Energy Storage Science and Technology ›› 2022, Vol. 11 ›› Issue (7): 2374-2385.doi: 10.19799/j.cnki.2095-4239.2022.0062

• Technical Economic Analysis of Energy Storage • Previous Articles     Next Articles

Economic analysis of hydrogen production plant with water electrolysis

Jin XU1,2(), Xian DING1,2(), Yongli GONG1,2, Guangli HE3, Ting HU3   

  1. 1.China Green Development Group, Beijing 100020, China
    2.Ducheng Weiye Group Co, Ltd. , Beijing 100020, China
    3.New Energy Technology R&D Center, Beijing Institute of Low-Carbon Clean Energy, Beijing 102211, China
  • Received:2022-02-09 Revised:2022-03-03 Online:2022-07-05 Published:2022-06-29
  • Contact: Xian DING E-mail:lvfa_yjy@163.com;fd_dingxian@163.com

Abstract:

Hydrogen is the most suitable energy carrier for smart networks and large-scale renewable energy generation. Currently, the cost of hydrogen produced by water electrolysis is rather expensive, making it uncompetitive for large-scale use in manufacturing, transportation, construction, and other industries. In this study, we have investigated the whole life cycle cost of a hydrogen production plant with water electrolysis and compared the cost composition under different technical routes. According to the findings, the primary elements influencing the total cost of water electrolysis for hydrogen generation are equipment acquisition cost, power cost, and equipment durability. Because of the lower equipment purchase cost, alkaline electrolyzers have lower total hydrogen production costs than proton exchange membrane electrolyzers. The full-life-cycle power consumption of electrolytic hydrogen production plants can be significantly lowered by increasing the operating temperature of the electrolyzer, developing a high-efficiency electrolyzer, and improving the durability of the electrolyzer, thereby reducing the overall cost of hydrogen production. The results demonstrate that reducing the power usage of hydrogen production by 1 kWh/Nm3 reduces the levelized cost of hydrogen by 1.1 P yuan/Nm3 (P is the electricity price, yuan/kWh). When the price of electricity falls, so does the levelized cost of hydrogen. Correspondingly, the electricity price is reduced by 0.01 yuan/kWh, and the reduction in the levelized cost of hydrogen is 0.057 yuan/Nm3.

Key words: hydrogen production by water electrolysis, hydrogen energy, economic evaluation

CLC Number: