Optimal coordination of power to gas-linked energy systems: Focused on energy policy in South Korea

Abstract

In this paper, the role of Power to Gas (P2G) technology in securing contributions from policy and economic perspectives is explored. The potential of P2G-linked energy systems to enhance the output of uncontrollable Renewable Energy Sources (RES) is examined, thereby ensuring more effective power rates from RES and achieving policy-mandated clean hydrogen production targets. From the perspective of policymakers, the integration of P2G technology represents a significant advancement toward achieving policy objectives. Furthermore, this paper investigates how new business models leveraging P2G technology can develop innovative benefit structures and strengthen economic contributions. The feasibility of P2G integration is analyzed from the viewpoints of policymakers, who aim to achieve policy goals, and Energy eXchange Aggregators (EXA), the investment entities responsible for the practical implementation of P2G technology. The research findings confirm that as the capacity of RES increases, the performance of P2G technology significantly improves. Compared to systems not utilizing P2G, the application of P2G technology results in an increase of up to 25 % in the maximum effective power rate from RES and a numerical improvement of approximately 22 % in the benefits derived from RES. While this paper focuses on energy policy factors in South Korea, its findings and implications can be extended to a global context, assuming a mandatory increase in the share of clean hydrogen production and RES globally in the future.