IDEAS home Printed from https://ideas.repec.org/a/eee/energy/v55y2013icp996-1001.html
   My bibliography  Save this article

Economic competitiveness of off-peak hydrogen production today – A European comparison

Author

Listed:
  • Mansilla, C.
  • Louyrette, J.
  • Albou, S.
  • Bourasseau, C.
  • Dautremont, S.

Abstract

Hydrogen has a wide range of applications. In view of the environmental benefits, hydrogen can be produced by decarbonized means. When alkaline electrolysis is the selected process, extra value is offered by flexible operation that could bring both; an opportunity to reduce the cost of hydrogen produced (by consuming electricity during off-peak hours, and stopping the process during peak hours) and also a complementary tool to help balancing of the electric system. This paper assesses the profitability of market-driven operation for three different markets: France, Germany and Spain, with an analysis on the spot market. The market that exhibits the biggest potential in terms of profitability thanks to flexible operation is the French one, for each studied year. France is also the country that has the smallest installed renewable capacity amongst three considered countries. The gain on the hydrogen production cost allowed by the optimization is less than 3%. Hence, market-driven operation does not seem highly favourable to valorize fluctuating hydrogen production, when only the market price opportunities are considered. The balancing tool provided by the electrolysis system needs to be specifically valorized, in order to make flexible operation profitable.

Suggested Citation

  • Mansilla, C. & Louyrette, J. & Albou, S. & Bourasseau, C. & Dautremont, S., 2013. "Economic competitiveness of off-peak hydrogen production today – A European comparison," Energy, Elsevier, vol. 55(C), pages 996-1001.
    • Handle: RePEc:eee:energy:v:55:y:2013:i:c:p:996-1001
    DOI: 10.1016/j.energy.2013.03.022
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0360544213002107
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.energy.2013.03.022?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. Avril, S. & Mansilla, C. & Busson, M. & Lemaire, T., 2012. "Photovoltaic energy policy: Financial estimation and performance comparison of the public support in five representative countries," Energy Policy, Elsevier, vol. 51(C), pages 244-258.
    2. Carton, J.G. & Olabi, A.G., 2010. "Wind/hydrogen hybrid systems: Opportunity for Ireland’s wind resource to provide consistent sustainable energy supply," Energy, Elsevier, vol. 35(12), pages 4536-4544.
    3. Green, Richard & Hu, Helen & Vasilakos, Nicholas, 2011. "Turning the wind into hydrogen: The long-run impact on electricity prices and generating capacity," Energy Policy, Elsevier, vol. 39(7), pages 3992-3998, July.
    4. Lund, Henrik, 2007. "Renewable energy strategies for sustainable development," Energy, Elsevier, vol. 32(6), pages 912-919.
    5. Lund, Henrik & Andersen, Anders N. & Østergaard, Poul Alberg & Mathiesen, Brian Vad & Connolly, David, 2012. "From electricity smart grids to smart energy systems – A market operation based approach and understanding," Energy, Elsevier, vol. 42(1), pages 96-102.
    6. Sarkar, Susanjib & Kumar, Amit, 2010. "Biohydrogen production from forest and agricultural residues for upgrading of bitumen from oil sands," Energy, Elsevier, vol. 35(2), pages 582-591.
    7. Olateju, Babatunde & Kumar, Amit, 2011. "Hydrogen production from wind energy in Western Canada for upgrading bitumen from oil sands," Energy, Elsevier, vol. 36(11), pages 6326-6339.
    8. Johansson, Daniella & Franck, Per-Åke & Berntsson, Thore, 2012. "Hydrogen production from biomass gasification in the oil refining industry – A system analysis," Energy, Elsevier, vol. 38(1), pages 212-227.
    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. Lane, Blake & Kinnon, Michael Mac & Shaffer, Brendan & Samuelsen, Scott, 2022. "Deployment planning tool for environmentally sensitive heavy-duty vehicles and fueling infrastructure," Energy Policy, Elsevier, vol. 171(C).
    2. Caumon, Pauline & Lopez-Botet Zulueta, Miguel & Louyrette, Jérémy & Albou, Sandrine & Bourasseau, Cyril & Mansilla, Christine, 2015. "Flexible hydrogen production implementation in the French power system: Expected impacts at the French and European levels," Energy, Elsevier, vol. 81(C), pages 556-562.
    3. Tlili, Olfa & Mansilla, Christine & Robinius, Martin & Syranidis, Konstantinos & Reuss, Markus & Linssen, Jochen & André, Jean & Perez, Yannick & Stolten, Detlef, 2019. "Role of electricity interconnections and impact of the geographical scale on the French potential of producing hydrogen via electricity surplus by 2035," Energy, Elsevier, vol. 172(C), pages 977-990.
    4. van Leeuwen, Charlotte & Mulder, Machiel, 2018. "Power-to-gas in electricity markets dominated by renewables," Applied Energy, Elsevier, vol. 232(C), pages 258-272.
    5. Rahil, Abdulla & Gammon, Rupert & Brown, Neil, 2018. "Flexible operation of electrolyser at the garage forecourt to support grid balancing and exploitation of hydrogen as a clean fuel," Research in Transportation Economics, Elsevier, vol. 70(C), pages 125-138.
    6. Abdulla Rahil & Rupert Gammon, 2017. "Dispatchable Hydrogen Production at the Forecourt for Electricity Demand Shaping," Sustainability, MDPI, vol. 9(10), pages 1-22, October.
    7. Fernández-Dacosta, Cora & Shen, Li & Schakel, Wouter & Ramirez, Andrea & Kramer, Gert Jan, 2019. "Potential and challenges of low-carbon energy options: Comparative assessment of alternative fuels for the transport sector," Applied Energy, Elsevier, vol. 236(C), pages 590-606.
    8. Arinelli, Lara de Oliveira & Brigagão, George Victor & Wiesberg, Igor Lapenda & Teixeira, Alexandre Mendonça & de Medeiros, José Luiz & Araújo, Ofélia de Queiroz F., 2022. "Carbon-dioxide-to-methanol intensification with supersonic separators: Extra-carbonated natural gas purification via carbon capture and utilization," Renewable and Sustainable Energy Reviews, Elsevier, vol. 161(C).
    9. Tomonori Miyagawa & Mika Goto, 2022. "Hydrogen Production Cost Forecasts since the 1970s and Implications for Technological Development," Energies, MDPI, vol. 15(12), pages 1-24, June.

    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. Caumon, Pauline & Lopez-Botet Zulueta, Miguel & Louyrette, Jérémy & Albou, Sandrine & Bourasseau, Cyril & Mansilla, Christine, 2015. "Flexible hydrogen production implementation in the French power system: Expected impacts at the French and European levels," Energy, Elsevier, vol. 81(C), pages 556-562.
    2. Olateju, Babatunde & Kumar, Amit, 2016. "A techno-economic assessment of hydrogen production from hydropower in Western Canada for the upgrading of bitumen from oil sands," Energy, Elsevier, vol. 115(P1), pages 604-614.
    3. Nimana, Balwinder & Canter, Christina & Kumar, Amit, 2015. "Life cycle assessment of greenhouse gas emissions from Canada's oil sands-derived transportation fuels," Energy, Elsevier, vol. 88(C), pages 544-554.
    4. Al-Mansour, Fouad & Sucic, Boris & Pusnik, Matevz, 2014. "Challenges and prospects of electricity production from renewable energy sources in Slovenia," Energy, Elsevier, vol. 77(C), pages 73-81.
    5. Olateju, Babatunde & Monds, Joshua & Kumar, Amit, 2014. "Large scale hydrogen production from wind energy for the upgrading of bitumen from oil sands," Applied Energy, Elsevier, vol. 118(C), pages 48-56.
    6. Göransson, Lisa & Goop, Joel & Unger, Thomas & Odenberger, Mikael & Johnsson, Filip, 2014. "Linkages between demand-side management and congestion in the European electricity transmission system," Energy, Elsevier, vol. 69(C), pages 860-872.
    7. Olateju, Babatunde & Kumar, Amit, 2013. "Techno-economic assessment of hydrogen production from underground coal gasification (UCG) in Western Canada with carbon capture and sequestration (CCS) for upgrading bitumen from oil sands," Applied Energy, Elsevier, vol. 111(C), pages 428-440.
    8. Luo, Yu & Shi, Yixiang & Li, Wenying & Cai, Ningsheng, 2014. "Comprehensive modeling of tubular solid oxide electrolysis cell for co-electrolysis of steam and carbon dioxide," Energy, Elsevier, vol. 70(C), pages 420-434.
    9. Xing, Lei & Du, Shangfeng & Chen, Rui & Mamlouk, Mohamed & Scott, Keith, 2016. "Anode partial flooding modelling of proton exchange membrane fuel cells: Model development and validation," Energy, Elsevier, vol. 96(C), pages 80-95.
    10. Glotić, Arnel & Glotić, Adnan & Kitak, Peter & Pihler, Jože & Tičar, Igor, 2014. "Optimization of hydro energy storage plants by using differential evolution algorithm," Energy, Elsevier, vol. 77(C), pages 97-107.
    11. Rodrigues, E.M.G. & Godina, R. & Santos, S.F. & Bizuayehu, A.W. & Contreras, J. & Catalão, J.P.S., 2014. "Energy storage systems supporting increased penetration of renewables in islanded systems," Energy, Elsevier, vol. 75(C), pages 265-280.
    12. Vidal-Amaro, Juan José & Østergaard, Poul Alberg & Sheinbaum-Pardo, Claudia, 2015. "Optimal energy mix for transitioning from fossil fuels to renewable energy sources – The case of the Mexican electricity system," Applied Energy, Elsevier, vol. 150(C), pages 80-96.
    13. Kwon, Pil Seok & Østergaard, Poul, 2014. "Assessment and evaluation of flexible demand in a Danish future energy scenario," Applied Energy, Elsevier, vol. 134(C), pages 309-320.
    14. Davis, William & Martín, Mariano, 2014. "Optimal year-round operation for methane production from CO2 and water using wind energy," Energy, Elsevier, vol. 69(C), pages 497-505.
    15. Zhu, Y. & Li, Y.P. & Huang, G.H. & Fu, D.Z., 2013. "Modeling for planning municipal electric power systems associated with air pollution control – A case study of Beijing," Energy, Elsevier, vol. 60(C), pages 168-186.
    16. Kipping, A. & Trømborg, E., 2015. "Hourly electricity consumption in Norwegian households – Assessing the impacts of different heating systems," Energy, Elsevier, vol. 93(P1), pages 655-671.
    17. Xing, Lei & Cai, Qiong & Xu, Chenxi & Liu, Chunbo & Scott, Keith & Yan, Yongsheng, 2016. "Numerical study of the effect of relative humidity and stoichiometric flow ratio on PEM (proton exchange membrane) fuel cell performance with various channel lengths: An anode partial flooding modelli," Energy, Elsevier, vol. 106(C), pages 631-645.
    18. Joseph Akpan & Oludolapo Olanrewaju, 2023. "Towards a Common Methodology and Modelling Tool for 100% Renewable Energy Analysis: A Review," Energies, MDPI, vol. 16(18), pages 1-42, September.
    19. Alagoz, B.B. & Kaygusuz, A. & Karabiber, A., 2012. "A user-mode distributed energy management architecture for smart grid applications," Energy, Elsevier, vol. 44(1), pages 167-177.
    20. Wu, Liang & He, Yuehui & Lei, Ting & Nan, Bo & Xu, Nanping & Zou, Jin & Huang, Baiyun & Liu, C.T., 2013. "Characterization of the porous Ni3Al–Mo electrodes during hydrogen generation from alkaline water electrolysis," Energy, Elsevier, vol. 63(C), pages 216-224.

    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:energy:v:55:y:2013:i:c:p:996-1001. 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.journals.elsevier.com/energy .

    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.