Advancing the Economic Frontier of Green Hydrogen: A Systematic Modeling and Optimization Approach

This study, grounded in the strategic urgency of green hydrogen for energy transition, addresses the economic constraints currently impeding its widespread adoption. Using HOMER for in-depth renewable energy modeling, the research assessed various configurations, most notably a Generic PV system with a nominal capacity of 11, 437, 177 kW, yielding an annual production of 20, 348, 133, 376 kWh/yr at a levelized cost of electricity (LCOE) of 0. 0114 /kWh. Through a detailed exploration of electrolyzer modifications—achieving a specific consumption rate of 43. 8 kWh/kg and a capacity factor of 22. 6%—and the integration of fuel cells, as well as a comprehensive sensitivity analysis highlighting the significant impacts of capital cost reductions, the study identifies pathways to a more feasible green hydrogen production cost, reducing levelized cost of hydrogen (LCOH) from 18/kg to 10. 3. Notably, these findings offer crucial insights into battery augmentation, capital cost dynamics, and determinants for minimizing LCOH. The results present a valuable roadmap for policymakers and industry stakeholders, emphasizing emerging research avenues pivotal for the evolution of the green hydrogen economy.