Techno-economic Assessment of Hydrogen Energy in the Electricity and Transport Sectors Using a Spatially-disaggregated Global Energy System Model

Hydrogen (H-2) receives much attention to mitigate climate change and strengthen energy security. This study analyzed the economic viability of H-2 energy with a focus on the electricity and transport sectors, employing a spatially-disaggregated global energy system model. The simulated period is from 2015 to 2050. The results suggest that. in addition to strict CO2 regulation policies. significant cost reductions of H-2 production technologies would be prerequisite to accelerate H-2-fueled power generation globally. By contrast, deployment of fuel-cell vehicle appears more sensitive to vehicle price, rather than the H-2 supply costs. Among H-2 production processes, gasification of coal and reformation of natural gas, combined with carbon capture and storage, are estimated to be cost-efficient. implying opportunities for H-2 trade between coal and gas resource countries and energy consumers. Yet, again. improved economics are necessary for maritime H-2 transportation. including liquefied H-2; otherwise, H-2 trade would be limited to pipeline. If maritime H-2 trade becomes economically viable, natural gas and coal in Australia could be competitive feedstock for Japan. Long-term policies to support research and development are crucial to commercialize H-2 supply system.