IDEAS home Printed from https://ideas.repec.org/a/eee/appene/v304y2021ics0306261921010849.html
   My bibliography  Save this article

Economic and environmental analysis of hydrogen production when complementing renewable energy generation with grid electricity

Author

Listed:
  • Hurtubia, Byron
  • Sauma, Enzo

Abstract

Hydrogen (H2) can be a critical factor in achieving a more sustainable society reducing carbon emissions worldwide in the long run. However, there are some challenges to be solved yet. One of these challenges is that, right now, the economical competitiveness of electrolysis production strongly depends on the Renewable Energy Sources (RES) availability. This paper analyzes the economic and environmental implications of complementing the power supply of a H2 production plant that usually operates using only RES with grid electricity during the time RES are not available. For performing this analysis, we proposed an assessment model that incorporates Alkaline (ALK) and PEM electrolyzer technology features (such as the low dynamic load range of ALK electrolyzers, which is usually ignored when modeling H2 production). Moreover, we introduce a new metric, named the LCOH&E, which captures the existing trade-off between reducing the Levelized Cost Of Hydrogen (LCOH) with more H2 production using grid electricity and increasing CO2 emissions by producing more H2 with grid electricity. We illustrate the proposed assessment model with a case study based on real data from Chile. Our results show that the optimal fraction of grid electricity to be used in producing H2 may be different when minimizing the LCOH and when minimizing the LCOH&E because of the LCOH-CO2 emissions’ trade off. Moreover, it is remarkable that using only 10% of grid electricity in an ALK electrolyzer, it is possible to increase the H2 production in 25.7%, without significantly increasing the CO2 emission level.

Suggested Citation

  • Hurtubia, Byron & Sauma, Enzo, 2021. "Economic and environmental analysis of hydrogen production when complementing renewable energy generation with grid electricity," Applied Energy, Elsevier, vol. 304(C).
    • Handle: RePEc:eee:appene:v:304:y:2021:i:c:s0306261921010849
    DOI: 10.1016/j.apenergy.2021.117739
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0306261921010849
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.apenergy.2021.117739?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Won, Wangyun & Kwon, Hweeung & Han, Jee-Hoon & Kim, Jiyong, 2017. "Design and operation of renewable energy sources based hydrogen supply system: Technology integration and optimization," Renewable Energy, Elsevier, vol. 103(C), pages 226-238.
    2. Parra, David & Valverde, Luis & Pino, F. Javier & Patel, Martin K., 2019. "A review on the role, cost and value of hydrogen energy systems for deep decarbonisation," Renewable and Sustainable Energy Reviews, Elsevier, vol. 101(C), pages 279-294.
    3. Buttler, Alexander & Spliethoff, Hartmut, 2018. "Current status of water electrolysis for energy storage, grid balancing and sector coupling via power-to-gas and power-to-liquids: A review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 82(P3), pages 2440-2454.
    4. Lux, Benjamin & Pfluger, Benjamin, 2020. "A supply curve of electricity-based hydrogen in a decarbonized European energy system in 2050," Applied Energy, Elsevier, vol. 269(C).
    5. Pan, Guangsheng & Gu, Wei & Qiu, Haifeng & Lu, Yuping & Zhou, Suyang & Wu, Zhi, 2020. "Bi-level mixed-integer planning for electricity-hydrogen integrated energy system considering levelized cost of hydrogen," Applied Energy, Elsevier, vol. 270(C).
    6. Bolívar Jaramillo, Lucas & Weidlich, Anke, 2016. "Optimal microgrid scheduling with peak load reduction involving an electrolyzer and flexible loads," Applied Energy, Elsevier, vol. 169(C), pages 857-865.
    7. Yin, Yanan & Wang, Jianlong, 2019. "Hydrogen production and energy recovery from macroalgae Saccharina japonica by different pretreatment methods," Renewable Energy, Elsevier, vol. 141(C), pages 1-8.
    8. G. García Clúa, José & Mantz, Ricardo J. & De Battista, Hernán, 2011. "Evaluation of hydrogen production capabilities of a grid-assisted wind-H2 system," Applied Energy, Elsevier, vol. 88(5), pages 1857-1863, May.
    9. Nikolaidis, Pavlos & Poullikkas, Andreas, 2017. "A comparative overview of hydrogen production processes," Renewable and Sustainable Energy Reviews, Elsevier, vol. 67(C), pages 597-611.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Tareq Salameh & Abdul Ghani Olabi & Mohammad Ali Abdelkareem & Mohd Shahbudin Masdar & Siti Kartom Kamarudin & Enas Taha Sayed, 2023. "Integrated Energy System Powered a Building in Sharjah Emirates in the United Arab Emirates," Energies, MDPI, vol. 16(2), pages 1-20, January.
    2. Jorquera-Copier, Javier & Lorca, Álvaro & Sauma, Enzo & Lorenczik, Stefan & Negrete-Pincetic, Matías, 2024. "Impacts of different hydrogen demand levels and climate policy scenarios on the Chilean integrated hydrogen–electricity network," Energy Policy, Elsevier, vol. 184(C).
    3. Zhou, Zhou & Cai, Guotian & Huang, Yuping & Bai, Ruxue & Nie, Shuai & Chen, Xiaoyu, 2024. "Spatial and temporal evolution of cost-competitive offshore hydrogen in China: A techno-economic analysis," Renewable and Sustainable Energy Reviews, Elsevier, vol. 203(C).
    4. Ana Beatriz Barros Souza Riedel & Vitor Feitosa Riedel & Hélio Nunes de Souza Filho & Ennio Peres da Silva & Renato Marques Cabral & Leandro de Brito Silva & Alexandre de Castro Pereira, 2024. "Technical–Economic Analysis of Renewable Hydrogen Production from Solar Photovoltaic and Hydro Synergy in a Pilot Plant in Brazil," Energies, MDPI, vol. 17(17), pages 1-20, September.
    5. Wang, Jing & Kang, Lixia & Liu, Yongzhong, 2024. "Optimal design of a renewable hydrogen production system by coordinating multiple PV arrays and multiple electrolyzers," Renewable Energy, Elsevier, vol. 225(C).
    6. Ullah, Sami & Niu, Ben & Meo, Muhammad Saeed, 2024. "Digital inclusion and environmental taxes: A dynamic duo for energy transition in green economies," Applied Energy, Elsevier, vol. 361(C).
    7. Lifeng Du & Yanmei Yang & Luli Zhou & Min Liu, 2024. "Greenhouse Gas Reduction Potential and Economics of Green Hydrogen via Water Electrolysis: A Systematic Review of Value-Chain-Wide Decarbonization," Sustainability, MDPI, vol. 16(11), pages 1-37, May.
    8. Schlund, David & Theile, Philipp, 2021. "Simultaneity of green energy and hydrogen production: Analysing the dispatch of a grid-connected electrolyser," EWI Working Papers 2021-10, Energiewirtschaftliches Institut an der Universitaet zu Koeln (EWI).
    9. José Pereira & Reinaldo Souza & Jeferson Oliveira & Ana Moita, 2024. "Hydrogen Production, Transporting and Storage Processes—A Brief Review," Clean Technol., MDPI, vol. 6(3), pages 1-54, September.
    10. Schlund, David & Theile, Philipp, 2022. "Simultaneity of green energy and hydrogen production: Analysing the dispatch of a grid-connected electrolyser," Energy Policy, Elsevier, vol. 166(C).
    11. Reed, Jeffrey & Dailey, Emily & Shaffer, Brendan & Lane, Blake & Flores, Robert & Fong, Amber & Samuelsen, Scott, 2023. "Potential evolution of the renewable hydrogen sector using California as a reference market," Applied Energy, Elsevier, vol. 331(C).
    12. Pandey, Jayashish Kumar & Dinesh, M.H. & Kumar, G.N., 2023. "A comparative study of NOx mitigating techniques EGR and spark delay on combustion and NOx emission of ammonia/hydrogen and hydrogen fuelled SI engine," Energy, Elsevier, vol. 276(C).
    13. Xu, Guanxin & Wu, Yan & Tang, Shuo & Wang, Yufei & Yu, Xinhai & Ma, Mingyan, 2024. "Optimal design of hydrogen production processing coupling alkaline and proton exchange membrane electrolyzers," Energy, Elsevier, vol. 302(C).
    14. Pengcheng Zhu & Masahiro Mae & Ryuji Matsuhashi, 2024. "Techno-Economic Analysis of Grid-Connected Hydrogen Production via Water Electrolysis," Energies, MDPI, vol. 17(7), pages 1-16, March.
    15. Kang, Zhenye & Wang, Hao & Liu, Yanrong & Mo, Jingke & Wang, Min & Li, Jing & Tian, Xinlong, 2022. "Exploring and understanding the internal voltage losses through catalyst layers in proton exchange membrane water electrolysis devices," Applied Energy, Elsevier, vol. 317(C).
    16. Gallo, María Angélica & García Clúa, José Gabriel, 2023. "Sizing and analytical optimization of an alkaline water electrolyzer powered by a grid-assisted wind turbine to minimize grid power exchange," Renewable Energy, Elsevier, vol. 216(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Tubagus Aryandi Gunawan & Alessandro Singlitico & Paul Blount & James Burchill & James G. Carton & Rory F. D. Monaghan, 2020. "At What Cost Can Renewable Hydrogen Offset Fossil Fuel Use in Ireland’s Gas Network?," Energies, MDPI, vol. 13(7), pages 1-23, April.
    2. Mikovits, Christian & Wetterlund, Elisabeth & Wehrle, Sebastian & Baumgartner, Johann & Schmidt, Johannes, 2021. "Stronger together: Multi-annual variability of hydrogen production supported by wind power in Sweden," Applied Energy, Elsevier, vol. 282(PB).
    3. Kinnon, Michael Mac & Razeghi, Ghazal & Samuelsen, Scott, 2021. "The role of fuel cells in port microgrids to support sustainable goods movement," Renewable and Sustainable Energy Reviews, Elsevier, vol. 147(C).
    4. Iva Ridjan Skov & Noémi Schneider & Gerald Schweiger & Josef-Peter Schöggl & Alfred Posch, 2021. "Power-to-X in Denmark: An Analysis of Strengths, Weaknesses, Opportunities and Threats," Energies, MDPI, vol. 14(4), pages 1-14, February.
    5. Aasadnia, Majid & Mehrpooya, Mehdi, 2018. "Large-scale liquid hydrogen production methods and approaches: A review," Applied Energy, Elsevier, vol. 212(C), pages 57-83.
    6. Hesel, Philipp & Braun, Sebastian & Zimmermann, Florian & Fichtner, Wolf, 2022. "Integrated modelling of European electricity and hydrogen markets," Applied Energy, Elsevier, vol. 328(C).
    7. Burin Yodwong & Damien Guilbert & Matheepot Phattanasak & Wattana Kaewmanee & Melika Hinaje & Gianpaolo Vitale, 2020. "Faraday’s Efficiency Modeling of a Proton Exchange Membrane Electrolyzer Based on Experimental Data," Energies, MDPI, vol. 13(18), pages 1-14, September.
    8. Apostolou, Dimitrios & Enevoldsen, Peter, 2019. "The past, present and potential of hydrogen as a multifunctional storage application for wind power," Renewable and Sustainable Energy Reviews, Elsevier, vol. 112(C), pages 917-929.
    9. Schlund, David & Theile, Philipp, 2022. "Simultaneity of green energy and hydrogen production: Analysing the dispatch of a grid-connected electrolyser," Energy Policy, Elsevier, vol. 166(C).
    10. Marino, C. & Nucara, A. & Panzera, M.F. & Pietrafesa, M. & Varano, V., 2019. "Energetic and economic analysis of a stand alone photovoltaic system with hydrogen storage," Renewable Energy, Elsevier, vol. 142(C), pages 316-329.
    11. Giuseppe Sdanghi & Gaël Maranzana & Alain Celzard & Vanessa Fierro, 2020. "Towards Non-Mechanical Hybrid Hydrogen Compression for Decentralized Hydrogen Facilities," Energies, MDPI, vol. 13(12), pages 1-27, June.
    12. Schwidtal, Jan Marc & Agostini, Marco & Coppo, Massimiliano & Bignucolo, Fabio & Lorenzoni, Arturo, 2023. "Optimized operation of distributed energy resources: The opportunities of value stacking for Power-to-Gas aggregated with PV," Applied Energy, Elsevier, vol. 334(C).
    13. Lifeng Du & Yanmei Yang & Luli Zhou & Min Liu, 2024. "Greenhouse Gas Reduction Potential and Economics of Green Hydrogen via Water Electrolysis: A Systematic Review of Value-Chain-Wide Decarbonization," Sustainability, MDPI, vol. 16(11), pages 1-37, May.
    14. Mohsen Fallah Vostakola & Hasan Ozcan & Rami S. El-Emam & Bahman Amini Horri, 2023. "Recent Advances in High-Temperature Steam Electrolysis with Solid Oxide Electrolysers for Green Hydrogen Production," Energies, MDPI, vol. 16(8), pages 1-50, April.
    15. George, Jan Frederick & Müller, Viktor Paul & Winkler, Jenny & Ragwitz, Mario, 2022. "Is blue hydrogen a bridging technology? - The limits of a CO2 price and the role of state-induced price components for green hydrogen production in Germany," Energy Policy, Elsevier, vol. 167(C).
    16. Zhang, Cong & Greenblatt, Jeffery B. & Wei, Max & Eichman, Josh & Saxena, Samveg & Muratori, Matteo & Guerra, Omar J., 2020. "Flexible grid-based electrolysis hydrogen production for fuel cell vehicles reduces costs and greenhouse gas emissions," Applied Energy, Elsevier, vol. 278(C).
    17. Bareiß, Kay & de la Rua, Cristina & Möckl, Maximilian & Hamacher, Thomas, 2019. "Life cycle assessment of hydrogen from proton exchange membrane water electrolysis in future energy systems," Applied Energy, Elsevier, vol. 237(C), pages 862-872.
    18. Pengcheng Zhu & Masahiro Mae & Ryuji Matsuhashi, 2024. "Techno-Economic Analysis of Grid-Connected Hydrogen Production via Water Electrolysis," Energies, MDPI, vol. 17(7), pages 1-16, March.
    19. Huang, Danji & Xiong, Binyu & Fang, Jiakun & Hu, Kewei & Zhong, Zhiyao & Ying, Yuheng & Ai, Xiaomeng & Chen, Zhe, 2022. "A multiphysics model of the compactly-assembled industrial alkaline water electrolysis cell," Applied Energy, Elsevier, vol. 314(C).
    20. Genovese, M. & Piraino, F. & Fragiacomo, P., 2024. "3E analysis of a virtual hydrogen valley supported by railway-based H2 delivery for multi-transportation service," Renewable and Sustainable Energy Reviews, Elsevier, vol. 191(C).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:appene:v:304:y:2021:i:c:s0306261921010849. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/405891/description#description .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.