Assessing the Levelized Cost of Hydrogen Production in a Renewable Hydrogen Community in South Italy

Abstract

The need to address climate change requires a shift towards more sustainable energy systems with lower greenhouse gas emissions. The emergence of Distributed Energy Systems (DES) and Renewable Energy Communities (REC) are changing the way energy systems are planned, designed, and managed. REC can play an important role in the development of green hydrogen, which can be produced in a decentralized way and used as an energy vector for various applications, such as transport and energy storage. The aim of this research is to evaluate the cost of hydrogen in distributed energy systems. The province of Taranto was chosen as a case study to model various supply scenarios for a 100 kW electrolyzer for local hydrogen production to be used within a Renewable Hydrogen Community. The results show that the optimal supply mix consists of 150 kW of photovoltaic and 100 kW of onshore wind installations, resulting in an annual hydrogen production of 7,565 kgH2/yr, an excess of electrical energy produced of 27,686 kWh/yr, and a Levelized Cost of the produced Hydrogen (LCOH) of 3.82 €/kgH2. The study highlights the potential use of hydrogen in different sectors, contributing to the reduction of local CO2 emissions. Therefore, green hydrogen can contribute to creating a more flexible, decentralized, and sustainable energy system, promoting the transition to a low-carbon economy.

Levelized cost of green hydrogen (LCOH) in the Sultanate of Oman using H2A-Lite with polymer electrolyte membrane (PEM) electrolyzers powered by solar photovoltaic (PV) electricity

“…Although LCOH data have been published in other studies, they are based on data focusing on a certain country [27][28][29][30]. Therefore, customized LCOH estimates, with accompanying sensitivity analysis, for the Sultanate of Oman seem missing.…”

Decarbonization of methanol production - Techno-economic analysis of Power-to-Fuel process in a Hydrogen Valley

“…Therefore, the formation of green hydrogen clusters, known as "Hydrogen Valleys," becomes pivotal in the initial stages. These Hydrogen Valleys stimulate collaboration and synergies among multiple stakeholders engaged in green hydrogen production and consumption within a specific geographical area [8]. Hydrogen Valleys are integrated ecosystems that encompass various hydrogen technologies, covering the entire value chain: from production and storage to distribution and final utilization.…”

Potential Role of green hydrogen as an energy carrier in smart energy system communities

“…This approach is considered as a milestone for the growth of new-born concepts such as power to heat, power to gas , power to X [7] and other innovative technologies to be employed in multigeneration scenario. Hydrogen is referred to as the "fuel of the future" due to its features as an energy carrier with zero GHG emissions, has gained progressive attention in the energy market [8][9][10]. As of today, most mature technologies are recognized to be Alkaline and Proton exchange electrolysers that operate at lowtemperature up to 70°C.…”