelihoodsforcommunitiesorindividualhouseholds.“Involuntarybeenincorporatedintoacommunityengagementplan(orsimilar)thataddressesopportunitiesresettlement”refersbothtophysicaldisplacement(relocationorlossofshelter)andtotocreateandcontributetosocialvalueinthecommunitiesthathosttheproject.economicdisplacement(lossofassetsoraccesstoassetsthatleadstolossofincomesourcesorothermeansoflivelihood)asaresultofproject-relatedlandacquisitionand/orTheexpectationisdueconsiderationandplanningcanbedemonstratedtomaximiserestrictionsonlanduse.Resettlementisconsideredinvoluntarywhenaffectedpersonsorlocaldevelopmentopportunitiesandtoengagesmallerbusinessesinthesupplychain.communitiesdonothavetherighttorefuselandacquisitionorrestrictionsonlandusethatThisshouldincludeproactiveengagementwithsmallerbusinessesaswellastransparencyresultinphysicaloreconomicdisplacement.14aboutforthcomingcontractingopportunitiesandprocurementasdemonstratesfair,transparentandcompetitivemethodstoawardcontractstolocalvendorstofosterInaccordancewithIFCPS515,GH2accreditationandcertificationrequiresthatprojecteconomicinclusion.operatorsavoidinvoluntaryresettlementwhereverpossibleandtominimiseitsimpactonthosedisplacedthroughmitigationmeasuressuchasfaircompensationandimprovementstoandRequirement4Alivingconditions.Activecommunityengagementthroughouttheprocessisessential.AffectedcommunitiesandlivelihoodsRequirement4CTheobjectiveofthisprovisionisthatthelivelihoodsandlivingstandardsareimprovedforIndigenousPeoplesproject-affectedcommunitiesandthatlife,propertyandcommunityassetsandresourcesareprotectedfromtheconsequencesoftheproject.Theobjectiveofthisprovisionistoensurethattheprojectrespectsthedignity,humanrights,aspirations,culture,lands,knowledge,practicesandnaturalresource-basedlivelihoodsof12IndigenousPeoplesinanongoingmannerthroughouttheprojectlife.Indigenouspeoplesmaybeparticularlyvulnerabletotheadverseimpactsassociatedwithprojectdevelopment,includingriskofimpoverishmentandlossofidentity,culture,andnaturalresource-basedlivelihoods16.13InaccordancewithIFCPS717,GH2accreditationandcertificationrequiresthatbusinessRequirement5activitiesminimisenegativeimpacts,fosterrespectforhumanrights,dignityandcultureofindigenouspopulations,andpromotedevelopmentbenefitsinculturallyappropriateways.EnvironmentalimpactGH2accreditationandcertificationrequiresinformedconsultationandparticipationwithInternationalbestpracticehighlightstheimportanceofintegratedassessmentstoidentify:Indigenouspeoplesthroughouttheprojectprocess.Theexpectationisthatprojectoperators(1)theenvironmental,risks,andopportunitiesofprojects;(2)effectivecommunityengagementadheretotheprincipleofFree,PriorandInformedConsentthroughdisclosureofproject-relatedinformationandconsultationwithlocalcommunitiesonmattersthatdirectlyaffectthem;and(3)theprojectoperator’smanagementofenvironmentalRequirement4Dandsocialperformancethroughoutthelifeoftheproject.19LabourandworkingconditionsTheexpectationisthattheprojecthasbeensubjecttoanenvironmentalimpactassessment,Theobjectiveofthisprovisionistoensurethatworkersaretreatedfairlyandareprotected.i.e.,arigorousprocessidentifying,predicting,evaluatingandmitigatingthebiophysical,social,GH2accreditationandcertificationrequiresthatprojectoperatorsundertakeanassessmentandotherrelevanteffectsoftheprojectinaccordancewithapplicableregulatoryrequirements,ofhumanresourceandlabourmanagementrequirementsfortheproject,includingrecruitment,includingappropriatestakeholderconsultationandpublicationoftheresults.Itisalsoexpectedprojectoccupationalhealthandsafety(OH&S)issues,risks,andmanagementmeasures.thattheprojectoperatorhasestablishedanenvironmentalmanagementplantosafeguardandWorkersshouldbepaidfairlyandinaccordancewithalllocallaws,includingthoserelatingtoimproveenvironmentalperformanceoverthelifetimeoftheproject.minimumwage,leaveentitlementsandotherbenefits.Requirement5AGH2accreditationandcertificationrequiresprojectoperatorstorespecttherightofallworkersRenewableenergysourcestoformandjointradeunionsoftheirownchoosing,tobargaincollectivelyandtoengageinpeacefulassemblyaswellasrespecttherightofworkerstorefrainfromsuchactivities.TheobjectiveofthisprovisionistodemonstratethatgreenhydrogenisproducedfromProjectoperatorsareencouragedtoadheretotheIFC’sperformancestandardsrelatingtorenewableenergysourceswithclosetozeroemissions.workers’organisationsandcollectivebargaining.18GH2accreditationandcertificationrequirestheprojectoperatortodemonstratethathydrogenRequirement4Eisproducedthroughtheelectrolysisofwaterwith100%ornear100%renewableenergy.Modernslavery,childandforcedlabourGH2accreditationandcertificationrequiresrenewableenergysourcedfromhydropower,wind,solar(solarthermalandsolarphotovoltaic),geothermalenergy,tide,waveandotheroceanTheobjectiveofthisprovisionistoensurethattheprojectprotectsworkers,includingenergysources.GH2willconsiderproposalsfromprojectoperatorsbasedonotherrenewablevulnerablecategoriesofworkerssuchaschildren,migrantworkers,workersengagedbythirdnon-fossilsourcesonacase-by-casebasis.Theprojectoperatormustdemonstratethattheparties,andworkersintheclient’ssupplychain.projectmeetsequivalentemissionsandsustainabilitystandards.GH2accreditationandcertificationrequiresthattheprojectoperatordoesnotemploychildrenGH2accreditationandcertificationrequiresthattheprojectoperatorundertakesanevaluationinanymanner.oftheproject’sutilisationofelectricityandtheimpactontheenergymarketincluding,whereapplicable,networkcongestionandtheimpactoftheiroperationsonthegreenhouseGH2accreditationandcertificationrequiresthattheprojectproponentdoesnotemployforcedgasemissionsfromtheelectricitygrid.Theprojectoperatormustdemonstratethatithaslabour,whichconsistsofanyworkorservicenotvoluntarilyperformedthatisexactedfromanidentifiedandimplementedtechnicallyfeasibleandcost-effectivemeasuresthatsupportindividualunderthreatofforceorpenalty.Thiscoversanykindofinvoluntaryorcompulsoryenergyefficiencyorotherdecarbonisationoptions,addressinganyimpactsvis-à-visaccesstolabour,suchasindenturedlabour,bondedlabour,orsimilarlabour-contractingarrangements.affordableandreliableenergy.WheretheevaluationconcludesthattheprojectmayleadtoaTheprojectoperatorwillensurefairrecruitmentandemploymentpracticesareadoptedandsignificantutilisationofrenewableenergyfromtheelectricitygridand/orincreasedgreenhousethatworkersarenotchargedrecruitmentfees.gasemissionsfromtheelectricitygrid,thereisanexpectationthattheprojectoperatorhasidentifiedandimplementedtechnicallyfeasibleandcost-effectivemeasurestosupporttheGH2accreditationandcertificationexpectsthatprojectoperatorsworkincollaborationwithdeploymentofadditionalrenewableenergycapacity.theirsupplierstoeradicatemodernslavery.GreenhydrogenproducersmaycountelectricitytakenfromthegridasfullyrenewableiftheyGH2certificationexpectscapacitybuilding,themeasurableimprovementofskilledlabour,haveconcludedoneormorepowerpurchaseagreements(PPAs)withoperatorsproducingpaymentofalivingwage,jobandeducationopportunitiesandtransferofknowledgeforandtorenewableelectricityinoneormoreinstallations,generatingrenewableelectricityforanamountthelocalpopulation.thatisatleastequivalenttotheamountofelectricitythatisclaimedasfullyrenewableandtheelectricityclaimediseffectivelyproducedinthisortheseinstallations.PPAsshouldmakeuse14ofcredibleguaranteeoforigincertificationschemes(orsimilarproofs)whereavailable.Thereisanexpectationthattheprojectoperatorhasaddressedtemporalcorrelation(ensuringthattheelectrolysers’demandmatchestherenewablepowergeneration)aswellasageographical15correlation(ensuringthattheelectrolyserandtherenewablepowergenerationcoveredbytheRequirement5CPPAarelocatedinthesamepowermarket).ThegranularityoftheinformationinPPAsandWaste,NoiseandAirQualityguaranteeoforigincertificatesshouldbealignedwiththeelectricitymarketwherethePPAandguaranteeoforigincertificatesareissued.WhereregulatorybodieshaveimposedrequirementsTheobjectiveofthisprovisionistoensurethatthenegativeenvironmentalandsocialontemporalorgeographicalcorrelationbetweentheconsumptionofelectricitybytheimpactsassociatedwiththeprojectaremanaged;avoidance,minimisation,mitigation,electrolysersandthegenerationoftheadditionalrenewables-basedelectricity,GH2certificationcompensationandenhancementmeasuresareimplemented;andenvironmentalandsocialrequiresthattheserequirementsaremet.commitmentsarefulfilled.Upto5%ofelectricityfromanysourcemaybeconsumedbyelectrolysersinagivenyearifitGH2accreditationandcertificationrequiresthatwaste,noiseandairqualityissuesrelevantcanbereasonablydemonstratedthattherehavebeentechnicalormarketconstraintsrequiringtoprojectimplementationandoperationhavebeenidentifiedthroughanassessmentprocesssuchuse.GHGemissionsresultingfromtheuseofthiselectricityconsumptionneedtobeutilisingappropriateexpertiseandthatmonitoringisbeingundertakenduringtheprojectcalculatedaccordingtoofficialgridemissionfactorspublishedbyhostcountrygovernmentsorimplementationstageappropriatetotheidentifiedissues.22publishedasCDMstandardisedbaselineapprovedbytheCDMExecutiveBoard.20TheoverallthresholdfortheGHGintensityofproducedhydrogen(1kgCO2/kgH2)mustnotbeexceededRequirement5Dinagivencalendaryear.BiodiversityRequirement5BTheobjectiveofthisprovisionistoensurethat:(1)therearehealthy,functionalandviableWateruseandqualityaquaticandterrestrialecosystemsintheproject-affectedareathataresustainableoverthelong-term;(2)biodiversityimpactsarisingfromprojectactivitiesaremanagedresponsibly;(3)Theobjectiveofthisprovisionistoensurethatgreenhydrogenprojectsaddresstheavailabilitythatongoingoremergingbiodiversityissuesareidentifiedandaddressedonanongoingbasis.andsustainablemanagementofwaterandsanitation,particularlyincorporatingtheneedtoaddressrisksofreducingwateraccess/exacerbatingwaterstress,includingdesalinationGH2accreditationandcertificationrequiresthatbiodiversityissuesrelevanttoprojectwhereapplicable.implementationandoperationhavebeenidentifiedthroughanassessmentprocessutilisingappropriateexpertise;andthatmonitoringisbeingundertakenduringtheprojectGH2accreditationandcertificationrequiresapubliclyaccessibleevaluationoftheproject’simplementationstageappropriatetotheidentifiedissues.23utilisationofwaterandtheproject’sapproachtowastewatertreatmentandwaterpollution21,referencing,whereappropriate,applicablenationalstandards.TheprojectoperatormustRequirement5EdemonstratethatithasidentifiedandimplementedtechnicallyandfinanciallyfeasibleandClimatechangeimpactandmitigationcost-effectivemeasuresforimprovingefficiencyinitsconsumptionofwater,particularlyinrisksassociatedwithwateraccessandwaterstress.ThiscouldalsoincludeanassessmentTheobjectiveofthisprovisionistodemonstratethatgreenhydrogenisproducedfromofopportunitiestogenerateco-benefitsforlocalcommunitiesthroughprovisionofdrinkingrenewableenergysourceswithclosetozeroemissions.water,waterforirrigation,and/orwatertreatment.SuchmeasureswillintegratetheprinciplesofcleanerproductionintoproductdesignandproductionprocesseswiththeobjectiveofTheGreenHydrogenStandardrequiresindependentverification(throughtheaccreditationoptimisingwaterconsumptionandminimisingwaterpollution.andcertificationprocess)thatgreenhydrogenproductionfacilitieshaverobustsystemstoaccuratelyandcomprehensivelymeasurethegreenhousegasemissionsforproductionWheredesalinationtakesplace,theG2Hcertificationrequiresthatprojectoperatorsperiods/shipments,includingappropriatedocumentationforthepurposesofcertification.demonstratethatdesalinationplansdonothaveanegativeeffectonthewatersource.GH2accreditationandcertificationrequiresthatprojectsthatoperateat<=1kgCO2eperkgThiscouldinclude:H2takenasanaverageovera12-monthperiodaspertheelectrolysisproductionpathwaydefinedbytheInternationalPartnershipforHydrogenandFuelCellsintheEconomy(IPHE)yAdescriptionofhowtheprojectinteractswithwater,includinghowandwherewaterasoutlinedintheWorkingPaperMethodologyforDeterminingtheGreenhouseGasiswithdrawn,consumed,anddischarged,andthewater-relatedimpactscausedorEmissionsAssociatedwiththeProductionofHydrogen@notingthemodificationsassetcontributedto,ordirectlylinkedtotheproject;outinPolicyNote1.yAdescriptionoftotalwaterconsumptionfromallareas,withafocusonareaswithInaddition,GH2accreditationandcertificationexpectsprojectoperatorstocalculateandwaterstress;reportontheindirectGHGemissionsassociatedwithH2productionprocesses(e.g.,relatingtowateruseandwastedisposal),andtheemissionsassociatedwiththestorage,conversionandyAdescriptionofhowwater-relatedimpactsareaddressed,includinghowtheprojectdeliveryofH2anditsderivatives.Theenergyconsumptionassociatedwith(re)conversionandoperatorworkswithstakeholderstostewardwaterasasharedresource;theemissionslinkedtotransportareanimportantconsideration.GH2willdevelopmethodsandthresholdswithaviewtothesebecomingarequirementforaccreditationandcertificationyAdescriptionofanyminimumstandardssetforthequalityofeffluentdischarge,by31December2023.GH2alsoencouragesprojectoperatorstocalculateandreportonandhowtheseminimumstandardsweredetermined.1716theembodiedemissionsassociatedwithgreenhydrogenproduction,includingembodied3.Transparency.Theprojectoperatorisexpectedtopubliclydisclosekeyinformationemissionsassociatedwith:(i)purchasedenergy(grid)andenergyproducedonsite(offgrid);ofpublicinterestaboutitscorporatestructure,contractualtermsrelatedtotheproject(ii)constructionofH2productionfacilities,and(iii)constructionofstorage,conversionandandfinancialtransactionswiththegovernment.Disclosuresareexpectedtobemadedeliveryinfrastructure.GH2willcollaboratewithpartnerorganizationstodevelopandapplyproactivelyandinconsultationwithcitizensandlocalcommunitiestounderstandthemethodsconsistentlytoallenergyproviders.informationthattheyfindmorerelevantandtofurnishthemwithit.TheGH2BoardwillreviewtheperformanceofGH2accreditedprojectsonanannualyBeneficialownershiptransparency.Projectoperatorsareencouragedtodisclosebasis,withtheexpectationthattheboundariesoftheemissionsassessmentframeworklegalandbeneficialownership,includingtheidentity(ies)oftheirbeneficialowner(s),canbewidened,andthattheemissionsthresholdswillbeloweredinaccordancewiththelevelofownershipanddetailsabouthowownershiporcontrolisexerted.Whereemergingbestpractice.possible,thisinformationshouldbeincorporatedinexistingfilingsbycompaniestocorporateregulators,stockexchangesoragenciesregulatingtheproject.Requirement6yContracttransparency.ProjectoperatorsareexpectedtodisclosethefulltextofHealthandSafetyanycontract,concession,production-sharingagreementorotheragreementgrantedby,orenteredintoby,theprojectoperatorswhichprovidesthetermsattachedtotheTheobjectiveofthisprovisionistodemonstratethatthelivelihoodsandlivingstandardsutilisationofelectricityandwaterandtheproductionofgreenhydrogen.Wenoteimpactedbytheprojectareimprovedrelativetopre-projectconditionsforproject-affectedthatthisisincreasinglythenormeveninpreviouslyopaqueindustriessuchasoilandcommunities;andthatlife,propertyandcommunityassetsandresourcesareprotectedfromminingandisimportanttoestablishtrustandsociallicencetooperate.theconsequencesofanyinfrastructureandoperationalsafetyrisks.yTaxandsubsidytransparency.ProjectoperatorsareexpectedtocomprehensivelyGH2accreditationandcertificationexpectsprojectoperatorstohaveundertakenandisclosetheirpaymentstheymaketogovernmentsatbothcentralandsubnationalassessmentofhumanresourceandlabourmanagementrequirementsfortheproject,includinglevel,andsubsidiesawardedtotheprojectoperatorasindividualsubsidiesoraspartprojectoccupationalhealthandsafety(OH&S)issues,risks,andmanagementmeasures.25ofasubsidyscheme.Typesofpaymentstogovernmentincludetaxesleviedontheincome,productionorprofitsofcompanies,royalties,dividends,licencefees,rentalRequirement7feesandotherconsiderationsforlicencesorconcessions.Governance,transparencyandaccountabilityInMarch2022,GH2announcedaprojectdedicatedto“Goodgreenhydrogencontracts”willcovertopicsincludingcommunityengagement,infrastructureuse,fiscaltermsand1.General.GH2accreditationandcertificationrequiresthatheprojectoperatorhassoundprojectfinancing.TheguidancewillbelaunchedattheGreenHydrogenGlobalAssemblycorporatebusinessstructures,policiesandpractices;addressestransparency,integrityandExhibitiontakingplaceinBarcelonaon17-18May2022.Projectoperatorsareandaccountabilityissues;canmanageexternalgovernanceissues(e.g.,institutionalencouragedtotakethisguidanceintoaccountinaddressingrequirement7.capacityshortfalls,politicalrisksincludingtransboundaryissues,publicsectorcorruptionrisks);canensurecompliance;andprocurementprocessesareequitable,transparentand3.AccreditationandCertificationaccountable.TheGreenHydrogenStandardapproachtoaccreditationandcertification2.Anti-corruptioncompliance.Corruptiondeprivescommunitiesofthebenefitsthathasthreestages:shouldflowfromthedevelopmentofnaturalresourcesandunderminesdecisionmaking.GH2accreditationandcertificationrequiresthattheprojectoperatorestablishescodes3.1Early-stagecommitmentandsupportofconductandanti-corruptionstandardsthatclearlyprohibitbriberyandcorruption,includingfacilitationpaymentstogovernmentofficialstoobtainroutineservices.TheGreenhydrogenprojectoperatorsareinvitedtoworkwithGH2fromtheearlieststagesofstandardsshouldaddresstheobligationsforemployeesandcontractorsandincludeaprojectdevelopment.ProjectoperatorscommittotheGH2Principles26andconfirmtheirrisk-basedsystemforduediligence.ProjectoperatorsareencouragedtoincorporateintentiontoseekGH2accreditationandcertification.GH2providesprojectdeveloperswithanti-corruptioncomplianceintobusinesskeyperformanceindicatorsthatultimatelytoolsthatcanbeusedthroughoutearly-stageconceptandpre-feasibilityworkinconsultationdetermineemployeeremuneration.withstakeholdersandhostcommunitiespriortofinalgovernmentapprovalsandfinalinvestmentdecision.EarlycommitmenttotheGreenHydrogenStandardcanalsobeuseful18inmarketingandnegotiatingofftakeagreements.Thefirststageispurposefullylowcostand“lighttouch”,focussedonmaximisingtheefficacy,efficiencyanddevelopmentpotentialofgreenhydrogenprojects,andtheearlyidentificationandameliorationofanyenvironment,socialandgovernancerisks.193.2IndependentappraisalofGreenHydrogenProjects3.3CertificationofGreenHydrogenProductionProjectoperatorsseekingGH2accreditationshouldundertakethenecessarypreparatoryGH2willestablishaGH2Registrytotracktheissuance,transferandcancellationofGH2Certificatesworktodemonstratetheirproject’sadherencetotheGreenHydrogenStandardasoutlinedtosupportthetradeinGH2certifiedhydrogenthroughoutthevaluechainforothergreenproducts.inchapter2.By31December2022,GH2willissuePolicyNotesaddressingtheproceduresandtheGH2’sAccreditationBodywillaccreditIndependentAssuranceProviders(IAPs)whoareTermsofReferencefortheestablishmentoftheGH2Registry.authorisedtoreviewprojectsinaccordancewiththeStandard.IAPsarerequiredtoundertakeassuranceauditsinaccordancewiththerequirementsofISAE3000,ISO14064-3oranGreenHydrogenTheprojectproponent/operatordesignstheproject,conductsequivalentstandardapprovedbyGH2.IAPsarerequiredtohaveappropriateassurancestepProjectassessmentsandestablishesinternalprocesses.TheprojectmanagementsystemsinplacetomeettherequirementsofISQM1andISQM2,ISO14065,oranequivalentstandardapprovedbyGH2.TheserequirementsdonotpreventGH2establishing1DevelopmentproponentpreparesaselfassessmentandpublishesinformationaSchemeinaccordancewiththerequirementsofISO17029eitherdirectlyorinpartnershipwithanexistingAccreditationBody.inaccordancewiththeGH2Standard.ProjectoperatorswouldengageanIAP(attheirowncost)toassessadherencetotheGreenstepIndependentTheprojectoperatorengagesanaccreditedIndependentHydrogenStandardinaccordancewithstandardisedtermsofreference.TheIAPshouldhave2AssuranceAssuranceProvidertoassessadherencetotheGH2Standard.accesstothenecessarydocumentation,withappropriateprotocolstoaddressconfidentialityandconflictofinterest.stepConsultationandTheIndependentAssuranceProviderconsultsstakeholdersand3publiccommentpreparesanassessment.AdraftreportismadeavailableforTheIndependentAssuranceProviderconsultstheprojectoperatorandotherstakeholderspubliccomment.andpreparesanassessment.Adraftreportismadeavailableforpubliccomment.ThefinalreportfromtheIndependentAssuranceProvideristhensubmittedtoGH2’sAccreditationBody.ThefinalreportfromtheIndependentAssuranceProviderProjectsthatmeettheStandardandhaveagreementsand/orlicenseswithGH2willbecertifiedtousethelabel“GH2GreenHydrogen”(underlicense)andwillbeeligibletoobtainandtradeGreenHydrogenissubmittedtoGH2’sAccreditationandCertificationBody.GH2certificatesoforigin(seebelow).ThedecisionfromtheAccreditationBodywillindicatestepProjectProjectsthatmeettheStandardarelicensedtousethelabelanyissuesthatrequirecloseattentionduringtheimplementationoftheprojectandspecifyatimeframeforareviewoftheproject’saccreditation(especiallywheretheprojectinvolves4Accreditation“GH2GreenHydrogen”andwillbeeligibletoobtainandtradestageddevelopment).AdecisionoftheaccreditationbodycanbeappealedtotheGH2Board.Projectsthatdonotmeetthestandardmaybere-submitted.GH2certificatesoforigin.ProjectsthatdonotmeetthestandardTheAccreditationandCertificationBodywillalsoconductrisk-basedspotchecksandmaybere-submitted.thematicreviewsofGH2accreditedprojects.ThesecheckscanbecompletedbYGH2directlyorbycontractwithanIAP(anIAPshallnotbeengagedtoauditsubjectmatteritstepGreenHydrogenTheGH2Registryissues,tracksandcancelsGH2Greenhaspreviouslyaudited).5ProductionCertificationHydrogenGuaranteeofOrigincertificates.By30June2022theGH2BoardwillissuePolicyNotesaddressing:stepReviewandTheprojectproponentmaintainsadherencetotheStandardyTermsofReferencefortheGH2AccreditationandCertificationBody6Renewal(includingdisclosurerequirements).yProcedurefortheappointmentofIndependentAssuranceProviders(IAPs)yStandardtermsofReferencefortheengagementofIndependentAssuranceProjectsarereviewedannually.Providers(IAPs).Materialchangestotheprojectrequirere-accreditation.IndependentAssuranceProvidersareaccreditedbyGH2’sAccreditationandCertificationBodyGH2’sAccreditationandCertificationBodyestablishesandoverseestheoperationoftheGH2Registry20214.GH2PolicyNotesUpstreamInputsProductionCompressionHydrogenemissionsprocesses(at3MPaPolicynotesprovideadditionaldetailonissuescoveredinsections2and3.RenewableGas>99%purity)TheGH2BoardwillrefineandapproveadditionalpolicynotesbuildingonlessonsContructionelectricityWaterpurification,learnedfromaccreditationandcertification,takingintoaccountfeedbackfromproductiontreatmentdrying&Downstreamprojectoperatorsandotherstakeholders.Productionof(max5%fromcoolingemissionscomponentsothersources)ElectrolysisPolicyNote1SecondaryGH2methodologyforGHGemissionsmeasurementTransportofSteamOxygen(eitheremittedorforuse)productcomponentsproductionmanufacture1.TheGreenHydrogenStandardappliesthemethodologyfortheelectrolysisproduction(ifrelevant)(e.g.Ammonia)pathwaybeingdevelopedbytheInternationalPartnershipforHydrogenandFuelCellsWaterintheEconomy(IPHE)asoutlinedintheWorkingPaperMethodologyforDeterminingproductionOtherprocessTransporttotheGreenhouseGasEmissionsAssociatedwiththeProductionofHydrogen.27fuelusesmarketBasedondiscussionswithstakeholders,someminorrefinementshavebeenadopted.Businesstravel(ifrelevant)Thispolicynotewillbereviewedonaregularbasis,takingintoaccountfeedbackfrom&employeeLiquificationprojectoperatorsandotherstakeholdersandsubsequentrefinementstotheIPHEcommutingmethodology.ThiswillincludeaclarificationofthemethodstobefollowedforcalculatingGHGemissionsforGreenHydrogenderivates,suchasGreenAmmonia.GHGemissionsthatmustbecalculatedStandardexpectstheseemissionstobemeasured,butthey&below1kgCO2e/kgH2arenotincludedinthe1kgCO2e/kgH2emissionsthreshold2.TechnologyScope(asperIPHE).Therearecurrentlythreemainelectrolysertechnologies,distinguishedbytheelectrolyte(andassociatedproductiontemperatures):alkaline4.EmissionsSourcesinElectrolysis(asperIPHE).GHGemissionsassociatedwithelectrolyser,polymerelectrolytemembrane(PEM)electrolyserandsolidoxide(SOEC)electrolysisaresubjecttothenatureofelectricitysupplyforelectrolysisaselectricitycanelectrolyser.Thismethodologymaybeappliedtoanyotherelectrolysistechnologies.besourcedfromthegrid(notingthatthismaybeimpactedbycontractingofrenewableelectricitysupplyandassociatedinstruments),generatedon-siteviathecombustionof3.ElectrolysisProcessDescription(asperIPHE).Awaterelectrolysiscellconsistsofanliquid,gaseousand/orsolidfuels(inthiscase,thiswouldbethekeyemissionssource)anodeandacathodeseparatedbyamembraneimmergedinanelectrolyte(aconductiveorsuppliedfromanoff-gridon-sitesystem.Eachprocessunitorstageintheelectrolysissolution).Whenconnectedtoadirectcurrentpowersupply,electricityflowsthroughtheprocesscontainsemissionssourcesoutlinedbelow.electrolyteandcausesthewatertosplitintohydrogenandoxygen.Eachelectrolysersystemconsistsofastackofelectrolysisunits,agaspurifieranddryerandanapparatusProcessunit/stageKeyemissionssourcesOtheremissionssourcesforheatremoval.ElectricityforWatersupplyandpurificationandSteam(wherepurchased).29Hydrogenandoxygengasproductsmustbepurified,driedandcooledpriortostoragetreatmentfiltration.Liquid,solidand/orgaseousfueland/ordeliverytomarket,subjecttorequiredproductspecifications.Theoxygengascombustionforsteamgeneration.30mustbesafelyventedtotheatmosphere.Alternatively,pendingavailabilityofappropriateHydrogenElectricityforLiquid,solidand/orgaseousfuelmarkets,thisoxygenmaybesoldasaco-product.productionelectrolyserunitscombustionforelectricitygeneration.31Steam(wherepurchased)Withinthisemissionsaccountingframework,electrolysersareassumedtohaveanHydrogenElectricityforSolid,liquidand/orgaseousfueloutletpressureof3MPa28.Dependingonthedesignoftheelectrolyser,anelectrolysiscompression,relevantunitscombustionforrelevantunitsand/orsystemmayrequirecompressiontoachieve3MPapressureordrying.Inthatcase,purification,dryingsteamgeneration.energyconsumptionforachievingthisandtheassociatedemissionhavetobeandcoolingcalculatedandincluded.23225.Theprocess,methodsandrequirementsofhydrogenlifecycleimpactassessment15.ProjectoperatorsareencouragedtoconsulttheWorld21.InaccordancewithIFC(2012)PerformanceStandard3:areasperIPHE§6.3(andISO14044)withonemodification.Specifically:theIPHEBank'sESS5:LandAcquisition,RestrictionsonLandResourceEfficiencyandPollutionPrevention,“thetermmethodologystipulates:“theGHGimpactofelectricitygenerationfromwind,solarUseandInvoluntaryResettlementPolicyhttps://www.‘pollution’includes:“bothhazardousandnon-hazardousphotovoltaic,hydropowerandgeothermalwillbeassumedtobezero”(§6.2.3p27).worldbank.org/en/projects-operations/environmental-chemicalpollutantsinthesolid,liquid,orgaseousphases,GH2notesthattheseemissionsmaybe>0,andrequiresthattheseemissionsareand-social-framework/brief/environmental-and-social-andincludesothercomponentssuchaspests,pathogens,quantifiedandincludedinthecalculationoftheGHGemissionsasperrequirement5A.standards#ess5thermaldischargetowater,GHGemissions,nuisanceodors,noise,vibration,radiation,electromagneticenergy,ForthcomingPolicyNotes16.ProjectoperatorsareencouragedtoconsulttheIFC(2012)andthecreationofpotentialvisualimpactsincludinglight”.PerformanceStandard7:IndigenousPeoples.https://www.ProjectoperatorsareencouragedtoconsulttheWorldyTermsofReferencefortheGH2AccreditationBody.ifc.org/wps/wcm/connect/topics_ext_content/ifc_external_Bank'sESS3:ResourceEfficiencyandPollutionPreventionyProcedurefortheappointmentofIndependentAssuranceProviders(IAPs).corporate_site/sustainability-at-ifc/policies-standards/andManagementpolicyhttps://pubdocs.worldbank.org/yStandardtermsofReferencefortheengagementofIndependentAssuranceperformance-standards/ps7en/837721522762050108/Environmental-and-Social-Framework.pdf#page=53&zoom=80Providers(IAPs).17.ProjectoperatorsareencouragedtoconsulttheyTermsofReferencefortheGH2GreenHydrogenCertificationRegistry.WorldBank'sESS7:IndigenousPeoples/Sub-Saharan22.ProjectoperatorsareencouragedtoconsulttheWorldAfricanHistoricallyUnderservedTraditionalLocalBank'sESS3:ResourceEfficiencyandPollutionPreventionEndnotes8.ItisimportanttoemphasisethatthisisnotawaiverofCommunitiesPolicyhttps://pubdocs.worldbank.org/andManagementpolicyhttps://pubdocs.worldbank.org/requirements.Theonusisontheprojectoperatortoen/837721522762050108/Environmental-and-Social-en/837721522762050108/Environmental-and-Social-1.https://racetozero.unfccc.int/un-climate-champions-demonstratetheiradherencetoGH2’srequirements.Framework.pdf#page=89&zoom=80Framework.pdf#page=53&zoom=80launch-guiding-principles-for-climate-aligned-hydrogen/Thecredibilityandcomprehensivenessofnationalrequirementswillbeconsideredaspartoftheindependent18.Projectoperatorsareencouragedtoconsultthe23.ProjectoperatorsareencouragedtoconsulttheWorld2.TheStandardfocussesongreenhydrogenprojectsthatappraisalprocess,includingbroadbasedconsultationwithIFC(2012)PerformanceStandard7:LaborandBank'sESS6:BiodiversityConservationandSustainableaimtosource100%oftheirelectricityfromrenewableprojectstakeholders.WorkingConditions.https://www.ifc.org/wps/wcm/ManagementofLivingNaturalResourceshttps://pubdocs.sources.However,provisionismadefor<=5%electricityconnect/88f1f09e-5fe4-4fad-9286-33ecb221ab23/worldbank.org/en/837721522762050108/Environmental-fromothersourcestocoverexceptionalcircumstances.9.GH2recommendsthattheinformationisprovidedinaPS2_English_2012.pdf?MOD=AJPERES&CVID=jiVQInsand-Social-Framework.pdf#page=81&zoom=80Seerequirement5A,below.formatwhichisaccessibletothepublic(includinghardandtheWorldBank'sESS2:LaborandWorkingcopiesaslibrariesorlocalgovernmentoffices)andinaConditionsPolicyhttps://pubdocs.worldbank.org/24.https://www.iphe.net/iphe-working-paper-methodology-3.Greenhydrogenissometimescharacterisedaslanguagewhichisspokenbythelocalcommunities.en/837721522762050108/Environmental-and-Social-doc-oct-2021havingzerogreenhousegasemissions.However,theFramework.pdf#page=45&zoom=80productionofrenewableelectricitymayinvolvesome10.IFC(2021)PerformanceStandards.https://www.ifc.org/25.ProjectoperatorsareencouragedtoconsulttheWorldgreenhousegasemissions.Insomecircumstances,wps/wcm/connect/Topics_Ext_Content/IFC_External_19.ProjectoperatorsareencouragedtoconsultIFC(2012)Bank'sESS4:CommunityHealthandSafetypolicyhttps://theremaybesomegreenhousegasemissionsassociatedCorporate_Site/Sustainability-At-IFC/Policies-Standards/PerformanceStandard1.https://www.ifc.org/wps/wcm/pubdocs.worldbank.org/en/837721522762050108/withelectrolysisandassociatedprocesses.Accordingly,Performance-Standardsconnect/topics_ext_content/ifc_external_corporate_site/Environmental-and-Social-Framework.GH2refersto“closetozerogreenhousegasemissions”.sustainability-at-ifc/policies-standards/performance-pdf#page=59&zoom=80GH2requiresthattheseemissionsarequantifiedaspart11.HydropowerSustainabilityCouncil(2021)Hydropowerstandards/ps1andtherelevantrequirementsoftheaccreditationandcertificationprocess.SustainabilityStandardhttps://static1.squarespace.identifiedundertheWorldBank'sESS1:Assessment26.https://gh2.org/about/our-principlesSeerequirement5A,below.com/static/5c1978d3ee1759dc44fbd8ba/t/6andManagementofEnvironmentalandSocialRisks1379550f76c7d53f2b0f446/1631032662564/andImpactsPolicy.https://pubdocs.worldbank.org/27.IPHE(2021)MethodologyforDeterminingtheGreenhouse4.GH2reviewedtherecentacademicliterature(seeforHydropower+sustainabiity+standard+310821+01b.pdfen/837721522762050108/Environmental-and-Social-GasEmissionsAssociatedwiththeProductionofexamplehere,hereandhere)andconsultedgreenFramework.pdf#page=29&zoom=80Hydrogenhttps://www.iphe.net/iphe-working-paper-hydrogenprojectdeveloperstoestablishanappropriate12.ProjectoperatorsareencouragedtoconsultIFC(2012)methodology-doc-oct-2021threshold.Somestudiesassumethat100%renewablePerformanceStandard1.https://www.ifc.org/wps/wcm/20.TheEmissionFactorDatabase(EFDB)isaprojectenergyequatestozeroemissions.Othershavearguedconnect/topics_ext_content/ifc_external_corporate_site/supportedbytheNationalGreenhouseGasInventories28.6Fortechnologieswhosetypicalhydrogenoutputpressurethatweshouldnotassumezero,andthatcarefulattentionsustainability-at-ifc/policies-standards/performance-Programme(NGGIP),whichismanagedbytheIPCCTaskatgateis1MPaorlower,onecanalsoreportinadditionisneededtothesourceofelectricityusedforwaterstandards/ps1andtherelevantrequirementsForceonNationalGreenhouseGasInventories(TFI).tothe3MPa,GHGemissionat1MPawiththecalculationelectrolysisandanyemissionsfromassociatedprocessesidentifiedundertheWorldBank'sESS1:AssessmentTheEFDBisintendedtobearecognizedlibrary,whereresultofGHGemissionadjustedto3MPawhichrequiressuchaswatertreatment/desalination.TheemergingandManagementofEnvironmentalandSocialRisksuserscanfindemissionfactorsandotherparameterswithadditionalenergytoincreasetheoutputpressure.consensusisthat1kgisareasonablethreshold,withtheandImpactsPolicy.https://pubdocs.worldbank.org/backgrounddocumentationortechnicalreferencesthatcaveatthatGH2shouldreviewthisthresholdbasedontheen/837721522762050108/Environmental-and-Social-canbeusedforestimatinggreenhousegasemissionsand29.WherehightemperatureSOECareutilisedearlyexperiencewithgreenhydrogenprojectaccreditation.Framework.pdf#page=29&zoom=80removals.See:https://www.ipcc-nggip.iges.or.jp/EFDB/main.php30.WherehightemperatureSOECareutilised.5.IPHE(2021)MethodologyforDeterminingtheGreenhouse13.ProjectoperatorsareencouragedtoconsulttheWorldGasEmissionsAssociatedwiththeProductionofBank'sESS4:CommunityHealthandSafetypolicyhttps://31.Whereon-siteelectricitygenerationisnon-renewable.Hydrogenhttps://www.iphe.net/iphe-working-paper-pubdocs.worldbank.org/en/837721522762050108/methodology-doc-oct-2021Environmental-and-Social-Framework.pdf#page=59&zoom=80Projectoperatorsareencouraged6.UnitedNations(2015)The2030AgendaforSustainabletoconsulttheIFC(2012)Development.https://sdgs.un.org/goals14.PerformanceStandard5:LandAcquisitionandInvoluntary7.UnitedNations(2021)DepartmentofEconomicandSocialResettlement.https://www.ifc.org/wps/wcm/connect/Affairs.SustainableDevelopment.https://sdgs.un.org/topics_ext_content/ifc_external_corporate_site/news/proposed-global-roadmap-shows-how-universal-sustainability-at-ifc/policies-standards/performance-access-sustainable-energy-can-be-achieved-2030standards/ps524GreenHydrogenGH2Organisationgh2.org26