Researchers from the University of Technology, Sydney have mapped a potential global hydrogen supply chain with Australia at the helm in conjunction with colleagues in Singapore and Germany.
The supply chain compares the cost of exporting hydrogen manufactured in Australia using electrolysis technology and renewable energy to Singapore, Japan and Germany. The analysis included compressed and liquefied hydrogen, as well as hydrogen transported as a carrier in ammonia and methanol.
The mapping exercise, which is detailed in peer-reviewed journal Energy Conversion and Management, found that hydrogen in methanol form had the highest energy density and was cheapest to manufacture, at a levelised cost of $8.87/kgH2 for manufacture and shipping. This was followed by liquefied hydrogen at $9/kgH2.
Three export destination markets were mapped – Germany, Singapore and Japan. Methanol scored the highest for all three export pathways based on energy content which is important for the export of renewable energy, however, compressed hydrogen performed better on the basis of hydrogen content.
All supply chain pathways indicated that transport is the largest factor in the production cost of hydrogen, no matter what format it was delivered in.
UTS associate professor Kaveh Khalilpour and lead author of the report said Australia was uniquely positioned to play a leading role in a global hydrogen economy.
“The abundance of renewable energy resources in Australia, as well as its stable economy, means the country can attract investments in building these green value chains in our region and even as far away as Europe,” he said.
The high transport costs of hydrogen mean that it has not been profitably manufactured and exported to generate renewable energy, said Professor Reinhard Madlener from RWTH Aachen University, Germany who co-lead the project.
“The key business question around the emerging hydrogen economy is whether commodities such as green hydrogen, methanol or ammonia can be exported profitably and competitively also over long distances and across the oceans, thus bringing green energy to other places in the world.”