A hydrogen economy: opportunities and challenges

A hydrogen economy, the long-term goal of many nations, can potentially confer energy security, along with environmental and economic benefits. However, the transition from a conventional petroleum-based energy system to a hydrogen economy involves many uncertainties, such as the development of efficient fuel-cell technologies, problems in hydrogen production and its distribution infrastructure, and the response of petroleum markets. This study uses the US MARKAL model to simulate the impacts of hydrogen technologies on the US energy system and to identify potential impediments to a successful transition. Preliminary findings highlight possible market barriers facing the hydrogen economy, as well as opportunities in new R&D and product markets for bioproducts. Quantitative analysis also offers insights on policy options for promoting hydrogen technologies. (c) 2004 Elsevier Ltd. All rights reserved.