A socio-economic perspective on green hydrogen as a sustainable operations strategy
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A socio-economic perspective on green hydrogen as a sustainable operations strategy

18/12/2024 TranSpread

Hydrogen serves as an energy carrier with the potential to enable sustainable and flexible energy systems. However, achieving true decarbonization requires the use of renewable energy sources and responsible water management.

In a study (doi: https://doi.org/10.1016/j.susoc.2024.11.002) published in the KeAi journal Sustainable Operations and Computers, a team of researchers conducted a socio-economic analysis of hydrogen production from an integrated wind and electrolysis plant in southern Italy.

The study estimated a Levelized Cost of Hydrogen (LCOH) of €3.60/kg for a 30 MW wind and 18.5 MW electrolysis plant, capable of producing 1,776,000 kg of hydrogen in its first year. Sensitivity analyses indicated that LCOH could range from €2.81 to €4.48/kg, influenced significantly by inflation and capacity factors. For instance, a capacity reduction from 35% to 25% would increase the LCOH to €5.25/kg.

An online public survey revealed that 72.5% of Italians are unaware of the differences between green and grey hydrogen, with knowledge peaking among men over 35. Willingness to pay (WTP) for green hydrogen stood at approximately 10%, with the highest acceptance found among women aged 18-24. Public acceptance of wind power installations reflected a WTP of 8.7%. The study further highlighted that 68.6% of LCOH values cluster between 3.20 and 4.00 €/kg at a 35% capacity factor, emphasizing the need for public education and engagement to enhance acceptance.

While green hydrogen demonstrates substantial economic potential, addressing public knowledge gaps and societal resistance is crucial for large-scale adoption. The study calls for strategic spatial energy planning to facilitate successful implementation.

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References

DOI

10.1016/j.susoc.2024.11.002

Original Source URL

https://doi.org/10.1016/j.susoc.2024.11.002

Funding information

This study was carried out within the PEACE (Protecting the Environment: Advances in Circular Economy) which received funding from the “Fondo per il Programma Nazionale di Ricerca e Progetti di Rilevante Interesse Nazionale (PRIN)” Investimento M4.C2.1.1-D.D. 104.02-02-2022, 2022ZFBMA4 funded by the European Union - Next Generation EU. This manuscript reflects only the authors’ views and opinions, and can be considered responsible for them.

About Sustainable Operations and Computers

Sustainable Operations and Computers is an interdisciplinary journal focusing on topics that manage the balances, tradeoffs and synergies associated with the integration of economics, environment and social perspectives into traditional decision-making processes.

Paper title: Green hydrogen as a sustainable operations strategy: A socio-economic perspective
Attached files
  • Hydrogen production from green and fossil sources distinguished by age and gender.
18/12/2024 TranSpread
Regions: North America, United States, Europe, European Union and Organisations, Italy
Keywords: Science, Energy

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