Abstract

Hydrogen is becoming an increasingly appealing energy carrier, as the costs of renewable energy generation and water electrolysis continue to decline. Developing modelling and decision tools for the H2_{2} supply chain that fully capture the flexibility of various resources is essential to understanding the overall cost-competitiveness of H2_{2} use. To address this need, we have developed a H2_{2} supply chain planning model that determines the least-cost mix of H2_{2} generation, storage, transmission, and compression facilities to meet H2_{2} demands and is coupled with power systems through electricity prices. We incorporate flexible scheduling for H2_{2} trucks and pipeline, allowing them to serve as both H2_{2} transmission and storage resources to shift H2_{2} demand/production across space and time. The case study results in the U.S. Northeast indicate that the proposed framework for flexible scheduling of H2_{2} transmission and storage resources is critical not only to cost minimization but also to the choice of H2_{2} production pathways between electrolyzer and centralized natural-gas-based production facilities. Trucks as mobile storage could make electrolyzer more competitive by providing extra spatiotemporal flexibility to respond to the electricity price variability while meeting H2_{2} demands. The proposed model also provides a reasonable trade-off between modeling accuracy and solution times.

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