4.6 Article

Methods identifying cost reduction potential for water electrolysis systems

Journal

CURRENT OPINION IN CHEMICAL ENGINEERING
Volume 33, Issue -, Pages -

Publisher

ELSEVIER SCI LTD
DOI: 10.1016/j.coche.2021.100714

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Funding

  1. U.S. Department of Energy (DOE) [DE-AC36-08GO28308]
  2. Hydrogen and Fuel Cell Technology Office (HFTO)

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Hydrogen is an emerging alternative for energy storage, offering a variety of applications including transportation, electricity generation, and chemical synthesis. Techno-economic analysis is crucial for guiding research directions to make electrolytic hydrogen cost competitive, and future opportunities include dispatchable operation in power markets, optimizing costs and system durability, and analyzing pathways for hydrogen to support economy-wide decarbonization.
emerging alternative for energy storage, where hydrogen can be used as a transportation fuel, combusted to generate electricity, utilized in a fuel cell, or used as a feedstock for chemical synthesis. Techno-economic analysis (TEA) is a valuable tool for understanding how to inform research directions that could make hydrogen from electrolysis cost competitive with that produced by conventional means like steam methane reforming. The current state of knowledge on TEA of electrolysis systems suggests cost reductions are likely to result from advances in system design and materials, scale-up of manufacturing processes, and learning by doing effects as electrolysis deployment increases. Future directions and opportunities for TEA of electrolysis systems include dispatchable operation in wholesale power markets, optimization of capital cost and system durability, and analysis of pathways for hydrogen to support economy-wide decarbonization.

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