Green Hydrogen; Energy Transition; Production Costs; Business Model; Conversion.
The energy transition is one of the main ways of combating climate change and one of the currently largest challenges faced by humanity. While many things can be solved by electrification, some sectors need other solutions for their decarbonization. Green hydrogen can solve this problem, as well as act as a storage for intermittent energy sources. Two main challenges are the storage and transportation of green hydrogen as well as the non-competitive production costs. Therefore, the research questions of this thesis are: (i)“What is the state of the art of green hydrogen production in terms of efficiencies and costs and how can the production costs be optimized?”(ii)“How are the production costs affected by various parameters like CAPEX, electricity prices, efficiencies and full load hours?” and (iii)“How does the conversion of hydrogen to its carriers influence the production costs?”. After doing a thorough literature review in order to provide the necessary background knowledge and understanding of the topic, some best practices were examined, and expert interviews were conducted. This allowed for a more integrated view and various perspectives on the topic. As a second large step a business model was done to analyze how different parameters influence the production costs as well as the profitability of such projects. Concludingly it can be said, that while there is no one-size-fits-all approach, some findings should be relevant for all cases. Electricity costs make up the largest part of the levelized cost of hydrogen (LCOH) and high full load hours and efficiencies are also very relevant for optimizing the costs. When possible, a conversion to carriers should be avoided by the direct usage of hydrogen. When necessary, the conversion to ammonia is slightly more cost effective, however, methanization is more energy-efficient. Further research, development, innovation and policy support as well as a scale-up of production and roll-out of an infrastructure will be crucial in the near future. Finally, the current war in the Ukraine has led to skyrocketing natural gas prices disrupting the markets, leading to an unexpected early competitiveness of green hydrogen.