At What Cost Can Renewable Hydrogen Offset Fossil Fuel Use in Ireland’s Gas Network?

Tubagus Aryandi Gunawan, Alessandro Singlitico, Paul Blount, James Burchill, James G. Carton and Rory F. D. Monaghan
Additional contact information
Tubagus Aryandi Gunawan: Mechanical Engineering, Alice Perry Engineering Building, National University of Ireland Galway, Galway H91 HX31, Ireland
Alessandro Singlitico: Center for Electric Power and Energy (CEE), Department of Electrical Engineering, Technical University of Denmark (DTU), 2800 Kgs. Lyngby, Denmark
Paul Blount: Coillte CGA, Dublin Road, Wicklow A63 DN25, Ireland
James Burchill: Network Services Centre, Gas Networks Ireland, Dublin 11 D11 Y895, Ireland
James G. Carton: Mechanical & Manufacturing Engineering, DCU Glasnevin Campus, Dublin City University, Dublin 9 D09 V209, Ireland
Rory F. D. Monaghan: Mechanical Engineering, Alice Perry Engineering Building, National University of Ireland Galway, Galway H91 HX31, Ireland

Energies, 2020, vol. 13, issue 7, 1-23

Abstract: The results of a techno-economic model of distributed wind-hydrogen systems (WHS) located at each existing wind farm on the island of Ireland are presented in this paper. Hydrogen is produced by water electrolysis from wind energy and backed up by grid electricity, compressed before temporarily stored, then transported to the nearest injection location on the natural gas network. The model employs a novel correlation-based approach to select an optimum electrolyser capacity that generates a minimum levelised cost of hydrogen production (LCOH) for each WHS. Three scenarios of electrolyser operation are studied: (1) curtailed wind, (2) available wind, and (3) full capacity operations. Additionally, two sets of input parameters are used: (1) current and (2) future techno-economic parameters. Additionally, two electricity prices are considered: (1) low and (2) high prices. A closest facility algorithm in a geographic information system (GIS) package identifies the shortest routes from each WHS to its nearest injection point. By using current parameters, results show that small wind farms are not suitable to run electrolysers under available wind operation. They must be run at full capacity to achieve sufficiently low LCOH. At full capacity, the future average LCOH is 6–8 €/kg with total hydrogen production capacity of 49 kilotonnes per year, or equivalent to nearly 3% of Irish natural gas consumption. This potential will increase significantly due to the projected expansion of installed wind capacity in Ireland from 5 GW in 2020 to 10 GW in 2030.

Keywords: hydrogen; wind energy; water electrolysis; energy storage; energy system; geographic information system; natural gas network (search for similar items in EconPapers)
JEL-codes: Q Q0 Q4 Q40 Q41 Q42 Q43 Q47 Q48 Q49 (search for similar items in EconPapers)
Date: 2020
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (7)

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