• Hydrogen from wind power may become cheaper than natural gas

    Date posted:

    • Post Author

      Patrick Lavery

      Combustion Industry News Editor

short article on the Wind Power Monthly website has drawn attention to the expected fall in price for the production of hydrogen from wind power. With higher shares of intermittent renewables such as solar and wind power, there will be more occurrences of excess power being generated on the grid level, and creating hydrogen via electrolysis of water is one way to deal with the problem. The more this option is used, the more costs will come down for hydrogen production, and International Energy Agency estimates are that prices will fall from the current ~€0.18/kWh (US$0.25/kWh) to between €0.021/kWh and €0.032/kWh (US$0.025-0.038/kWh) by 2040 – close to as much as 90%. By that time, the IEA estimates that natural gas prices will be higher, at €0.041/kWh (US$0.049/kWh), and such prices suggest that hydrogen might be the preferred fuel, especially if carbon emissions considerations are taken into account, and this would give a different shape to the combustion industry. Long term estimates are notoriously unreliable, however, and time will have to tell.