IDEAS home Printed from https://ideas.repec.org/a/eee/rensus/v194y2024ics1364032124000376.html
   My bibliography  Save this article

Near-term infrastructure rollout and investment strategies for net-zero hydrogen supply chains

Author

Listed:
  • Ganter, Alissa
  • Gabrielli, Paolo
  • Sansavini, Giovanni

Abstract

Low-carbon hydrogen plays a key role in European industrial decarbonization strategies. This work investigates the cost-optimal planning of European low-carbon hydrogen supply chains in the near term (2025–2035), comparing several hydrogen production technologies and considering multiple spatial scales. We focus on mature hydrogen production technologies: steam methane reforming of natural gas, biomethane reforming, biomass gasification, and water electrolysis. The analysis includes carbon capture and storage for natural gas and biomass-derived hydrogen. We formulate and solve a linear optimization model that determines the cost-optimal type, size, and location of hydrogen production and transport technologies in compliance with selected carbon emission targets, including the EU fit for 55 target and an ambitious net-zero emissions target for 2035. Existing steam methane reforming capacities are considered, and optimal carbon and biomass networks are designed. Findings identify biomass-based hydrogen production as the most cost-efficient hydrogen technology. Carbon capture and storage is installed to achieve net-zero carbon emissions, while electrolysis remains cost-disadvantageous and is deployed on a limited scale across all considered sensitivity scenarios. Our analysis highlights the importance of spatial resolution, revealing that national perspectives underestimate costs by neglecting domestic transport needs and regional resource constraints, emphasizing the necessity for highly decarbonized infrastructure designs aligned with renewable resource availabilities.

Suggested Citation

  • Ganter, Alissa & Gabrielli, Paolo & Sansavini, Giovanni, 2024. "Near-term infrastructure rollout and investment strategies for net-zero hydrogen supply chains," Renewable and Sustainable Energy Reviews, Elsevier, vol. 194(C).
    • Handle: RePEc:eee:rensus:v:194:y:2024:i:c:s1364032124000376
    DOI: 10.1016/j.rser.2024.114314
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S1364032124000376
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.rser.2024.114314?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. Maximilian Hoffmann & Leander Kotzur & Detlef Stolten & Martin Robinius, 2020. "A Review on Time Series Aggregation Methods for Energy System Models," Energies, MDPI, vol. 13(3), pages 1-61, February.
    2. Rosa, Lorenzo & Mazzotti, Marco, 2022. "Potential for hydrogen production from sustainable biomass with carbon capture and storage," Renewable and Sustainable Energy Reviews, Elsevier, vol. 157(C).
    3. 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.
    4. Gunther Glenk & Stefan Reichelstein, 2019. "Publisher Correction: Economics of converting renewable power to hydrogen," Nature Energy, Nature, vol. 4(4), pages 347-347, April.
    5. Shafiei, Ehsan & Davidsdottir, Brynhildur & Leaver, Jonathan & Stefansson, Hlynur & Asgeirsson, Eyjolfur Ingi, 2015. "Comparative analysis of hydrogen, biofuels and electricity transitional pathways to sustainable transport in a renewable-based energy system," Energy, Elsevier, vol. 83(C), pages 614-627.
    6. Gunther Glenk & Stefan Reichelstein, 2019. "Economics of converting renewable power to hydrogen," Nature Energy, Nature, vol. 4(3), pages 216-222, March.
    7. Scarlat, Nicolae & Prussi, Matteo & Padella, Monica, 2022. "Quantification of the carbon intensity of electricity produced and used in Europe," Applied Energy, Elsevier, vol. 305(C).
    8. Reuß, M. & Grube, T. & Robinius, M. & Preuster, P. & Wasserscheid, P. & Stolten, D., 2017. "Seasonal storage and alternative carriers: A flexible hydrogen supply chain model," Applied Energy, Elsevier, vol. 200(C), pages 290-302.
    9. Frew, Bethany A. & Jacobson, Mark Z., 2016. "Temporal and spatial tradeoffs in power system modeling with assumptions about storage: An application of the POWER model," Energy, Elsevier, vol. 117(P1), pages 198-213.
    10. Biggins, Flora & Kataria, Mohit & Roberts, Diarmid & Brown, Dr Solomon, 2022. "Green hydrogen investments: Investigating the option to wait," Energy, Elsevier, vol. 241(C).
    11. Gabrielli, Paolo & Charbonnier, Flora & Guidolin, Annalisa & Mazzotti, Marco, 2020. "Enabling low-carbon hydrogen supply chains through use of biomass and carbon capture and storage: A Swiss case study," Applied Energy, Elsevier, vol. 275(C).
    12. Reuß, Markus & Grube, Thomas & Robinius, Martin & Stolten, Detlef, 2019. "A hydrogen supply chain with spatial resolution: Comparative analysis of infrastructure technologies in Germany," Applied Energy, Elsevier, vol. 247(C), pages 438-453.
    13. Seck, Gondia S. & Hache, Emmanuel & Sabathier, Jerome & Guedes, Fernanda & Reigstad, Gunhild A. & Straus, Julian & Wolfgang, Ove & Ouassou, Jabir A. & Askeland, Magnus & Hjorth, Ida & Skjelbred, Hans , 2022. "Hydrogen and the decarbonization of the energy system in europe in 2050: A detailed model-based analysis," Renewable and Sustainable Energy Reviews, Elsevier, vol. 167(C).
    14. Li, Lei & Manier, Hervé & Manier, Marie-Ange, 2019. "Hydrogen supply chain network design: An optimization-oriented review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 103(C), pages 342-360.
    15. Hwangbo, Soonho & Lee, In-Beum & Han, Jeehoon, 2017. "Mathematical model to optimize design of integrated utility supply network and future global hydrogen supply network under demand uncertainty," Applied Energy, Elsevier, vol. 195(C), pages 257-267.
    16. Lopion, Peter & Markewitz, Peter & Robinius, Martin & Stolten, Detlef, 2018. "A review of current challenges and trends in energy systems modeling," Renewable and Sustainable Energy Reviews, Elsevier, vol. 96(C), pages 156-166.
    17. Paltsev, Sergey & Morris, Jennifer & Kheshgi, Haroon & Herzog, Howard, 2021. "Hard-to-Abate Sectors: The role of industrial carbon capture and storage (CCS) in emission mitigation," Applied Energy, Elsevier, vol. 300(C).
    18. Adrian Odenweller & Falko Ueckerdt & Gregory F. Nemet & Miha Jensterle & Gunnar Luderer, 2022. "Probabilistic feasibility space of scaling up green hydrogen supply," Nature Energy, Nature, vol. 7(9), pages 854-865, September.
    19. Blanco, Herib & Gómez Vilchez, Jonatan J. & Nijs, Wouter & Thiel, Christian & Faaij, André, 2019. "Soft-linking of a behavioral model for transport with energy system cost optimization applied to hydrogen in EU," Renewable and Sustainable Energy Reviews, Elsevier, vol. 115(C).
    20. Gabrielli, Paolo & Gazzani, Matteo & Martelli, Emanuele & Mazzotti, Marco, 2018. "Optimal design of multi-energy systems with seasonal storage," Applied Energy, Elsevier, vol. 219(C), pages 408-424.
    21. Martínez-Gordón, R. & Morales-España, G. & Sijm, J. & Faaij, A.P.C., 2021. "A review of the role of spatial resolution in energy systems modelling: Lessons learned and applicability to the North Sea region," Renewable and Sustainable Energy Reviews, Elsevier, vol. 141(C).
    22. Jalil-Vega, Francisca & Hawkes, Adam D., 2018. "The effect of spatial resolution on outcomes from energy systems modelling of heat decarbonisation," Energy, Elsevier, vol. 155(C), pages 339-350.
    23. Scarlat, Nicolae & Fahl, Fernando & Dallemand, Jean-François & Monforti, Fabio & Motola, Vicenzo, 2018. "A spatial analysis of biogas potential from manure in Europe," Renewable and Sustainable Energy Reviews, Elsevier, vol. 94(C), pages 915-930.
    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. Jan F. Wiegner & Madeleine Gibescu & Matteo Gazzani, 2024. "Unleashing the full potential of the North Sea -- Identifying key energy infrastructure synergies for 2030 and 2040," Papers 2411.00540, arXiv.org.

    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. Simonas Cerniauskas & Thomas Grube & Aaron Praktiknjo & Detlef Stolten & Martin Robinius, 2019. "Future Hydrogen Markets for Transportation and Industry: The Impact of CO 2 Taxes," Energies, MDPI, vol. 12(24), pages 1-26, December.
    2. Blanco, Herib & Leaver, Jonathan & Dodds, Paul E. & Dickinson, Robert & García-Gusano, Diego & Iribarren, Diego & Lind, Arne & Wang, Changlong & Danebergs, Janis & Baumann, Martin, 2022. "A taxonomy of models for investigating hydrogen energy systems," Renewable and Sustainable Energy Reviews, Elsevier, vol. 167(C).
    3. Pierre, Cayet & Catherine, Azzaro-Pantel & Sylvain, Bourjade & Catherine, Muller-Vibes, 2024. "Beyond the “bottom-up” and “top-down” controversy: A methodological inquiry into hybrid modeling methods for hydrogen supply chains," International Journal of Production Economics, Elsevier, vol. 268(C).
    4. Kirchem, Dana & Schill, Wolf-Peter, 2023. "Power sector effects of green hydrogen production in Germany," Energy Policy, Elsevier, vol. 182(C).
    5. Østergaard, P.A. & Lund, H. & Thellufsen, J.Z. & Sorknæs, P. & Mathiesen, B.V., 2022. "Review and validation of EnergyPLAN," Renewable and Sustainable Energy Reviews, Elsevier, vol. 168(C).
    6. Frysztacki, Martha Maria & Hagenmeyer, Veit & Brown, Tom, 2023. "Inverse methods: How feasible are spatially low-resolved capacity expansion modelling results when disaggregated at high spatial resolution?," Energy, Elsevier, vol. 281(C).
    7. Cantú, Victor H. & Ponsich, Antonin & Azzaro-Pantel, Catherine & Carrera, Eduardo, 2023. "Capturing spatial, time-wise and technological detail in hydrogen supply chains: A bi-level multi-objective optimization approach," Applied Energy, Elsevier, vol. 344(C).
    8. Forghani, Kamran & Kia, Reza & Nejatbakhsh, Yousef, 2023. "A multi-period sustainable hydrogen supply chain model considering pipeline routing and carbon emissions: The case study of Oman," Renewable and Sustainable Energy Reviews, Elsevier, vol. 173(C).
    9. Rosa, Lorenzo & Mazzotti, Marco, 2022. "Potential for hydrogen production from sustainable biomass with carbon capture and storage," Renewable and Sustainable Energy Reviews, Elsevier, vol. 157(C).
    10. Martin, Jonas & Neumann, Anne & Ødegård, Anders, 2023. "Renewable hydrogen and synthetic fuels versus fossil fuels for trucking, shipping and aviation: A holistic cost model," Renewable and Sustainable Energy Reviews, Elsevier, vol. 186(C).
    11. Gordon, Joel A. & Balta-Ozkan, Nazmiye & Nabavi, Seyed Ali, 2023. "Socio-technical barriers to domestic hydrogen futures: Repurposing pipelines, policies, and public perceptions," Applied Energy, Elsevier, vol. 336(C).
    12. Sgarbossa, Fabio & Arena, Simone & Tang, Ou & Peron, Mirco, 2023. "Renewable hydrogen supply chains: A planning matrix and an agenda for future research," International Journal of Production Economics, Elsevier, vol. 255(C).
    13. Sgarbossa, Fabio & Arena, Simone & Tang, Ou & Peron, Mirco, 2022. "Reprint of: Renewable hydrogen supply chains: A planning matrix and an agenda for future research," International Journal of Production Economics, Elsevier, vol. 250(C).
    14. Reinert, Christiane & Nilges, Benedikt & Baumgärtner, Nils & Bardow, André, 2024. "This is SpArta: Rigorous Optimization of Regionally Resolved Energy Systems by Spatial Aggregation and Decomposition," Applied Energy, Elsevier, vol. 367(C).
    15. Abadie, Luis Mª & Chamorro, José M., 2023. "Investment in wind-based hydrogen production under economic and physical uncertainties," Applied Energy, Elsevier, vol. 337(C).
    16. Shirizadeh, Behrang & Quirion, Philippe, 2023. "Long-term optimization of the hydrogen-electricity nexus in France: Green, blue, or pink hydrogen?," Energy Policy, Elsevier, vol. 181(C).
    17. Ehrenstein, Michael & Galán-Martín, Ángel & Tulus, Victor & Guillén-Gosálbez, Gonzalo, 2020. "Optimising fuel supply chains within planetary boundaries: A case study of hydrogen for road transport in the UK," Applied Energy, Elsevier, vol. 276(C).
    18. Hoffmann, Maximilian & Priesmann, Jan & Nolting, Lars & Praktiknjo, Aaron & Kotzur, Leander & Stolten, Detlef, 2021. "Typical periods or typical time steps? A multi-model analysis to determine the optimal temporal aggregation for energy system models," Applied Energy, Elsevier, vol. 304(C).
    19. Maximilian Hoffmann & Leander Kotzur & Detlef Stolten & Martin Robinius, 2020. "A Review on Time Series Aggregation Methods for Energy System Models," Energies, MDPI, vol. 13(3), pages 1-61, February.
    20. Speckmann, Friedrich-W. & Keiner, Dominik & Birke, Kai Peter, 2020. "Influence of rectifiers on the techno-economic performance of alkaline electrolysis in a smart grid environment," Renewable Energy, Elsevier, vol. 159(C), pages 107-116.

    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:rensus:v:194:y:2024:i:c:s1364032124000376. 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/600126/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.