The effects of electricity tariffs on cost-minimal hydrogen supply chains and their impact on electricity prices and redispatch costs

Frederik vom Scheidt, Jingyi Qu, Philipp Staudt, Dharik Mallapragada, Christof Weinhardt

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

Abstract

Hydrogen fueled transportation can contribute substantially to the reduction of global carbon emissions. However, the production of hydrogen through electrolysis creates interdependencies with electricity systems. Therefore, we present a new model which couples the hydrogen supply chain with the electricity system. We use this model to analyse a case study of Germany in 2030. We find that if efficient spatially resolved electricity tariffs are applied instead of existing uniform tariffs, electrolyzers are placed primarily at low-cost nodes and farther away from consumption centers. For hydrogen, this leads to higher transportation costs, but lower production costs, and lower total costs. Moreover, costs for congestion management decrease substantially.

Original languageEnglish (US)
Title of host publicationProceedings of the 54th Annual Hawaii International Conference on System Sciences, HICSS 2021
EditorsTung X. Bui
PublisherIEEE Computer Society
Pages3301-3310
Number of pages10
ISBN (Electronic)9780998133140
StatePublished - 2021
Event54th Annual Hawaii International Conference on System Sciences, HICSS 2021 - Virtual, Online
Duration: Jan 4 2021Jan 8 2021

Publication series

NameProceedings of the Annual Hawaii International Conference on System Sciences
Volume2020-January
ISSN (Print)1530-1605

Conference

Conference54th Annual Hawaii International Conference on System Sciences, HICSS 2021
CityVirtual, Online
Period1/4/211/8/21

ASJC Scopus subject areas

  • General Engineering

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