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Optimization of operational strategies for industrial applications of solar-based green hydrogen

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  • Bak, Youngseok
  • Ryu, Hyuncheol
  • Choi, Gobong
  • Lee, Dongwoo
  • Lee, Jong Min

Abstract

Renewable-based green hydrogen is emerging as a viable solution for decarbonizing energy-intensive industries. However, the fluctuating and intermittent nature of renewable energy sources requires careful consideration of operational strategies to ensure the safe and economical use of green hydrogen in industrial applications. This study examines the influence of operational strategies for electrolyzers and downstream processes on the cost of solar-based green hydrogen. The results demonstrate that optimal operational strategies for electrolyzers significantly impact the sizes of batteries and electrolyzers, reducing the Levelized Cost of Hydrogen (LCOH) by an average of 5.3%. Case studies further demonstrate that decentralized end-user supply strategies and cooperation with downstream processes can reduce LCOH by up to 39.8% for fully distributed end-users and by 24.2% with the introduction of supply tolerance. Additionally, the study evaluates the impact of grid backup, revealing that grid utilization can reduce LCOH by 12.9% in Houston, underscoring the potential for further cost reductions through grid decarbonization. These findings highlight the importance of optimizing operational strategies to improve the economic performance and market viability of green hydrogen systems.

Suggested Citation

  • Bak, Youngseok & Ryu, Hyuncheol & Choi, Gobong & Lee, Dongwoo & Lee, Jong Min, 2025. "Optimization of operational strategies for industrial applications of solar-based green hydrogen," Applied Energy, Elsevier, vol. 377(PD).
    • Handle: RePEc:eee:appene:v:377:y:2025:i:pd:s0306261924020762
    DOI: 10.1016/j.apenergy.2024.124693
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