Business model and planning approach for hydrogen energy systems at three application scenarios

Abstract

Green hydrogen is used as fuel or raw material in power systems, transportation, and industry, which is expected to curb carbon emissions at the root. First, a unified energy system consisting of clean power generation systems, hydrogen energy systems (HESs), and transmission systems was proposed, and the characteristics of hydrogen load in different fields are analyzed. Possible business models for HESs in industry and transportation are then presented, cost and benefit functions for stakeholders of HES were created, and a business model with multi-party participation was modeled as a multi-objective optimization model. In a power system, the business model of combining two operating modes for hydrogen storage was proposed at the power generation side as well. Finally, three HESs were designed for a chemical plant with a hydrogen demand of 1000 Nm3/h, a hydrogen refueling station with a daily hydrogen load of 600 kg, and a 100% clean power generation system, respectively. The results of the case study show that one or more feasible business models (i.e., all stakeholders are profitable) can be found in both industrial and transportation by the HES planning approach proposed, while the internal rate of return of HES installed on the generation side is less than 5% due to high investment cost at this stage and low utilization rate; nonetheless, the profitable strategies are shown by 3D graphics.