Minimizing the unit price of hydrogen production in Power-to-Gas plants by utilizing the Electric Power Exchange

Hiroto Nakazawa, Akira Yoshida, Shin Onodera, Naoki Kemmotsu, Yoshiharu Amano

Research output: Chapter in Book/Report/Conference proceedingConference contribution

Abstract

The introduction of variable renewable energy (VRE) has been increasing to reduce CO2 emissions. With the rapid introduction of VREs, it is necessary to take measures against excess power generation to stabilize the power system. Hydrogen production using VRE surplus electricity that called Power-to-Gas (P2G), is attracting attention as a new means. However, it has been reported that P2G is low economically viable when introduced as a countermeasure for VRE surplus power, and improving the economics of P2G systems is the issue. In this study, two methods of procuring electricity to the P2G plant will be used: one is electricity generated by photovoltaic (PV) panels annexed the P2G plant, and the other is electricity purchased from the Electric Power Exchange (EPX). By using these two methods together, the authors will increase the operating ratio of the P2G plant and study the economics when producing hydrogen in a stable manner. The target P2G plant consists of a 1 MW proton exchange membrane electrolyzer cell (PEMEC), a hydrogen storage tank, and 3 MW PV. In this study, three conditions are assumed for the power used for P2G: only EPX, only PV, and the combination of EPX and PV. For each case, the economically optimal operation that minimizes the operating cost is derived using mixed integer linear programming. Results of Japan's FY2019 estimates, it was confirmed that the hydrogen production by using both PV and EPX to procure electricity for the P2G system has the effect of lowering the unit price of hydrogen production by 1.51-15.1 yen/Nm3 compared with the case of PV only.

Original languageEnglish
Title of host publicationECOS 2021 - 34th International Conference on Efficency, Cost, Optimization, Simulation and Environmental Impact of Energy Systems
PublisherECOS 2021 Program Organizer
Pages1017-1028
Number of pages12
ISBN (Electronic)9781713843986
Publication statusPublished - 2021
Event34th International Conference on Efficency, Cost, Optimization, Simulation and Environmental Impact of Energy Systems, ECOS 2021 - Taormina, Sicily, Italy
Duration: 2021 Jun 282021 Jul 2

Publication series

NameECOS 2021 - 34th International Conference on Efficency, Cost, Optimization, Simulation and Environmental Impact of Energy Systems

Conference

Conference34th International Conference on Efficency, Cost, Optimization, Simulation and Environmental Impact of Energy Systems, ECOS 2021
Country/TerritoryItaly
CityTaormina, Sicily
Period21/6/2821/7/2

Keywords

  • Electric power exchange
  • Hydrogen
  • Photovoltaic
  • Power-to-Gas
  • Proton exchange membrane electrolyzer cell

ASJC Scopus subject areas

  • Energy(all)
  • Engineering(all)
  • Environmental Science(all)

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