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[post_content] => The higher cost of green hydrogen in comparison to its competitors is the most important barrier to its increased use. Although the cost of renewable electricity is considered to be the key obstacle, challenges associated with electrolysers are another major issue that have important implications for the cost reduction of green hydrogen. This paper analyses the electrolysis process from technological, economic, and policy perspectives. It first provides a comparative analysis of the main existing electrolyser technologies and identifies key trade-offs in terms of cost, scarcity of materials used, technology readiness, and the ability to operate in a flexible mode (which enables them to be coupled with variable renewables generation). The paper then identifies the main cost drivers for each of the most promising technologies and analyses the opportunities for cost reduction. It also draws upon the experience of solar and wind power generation technologies with respect to gradual cost reduction and evaluates development paths that each of the main electrolyser technology types could take in the future. Finally, the paper elaborates on the policy mechanisms that could additionally foster cost reduction and the overall business development of electrolyser technologies.
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[post_content] => This paper analyses whether ammonia can be viewed as an economically efficient and technologically suitable solution that can address the challenge of large-scale, long-duration, transportable energy storage in the decarbonized energy systems of the future. It compares all types of currently available energy storage techniques and shows that ammonia and hydrogen are the two most promising solutions that, apart from serving the objective of long-term storage in a low-carbon economy, could also be generated through a carbon-free process. The paper argues that ammonia, as an energy vector of hydrogen, is preferable to pure hydrogen from economic, environmental, and technological perspectives. It then analyses the available ammonia generation techniques, identifying conditions under which zero-carbon ammonia makes sense economically, and briefly highlights policy prerequisites for such production to be attractive for investors. Given the current state of the industry, large-scale deployment of green ammonia is unlikely to happen without policy supports such as adequate carbon taxes and/or alternative incentives. In the absence of such policies, green ammonia is only likely to make small-scale advances in the energy system, in areas with extremely low-cost renewable energy production or a significant surplus of generated energy.
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-
05.01.21
How to incentivize ‘green’ H2 production?
Currently, green hydrogen generation is more expensive than the production of hydrogen via fossil fuels in most places of the world . The experience with renewable energy sources as solar PV and wind power show that support policies play a crucial role in lowering the costs of nascent technologies. This paper aims to answer the […]
By:
Aliaksei Patonia
Rahmat Poudineh