Levelized Cost Of Hydrogen Research Articles

Cost-effectiveness and economic growth potential evaluation of olive pomace gasification process to sustainable fuel: Comparison study of different gasifying agent

This research addresses the growing global demand for sustainable and renewable energy solutions, focusing on biomass gasification (BG) as a promising avenue. Olive pomace is explored as a primary feedstock, assessing its potential as a plentiful and renewable energy source. The study aims to bridge existing gaps in the literature, particularly in the simultaneous and comparative examination of CO2, steam, and air as traditional gasifying agents. Utilizing Aspen Plus, a validated simulation tool, the research models the gasification process (GP) while considering key parameters such as gasifying agent, feed composition, and temperature. Through meticulous simulation and validation against experimental data, the goal is to develop a robust model tailored for gasification. A thorough sensitivity analysis evaluates critical parameters' impact on exergy efficiency, levelized cost of hydrogen (LCOH), and molar flow of hydrogen (H2). Parameters include temperature variations (600°C to 1000°C), equivalence ratio (ER) for the air agent (0.15–0.3), C/CO2 ratio for the CO2 agent (1–2.5), and SBR for the steam agent (0.5–2). The aim is to provide a nuanced understanding of these parameters and their influence on system performance, offering valuable insights for process optimization. The response surface methodology is employed to optimize critical parameters for distinct gasification agents, aiming to identify the most economically efficient agent. The study's findings are crucial for enhancing BG efficiency and developing sustainable energy systems. An economic evaluation underscores the cost-effectiveness of the GP, emphasizing its potential for economic growth in the renewable energy sector and long-term savings. In the concluding phase, optimization of the GP aimed at minimizing LCOH and maximizing molar flow of H2 and exergy efficiency was conducted. Upon scrutinizing the optimization results, a compelling conclusion arose: The steam agent emerged as the most suitable, with 48% exergy efficiency, 1.77 €/kg LCOH, and an optimal temperature of 884°C. Notably, steam showcased remarkable exergy efficiency, even when subjected to lower temperatures, positioning it as a superior choice.

Capacity optimization allocation method for off-grid RES-H2 microgrid system considering the load-follow-source mechanism

Based on the uncertainty of the output of renewable energy such as wind and photovoltaic (PV), a capacity optimization allocation method considering the load-follow-source mechanism is proposed to solve the shortages of traditional methods, which is low in utilization rate of energy and low in economy. Firstly, considering the fluctuations of renewable energy sources (RES) and the operating characteristics of the electrolyzer, this paper proposes a capacity optimization method for off-grid hydrogen(H2) production system of renewable energy sources considering the load-follow-source operation mechanism. Then, combined with this mechanism, a capacity optimization allocation model is established, the objectives contain minimizing the levelized cost of hydrogen (LCOH), minimizing the capacity of energy storage, and optimizing the efficiency of power supply. Finally, an adaptive non-dominated sorting differential evolution algorithm (ANSDE) with external archiving is proposed to solve the established model. The calculation results show that the load-follow-source mechanism is effective for improving the economy of the system, and the proposed algorithm is high in efficiency and good in convergence comparing with traditional algorithms.

Is Greece Ready for a Hydrogen Energy Transition?—Quantifying Relative Costs in Hard to Abate Industries

During the past few years, hydrogen use has come to be considered as an alternative energy carrier in a future decarbonized world. Many developed nations are undergoing a shift towards low-carbon energy sources, driven by the excessive reliance on fossil fuels and the detrimental effects of climate change. This study aims to investigate the potential for hydrogen deployment in the Greek energy market during the next few decades. In this context, green hydrogen’s potential application in the Greek market is being assessed, employing an integrated techno-economic model grounded in worldwide trends and localized expenses. The forthcoming years will see an analysis of both the challenges and opportunities surrounding the integration and implementation of hydrogen in new and existing processes within Greece. Many alternative ways to produce hydrogen in Greece are investigated, contemplating different production paths. We evaluate how fluctuations in hydrogen, oil, and carbon prices affect the economics of green hydrogen adoption in oil refining, as is detailed in the draft of the European Union delegated act published in May 2022. The Levelized Cost of Hydrogen (LCOH) for different scenarios is calculated for the time frame up until 2050. A sensitivity analysis reveals that investment costs, electricity prices, electrolyzer efficiency, and carbon taxes significantly influence the LCOH, ultimately impacting the economic competitiveness of hydrogen production. These findings underscore the importance of aligning public–private partnership agendas in hydrogen production to create optimal conditions for investment attraction and development.

Potentials of Mixed-Integer Linear Programming (MILP)-Based Optimization for Low-Carbon Hydrogen Production and Development Pathways in China

Hydrogen (H2) is considered one of the main pillars for transforming the conventional “dark” energy system to a net-zero carbon or “green” energy system. This work reviewed the potential resources for producing low-carbon hydrogen in China, as well as the possible hydrogen production methods based on the available resources. The analysis and comparison of the levelized cost of hydrogen (LCOH) for different hydrogen production pathways, and the optimal technology mixes to produce H2 in China from 2020 to 2050 were obtained using the mixed-integer linear programming (MILP) optimization model. The results were concluded as three major ones: (a) By 2050, the LCOH of solar- and onshore-wind-powered hydrogen will reach around 70–80 $/MWh, which is lower than the current H2 price and the future low-carbon H2 price. (b) Fuel costs (>40%) and capital investments (~20%) of different hydrogen technologies are the major cost components, and also are the major direction to further reduce the hydrogen price. (c) For the optimal hydrogen technology mix under the higher renewable ratio (70%) in 2050, the installed capacities of the renewable-powered electrolysers are all more than 200 GW, and the overall LCOH is 68.46 $/MWh. This value is higher than the LCOH (62.95 $/MWh) of the scenario with higher coal gasification with carbon capture and the storage (CG-CCS) ratio (>50%). Overall, this work is the first time that hydrogen production methods in China has been discussed comprehensively, as well as the acquisition of the optimal H2 production technology mix by the MILP optimization model, which can provide guidance on future hydrogen development pathways and technology development potential in China.

Carbon abatement cost evolution in the forthcoming hydrogen valleys by following different hydrogen pathways

The need to develop a forthcoming hydrogen economy emphasises the emerging concept of ‘hydrogen valleys', where hydrogen production and consumption are being developed. This study assesses the Levelized Cost of Hydrogen (LCOH) and Carbon Abatement Cost (CAC) for various hydrogen end-use applications within the context of a hydrogen valley located in the southern Italy over different time horizons (Today 2023, Mid-Term 2030, Long-Term 2050). Examined applications include blending into the gas grid, reconversion into electricity for grid balancing by means of fuel cells, hydrogen refuelling stations for fuel cell electric vehicles (FCEVs), synthetic methane production, and electro-fuel synthesis. Employing a parametric approach, the study compares LCOH and decarbonisation costs across different pathways. Results indicate current LCOH production values of 3.66–4.90 €/kgH2, projected to decrease to 1.41–1.94 €/kgH2 by 2050. Decarbonisation cost analysis identifies blending and FCEV scenarios as the most cost-effective, contrasting with Power-to-Power scenarios, particularly in the mid and long terms.

A combined approach-based techno-economic-environmental multi-optimization of a hydrogen generation system through waste biomass air-steam gasification

In this study, a biomass air-steam gasification system for hydrogen production was simulated in Aspen Plus and validated using experimental studies. Sewage sludge was considered as the biomass feed. A combined approach including the combination of the NSGA-II algorithm, the response surface methodology (RSM) and TOPSIS decision-making method, was used to multi-optimize this hydrogen production system. To optimize the performance of the system, first, mathematical equations between equivalence ratio (ER), steam to biomass ratio (SBR), and gasifier temperature as the decision variables and the mole flow of H2 and CO2 and the levelized cost of hydrogen (LCOH) as the objective functions were obtained by the RSM technique. To maximize the mole flow of H2 and minimize CO2 emission and LCOH, a multi-objective optimization using NSGA-II was conducted. The ER, SBR and gasifier temperature were analyzed in the range of 0.1–0.4, 0.2 to 2 and 600 °C–1000 °C, respectively. By employing the TOPSIS decision-making method, several optimum points were obtained by giving each of the decision variables a specific weight. The lowest LCOH was found to be 1.5 €/kg H2 at the ER of 0.103, SBR of 0.83, and gasification temperature of 956 °C.

Navigating Algeria towards a sustainable green hydrogen future to empower North Africa and Europe's clean hydrogen transition

Algeria, richly-endowed with renewable resources, is well-positioned to become a vital green hydrogen provider to Europe. Aiming to aid policymakers, stakeholders, and energy sector participants, this study embodies the first effort in literature to investigate the viability and cost-effectiveness of implementing green hydrogen production projects destined for exports to Europe via existing pipelines. A land suitability analysis utilizing multi-criteria decision making (MCDM) coupled with geographical information system (GIS) identified that over 43.55% of Algeria is highly-suitable for hydrogen production. Five optimal locations were investigated utilizing Hybrid Optimization of Multiple Electric Renewables (HOMER), with solar-hydrogen proving the most cost-effective option. Wind-based production, offering higher output volumes reaching 968 kg/h, requires turbine cost reductions of 17.50% (Ain Salah) to 54.50% (Djanet) to achieve a competitive levelized cost of hydrogen (LCOH) of $3.85/kg with PV systems. A techno-economic sensitivity analysis was conducted, identifying Djanet as the most promising location for a 100 MW solar-hydrogen plant, with a competitive LCOH ranging from $1.96/kg to $4.85/kg.

Simulation and feasibility assessment of a green hydrogen supply chain: a case study in Oman.

The transition to sustainable energy is crucial for mitigating climate change impacts. This study addresses this imperative by simulating a green hydrogen supply chain tailored for residential cooking in Oman. The supply chain encompasses solar energy production, underground storage, pipeline transportation, and residential application, aiming to curtail greenhouse gas emissions and reduce the levelized cost of hydrogen (LCOH). The simulation results suggest leveraging a robust 7 GW solar plant. Oman achieves an impressive annual production of 9.78 TWh of green hydrogen, equivalent to 147,808 tonnes of H2, perfectly aligning with the ambitious goals of Oman Vision 2040. The overall LCOH for the green hydrogen supply chain is estimated at a highly competitive 6.826 USD/kg, demonstrating cost competitiveness when benchmarked against analogous studies. A sensitivity analysis highlights Oman's potential for cost-effective investments in green hydrogen infrastructure, propelling the nation towards a sustainable energy future. This study not only addresses the pressing issue of reducing carbon emissions in the residential sector but also serves as a model for other regions pursuing sustainable energy transitions. The developed simulation models are publicly accessible at https://hychain.co.uk , providing a valuable resource for further research and development in the field of green hydrogen supply chains.

Research on scenario construction and economic analysis for electric-hydrogen coupling

Driven by the “dual carbon” goal and the construction of a New Power System, hydrogen energy as an electric energy storage medium will play an important role and be applied to each link of the power system in the future, showing the development trend as electric-hydrogen coupling. This paper researches 8 typical application scenarios of hydrogen energy throughout the source, grid, and load of a New Power System, describes their composition and characteristics, and calculates economic indicators using the life cycle method, such as the levelized cost of hydrogen (LCOH). At present, the LCOH is high, and the conditions for large-scale promotion have not been met in the short term. The LCOH shows a linear downward trend with the decrease of renewable energy levelized cost or electrolytic cell cost. The LCOH shows a first rapid and then slow downward trend as the efficiency and utilization hours of hydrogen production equipment increase. Generally, when the equipment efficiency exceeds 90% or the utilization hours exceed 19 hours, the improvement of relevant parameters has little impact on the LCOH. With the further improvement of key parameters, hydrogen production-based electricity will have a certain cost competitiveness in the future.

Levelized costs and potential production of green hydrogen with wind and solar power in different provinces of mainland China

Green hydrogen produced from renewable sources such as wind and photovoltaic (PV) power is expected to be pivotal in China's carbon neutrality target by 2060. This study assessed the potential production, levelized costs of hydrogen (LCOH), and the cost structure in diverse mainland Chinese provinces from 2020 to 2060. It considered various combinations of electrolysis technologies, specifically alkaline electrolysis (AE) and proton exchange membrane (PEM), in conjunction with green electricity sources. The analysis considers the technological learning effects of wind power, PV power, AE, and PEM. This study's primary conclusions and policy recommendations are as follows: (1) PV power would be the predominant energy for green hydrogen production in nearly all of mainland China, providing a potential 2.25–28 642.19 kt/yr hydrogen production in different provinces. (2) AE exhibits cost (with LCOH around 3.18–8.74 USD/kg) competitiveness than PEM (with LCOH around 3.33–10.24 USD/kg) for hydrogen production. Thus, policymakers are advised to focus on the PV power combined with the AE pathway for large-scale hydrogen production. PEM is suggested to be mainly used in cases with high power fluctuations and end devices. (3) The provinces (especially Inner Mongolia, Xinjiang, and Gansu Province) in the Northwest of China show the greatest potential (about 74.35%) and have the lowest LCOH (with around 3.18–4.78 USD/kg). However, these provinces are quite distant from existing energy demand hubs. Thus, decision-makers are advised to focus on developing long-distance transmission/transportation infrastructure for either green electricity or green hydrogen.

Multiperiod Modeling and Optimization of Hydrogen-Based Dense Energy Carrier Supply Chains

The production of hydrogen-based dense energy carriers (DECs) has been proposed as a combined solution for the storage and dispatch of power generated through intermittent renewables. Frameworks that model and optimize the production, storage, and dispatch of generated energy are important for data-driven decision making in the energy systems space. The proposed multiperiod framework considers the evolution of technology costs under different levels of promotion through research and targeted policies, using the year 2021 as a baseline. Furthermore, carbon credits are included as proposed by the 45Q tax amendment for the capture, sequestration, and utilization of carbon. The implementation of the mixed-integer linear programming (MILP) framework is illustrated through computational case studies to meet set hydrogen demands. The trade-offs between different technology pathways and contributions to system expenditure are elucidated, and promising configurations and technology niches are identified. It is found that while carbon credits can subsidize carbon capture, utilization, and sequestration (CCUS) pathways, substantial reductions in the cost of novel processes are needed to compete with extant technology pathways. Further, a research and policy push can reduce the levelized cost of hydrogen (LCOH) by upwards of 2 USD/kg.

Techno-economic analysis of the effect of a novel price-based control system on the hydrogen production for an offshore 1.5 GW wind-hydrogen system

The cost of green hydrogen production is very dependent on the price of electricity. A control system that can schedule hydrogen production based on forecast wind speed and electricity price should therefore be advantageous for large-scale wind-hydrogen systems. This work presents a novel price-based control system integrated in a techno-economic analysis of hydrogen production from offshore wind. A polynomial regression model that predicts wind power production from wind speed input was developed and tested with real-world datasets from a 2.3 MW floating offshore wind turbine. This was combined with a mathematical model of a PEM electrolyzer and used to simulate hydrogen production. A novel price-based control system was developed to decide when the system should produce hydrogen and when it should sell electricity to the grid. The model and control system can be used in real-world wind-hydrogen systems and require only the forecast wind speed, electricity price and selling price of hydrogen as inputs. 11 test scenarios based on 10 years of real-world wind speed and electricity price data are proposed and used to evaluate the effect the price-based control system has on the levelized cost of hydrogen (LCOH). Both current and future (2050) costs and technologies are used, and the results show that the novel control system lowered the LCOH in all scenarios by 10–46%. The lowest LCOH achieved with current technology and costs was 6.04 $/kg H2. Using the most optimistic forecasts for technology improvements and cost reductions in 2050, the model estimated a LCOH of 0.96 $/kg H2 for a grid-connected offshore wind farm and onshore hydrogen production, 0.82 $/kg H2 using grid electricity (onshore) and 4.96 $/kg H2 with an off-grid offshore wind-hydrogen system. When the electricity price from the period 2013–2022 was used on the 2050 scenarios, the resulting LCOH was approximately twice as high.

Techno-Economical Assessment for Combined Production of Hydrogen, Heat, and Power from Residual Lignocellulosic Agricultural Biomass in Huesca Province (Spain)

Nowadays, great emphasis is rightly given in the scientific community to hydrogen production from electrolysis. However, to achieve the politically stated target ambitions, all low-carbon sources for hydrogen production must be considered. The present work proposes a local production system of negative carbon hydrogen from lignocellulosic residual biomass using gasification and gas separation through H2-selective membranes as enabling technologies. The feedstock is pruning. In addition, the system produces heat and power for a Renewable Energy Community (REC) to increase the economic feasibility of hydrogen production via their sale. A modular basic plant is sized, based on a simplified system envisaged for RECs under the current regulatory framework in Spain (electrical renewable output of 100 kW). A network of these modular basic plants in the province of Huesca (Aragón) is simulated to create a system of hydrogen refueling stations for mobility in that area. A Levelized Cost of Hydrogen (LCOH) is proposed, comprehending the whole production chain from “field to tank”, which is significant in areas where there is no infrastructure for the production and distribution of hydrogen for automotive purposes. The resulting LCOH for the whole system is 8.90 EUR/kg. Sensitivity analysis potentially values a lower LCOH, which unveils that hydrogen mobility can be largely competitive with diesel one.

Optimal position and distribution mode for on-site hydrogen electrolyzers in onshore wind farms for a minimal levelized cost of hydrogen (LCoH)

Abstract. Storing energy is a major challenge in achieving a 100 % renewable energy system. One promising approach is the production of green hydrogen from wind power. This work proposes a method for optimizing the design of wind–hydrogen systems for existing onshore wind farms in order to achieve the lowest possible levelized cost of hydrogen (LCoH). This is done by the application of a novel Python-based optimization model that iteratively determines the optimal electrolyzer position and distribution mode of hydrogen for given wind farm layouts. The model includes the costs of all required infrastructure components. It considers peripheral factors such as existing and new roads, necessary power cables and pipelines, wage and fuel costs for truck transportation, and the distance to the point of demand (POD). Based on the results, a decision can be made whether to distribute the hydrogen to the POD by truck or pipeline. For a 23.4 MW onshore wind farm in Germany, a minimal LCoH of EUR 4.58 kgH2-1 at an annual hydrogen production of 241.4 tH2a-1 is computed. These results are significantly affected by the position of the electrolyzer, the distribution mode, varying wind farm and electrolyzer sizes, and the distance to the POD. The influence of the ratio of electrolyzer power to wind farm power is also investigated. The ideal ratio between the rated power of the electrolyzer and the wind farm lies at around 10 %, with a resulting capacity factor of 78 % for the given case. The new model can be used by system planners and researchers to improve and accelerate the planning process for wind–hydrogen systems. Additionally, the economic efficiency, hence competitiveness, of wind–hydrogen systems is increased, which contributes to an urgently needed accelerated expansion of electrolyzers. The results of the influencing parameters on the LCoH will help to set development goals and indicate a path towards a cost-competitive green wind–hydrogen system.

Techno-economic and environmental assessment of hydrogen production through ammonia decomposition

Hydrogen is one of the potential candidates to replace fossil fuels to meet net zero emissions target. This study reports a detailed techno-economic and environmental assessment of hydrogen production through ammonia decomposition. The case study is based on a multiple catalytic packed bed reactor with intermediate heating system. Aspen plus® and MATLAB® were linked to evaluate economic and environmental impact of the process. The process parameter like furnace temperature, flue gas recirculation, ammonia decomposition temperature, market ammonia supply pressure, ammonia decomposition pressure, hydrogen purification unit's pressure and equivalence ratio, and economic parameters of capital expenditure (CAPEX) and operating expenditure (OPEX) were considered. The overall thermal efficiency of the developed process is found to be 79%. The levelized cost of hydrogen (LCOH) is estimated and found to be 6.05 USD/kg of H2 based on CAPEX and OPEX. A major contribution of up to 62.2% to LCOH comes from the price of feed Ammonia. Based on 25-year plant life with 10% discounted rate the plant is economically viable, with a return on investment of 23.7%, in a payback period of 3.58 years. Global warming potential of the process is also carried out.

Green hydrogen production via reverse electrodialysis and assisted reverse electrodialysis electrolyser: Experimental analysis and preliminary economic assessment

In the climate changing context, hydrogen is leading the energy transition path. The present work focuses on the green hydrogen production exploiting salinity gradients via Reverse Electrodialysis (RED), in short-circuit condition (REDSC), and Assisted RED (ARED), studied for the first time in hydrogen production as an improvement of the low current densities generated by RED. An extensive experimental campaign was carried out by feeding a RED stack with different salinity gradients and testing short-circuit-RED and Assisted RED operative conditions. Hydrogen was produced successfully with ∼100 % Faradic Efficiency (FE) and productivity up to 1.7 mol h−1 m−2. Also, the technology was compared with similar technologies and with the most established state-of-the-art electrolysers to identify advantages and disadvantages of the proposed route. Finally, a preliminary economic analysis was carried out and a minimum Levelized Cost of Hydrogen (LCOH) of 3.2 € kg−1H2 was found, thus leaving room for further studies.

Technical and economic analysis, calculation and justification of hydrogen production through solar thermochemical reactor in Republic of Uzbekistan

In this study, the economic viability of hydrogen production in the Republic of Uzbekistan was evaluated. Specifically, the costs and breakeven prices for hydrogen production were analysed across five selected regions within the Republic. The analysis focused on the potential reduction in production costs achievable through investor engagement. Among the regions studied, Tashkent exhibited the lowest production cost at 1.2 USD/kg. In scenarios devoid of investor participation, the levelized cost of hydrogen (LCOH) was estimated to range between 1.25 and 2.00 USD/kg. The inclusion of investors was found to yield an average profit of 0.35 USD/kg across the Republic. The findings suggest that with an average production cost of 1.2 USD/kg, hydrogen production in the Republic of Uzbekistan could be economically viable.

Analysis of PEM Membrane Electrode Assemblies Impact on the Levelized Cost of Hydrogen

Plug is building an end-to-end green hydrogen ecosystem to help its customers meet their business goals and decarbonize the economy. This hydrogen ecosystem is inclusive of production, storage, delivery, and energy generation. As the largest user of liquid hydrogen globally, Plug Power plans to build and operate green hydrogen production plants across North America and Europe. Plug’s hydrogen production plants are based on electrolyzer systems featuring internally developed proton exchange membrane (PEM) based water electrolysis membrane electrode assemblies (MEAs). This paper will review the state of commercial PEM water electrolysis MEAs and provide insight as to what advances in MEA technology are needed to produce hydrogen at a levelized cost of $1/kg.The cell polarization curves for two modeled PEM MEAs are shown in Figure 1. They represent the performance of both commercial and future PEM water electrolyzer technology. As the applied current density to the cell increases, so does the cell voltage, and thus the energy required to produce a kilogram of hydrogen. As the MEA technology in the stack matures, the applied current density, and thus, the hydrogen production rate can increase at a set efficiency. A 155 cell, 1,000 cm2 active area, electrolyzer stack featuring commercial MEAs would produce approximately 220 kg-H2/day at an efficiency of 49 kWh/kg-H2. With the future MEAs, this same stack, operating at the same efficiency, could produce as much as 1,200 kg-H2/day.A hydrogen plant with a production capability of 45 metric tons per day, featuring commercial MEAs, would produce hydrogen at a cost of approximately $6/kg when powered by energy at a price of $35/MWh. The MEA cost represents only a few percent of the total capital expenditure required to build a 45 metric ton hydrogen plant. Thus, MEAs would only contribute a few cents to the estimated $6/kg levelized cost of hydrogen (LCOH). They, however, are responsible for most of the energy consumed at a hydrogen plant. Therefore, the MEAs could account for 50%, or more, of the total cost to produce hydrogen. A savings of $328M to $410M can be realized or every $1/kg reduction in LCOH over the lifetime of a hydrogen plant. Thus, performance improvements in the MEA are paramount to making hydrogen production competitive with other energy carriers.The oxygen evolution catalyst featured in a future MEA would be required to achieve a greater than four-fold increase in activity. The PEM of the future MEA would also be required to support a substantial increase in proton transfer while maintaining its integrity for greater than 100,000 hours. These advances, as well as savings in hydrogen plant capital expenditures, are required to achieve a LCOH of approximately $1/kg at a fixed energy cost of $35/MWh. Even at the lowest projections for capital expenditures, most of the cost of hydrogen will be dominated by power consumption, further highlighting the importance of maturing PEM water electrolysis MEA technology. Figure 1

Green hydrogen levelized cost assessment from wind energy in Argentina with dispatch constraints

This study assesses the optimal levelized cost of hydrogen (LCOH) production from wind farms. The study investigates 84 locations in the south of Argentina with nodes spaced 100 km apart, as well as one location each in Chile, the USA, Spain, Japan, and Australia. A model is presented to optimize the design of the wind farm, electrolyzer plant, compressor station, and storage capacity (gaseous 160 bar), with different hydrogen demands (hydrogen dispatch constraints) and minimizing the LCOH. Hourly data for wind resources from NASA is used to define a characteristic year. The model involves energy and mass balances in hourly basis for the whole year. Sequential solution procedures with heuristic rules are implemented. The optimal costs and their relation to the main variables, as well as production and storage, are analyzed. By imposing dispatch constraints, increase in levelized cost ranges from 25 % to 40 %, and decrease in annual hydrogen production ranges from 5 % to 30 %. Best levelized cost without considering electric transport between wind farm and electrolyzer plant is 2700 USD/t.

Techno-economic analysis and optimal sizing of hybrid PV-wind systems for hydrogen production by PEM electrolysis in California and Northern Germany

The aim of this study is to assess the economic potentials of power and hydrogen generation via solar and wind energy resources at locations in Northern Germany and California, both of these (geographical) regions being pioneers in terms of a sustainable energy transition. Based on extensive research and electrolyzer manufacturer interviews, green hydrogen generation plants are modeled in a MATLAB® environment. All relevant inputs and outputs of the systems studied (wind power plants, photovoltaic power plants, and polymer electrolyte membrane electrolyzers, among others) are considered for different locations and framework conditions. In contrast to the existing literature, special attention is paid to the part-load behavior of electrolysis systems, which becomes particularly relevant in their interplay with volatile renewables. Metrics such as the levelized costs of electricity (LCOE) of the wind and photovoltaic power plants and the resulting levelized costs of hydrogen (LCOHy) are determined. With the help of the developed model, dimensioning of a whole system's components can be determined for different locations. A case study is conducted for a Northern German site and another one for a site in the Californian Mojave Desert. Both the optimal dimensioning of the renewable energy plants and the ratio of installed wind and photovoltaic power plant capacity are strongly location-dependent. In Northern Germany, for example, lower LCOHy can be generated at higher wind power plant capacity shares and, in the Mojave Desert, be produced at higher photovoltaic power plant capacity shares. In general, with larger plants and correspondingly larger polymer electrolyte membrane electrolyzers, LCOHy are lower due to scaling effects. Following this dimensioning recommendation, the LCOHy vary between 4.5 €/kg and 5.2 €/kg in the Northern German case study and between 4.6 US$/kg and 5.3 US$/kg in the Californian one. With costs of 1–2 €/kg, gray hydrogen is still economically superior.