Analysis of the wind energy market in Denmark and future interactions with an emerging hydrogen market

The transition from fossil fuels to renewable energy sources is critical to reduce future emissions and mitigate the consequences hereof. Yet, the expansion of renewable energy, especially the highly fluctuating production of wind energy, poses economic challenges to the existing energy system in Denmark. This paper investigates the economic feasibility of integrating a 250 kW, 500 kW, 750 kW and 1 MW water electrolysis system in the existing Danish energy market to exploit excessive off- and onshore wind energy for hydrogen production used as fuel for transportation purposes. In 2018, Danish wind turbines produced excess energy during 1238 h, which poses a capacity constraint as the electrolysis systems are limited to only produce hydrogen for 14% of the total available annual hours. This paper concludes that the net present value of each investment is negative as the fixed and variable production costs exceeds the generated revenues and it is therefore not economical feasible to invest in an electrolysis system with the purpose of only operating whenever excess off- and onshore wind energy is available.     

Control design for an autonomous wind based hydrogen production system

This paper presents a complete control scheme to efficiently manage the operation of an autonomous wind based hydrogen production system. This system comprises a wind energy generation module based on a multipolar permanent magnet synchronous generator, a lead-acid battery bank as short term energy storage and an alkaline von Hoerner electrolyzer. The control is developed in two hierarchical levels. The higher control level or supervisor control determines the general operation strategy for the whole system according to the wind conditions and the state of charge of the battery bank. On the other hand, the lower control level includes the individual controllers that regulate the respective module operation assuming the set-points determined by the supervisor control. These last controllers are approached using second-order super-twisting sliding mode techniques. The performance of the closed-loop system is assessed through representative computer simulations.     

Influences on hydrogen production at a wind farm

If an affordable infrastructure for low-carbon-intensity hydrogen can be developed, then hydrogen is expected to become a key factor in decarbonizing the atmosphere. This research focuses on factors an existing wind farm operator would consider when weighing participating in the electricity market, the hydrogen market, or both.The solutions depend on the state of technology, which is changing rapidly, the local market structures, the local natural resources, and the local pre-existing infrastructure. Consequently, this investigation used an assessment approach that examined the variation of net present value. The investigation identified profitability conditions under three different scenarios: 1) Make and sell what makes economic sense at the time of production, 2) Use electrolyzer and fuel cell to consume power from the grid at times of low net demand and to produce electricity at times of high net demand, 3) Same as #2 but also market hydrogen directly when profitable.     

Hydrogen production from idle generation capacity of wind turbines

This paper is concerned with the hydrogen production from wind energy. It is motivated by the new regulations for wind farms that compel them to operate normally with idle generation capacity. The idea is to use the excess wind power to produce hydrogen. The operation of a proposed system configuration, which essentially consists in incorporating an electrolyzer between the electronic converters of a conventional wind turbine, is analyzed. In particular, the control requirements to simultaneously achieve the grid and electrolyzer specifications are investigated. In this context, a control strategy for the different operating modes of the system is developed.     

Economic viability and production capacity of wind generated renewable hydrogen

Generally, wind to power conversion is calculated by assuming the quality of wind as measured with a Weibull probability distribution at wind speed during power generation. We build on this method by modifying the Weibull distributions to reflect the actual range of wind speeds and wind energy density. This was combined with log law that modifies wind speed based on the height from the ground, to derive the wind power potential at windy sites. The study also provides the Levelized cost of renewable energy and hydrogen conversion capacity at the proposed sites. We have also electrolyzed the wind-generated electricity to measure the production capacity of renewable hydrogen. We found that all the sites considered are commercially viable for hydrogen production from wind-generated electricity. Wind generated electricity cost varies from $0.0844 to $0.0864 kW h, and the supply cost of renewable hydrogen is $5.30 to $ 5.80/kg-H₂. Based on the findings, we propose a policy on renewable hydrogen fueled vehicles so that the consumption of fossil fuels could be reduced. This paper shall serve as a complete feasibility study on renewable hydrogen production and utilization.     

Successful renewable energy development in a competitive electricity market: A Texas case study

The development of renewable energy in markets with competition at wholesale and retail levels poses challenges not present in areas served by vertically-integrated utilities. The intermittent nature of some renewable energy resources impact reliability, operations, and market prices, in turn affecting all market participants. Meeting renewable energy goals may require coordination among many market players.     

Optimizing site selection for hydrogen production in Iceland

While the world energy demand is steadily growing, the concern for the environmental aspects of energy use and natural resource exploitation has increased. A new market has emerged for renewable energy, often referred to as “green energy”. This paper presents an optimization model developed as part of a feasibility study on the idea of exporting renewable energy in the form of hydrogen, from Iceland to the continent of Europe.     

A new semi-empirical wind turbine capacity factor for maximizing annual electricity and hydrogen production

The capacity factor is an important wind turbine parameter which is ratio of average output electrical power to rated electrical power of the wind turbine. Another main factor, the AEP, the annual energy production, can be determined using wind characteristics and wind turbine performance. Lower rated power may lead to higher capacity factor but will reduce the AEP. Therefore, it is important to consider simultaneously both the capacity factor and the AEP in design or selecting a wind turbine. In this work, a new semi-empirical secondary capacity factor is introduced for determining a rated wind speed at which yearly energy and hydrogen production obtain a maximum value. This capacity factor is expressed as ratio of the AEP for wind turbine to yearly wind energy delivered by mean wind speed at the rotor swept area. The methodology is demonstrated using the empirical efficiency curve of Vestas-80 2 MW turbine and the Weibull probability density function. Simultaneous use of the primary and the secondary capacity factors are discussed for maximizing electrical energy and hence hydrogen production for different wind classes and economic feasibility are scrutinized in several wind stations in Kuwait.     

Estimation of wind energy production in various sites in Australia for different wind turbine classes: A comparative technical and economic assessment

This study examines the effect of different wind turbine classes on the electricity production of wind farms in three areas of Australia, which present low, low to medium, and medium to high wind potential: Gingin, Armidale, and Gold Coast Seaway. Wind turbine classes determine the suitability of installing a wind turbine in a particulate site. Wind turbine data from six different manufacturers have been used. For each manufacturer, at lest two wind turbines with identical rated power (in the range of 1.5 MW–3 MW) and different wind turbine classes (IEC I, IEC II and/or IEC III) are compared. The results show the superiority of wind turbines that are designed for lower wind speeds (higher IEC class) in all three locations, in terms of energy production. This improvement is higher for the locations with lower and medium wind potential (Gingin and Armidale), and varies from 5% to 55%. Moreover, this study investigates the economical feasibility of a 30 MW wind farm, for all combinations of site locations and wind turbine models.     

New approach to bidding strategies of generating companies in day ahead energy market

In the restructured power systems, generating companies (Genco) are responsible for selling their product in the energy market. In this condition, the question is how much and for what price must each Genco generate to maximize its profit. Therefore, this paper intends to propose a rational method to answer this question. In the proposed methodology, the hourly forecasted market clearing price (FMCP) is used as a reference to model the possible and probable price strategies of Gencos. The forecasted price is the basis of the bidding strategies of each Genco, which can be achieved by solving a bi-level optimization problem using GAMS (general algebraic modeling system) language. The first level, called upper sub-problem is used to maximize the individual Genco’s payoffs for obtaining the optimal offered quantity of Gencos. The second one, hereafter called the lower sub-problem uses the results of the upper sub-problem and minimizes the consumer’s payment with regard to the technical and network constraints, which leads to the awarded generation of the Gencos. Similar to the other game problems, the Nash equilibrium strategies are the optimum bidding strategies of Gencos. A six bus system is employed to illustrate the application of the proposed method and to show its high precision and capabilities.     

Analysis of hydrogen production from combined photovoltaics, wind energy and secondary hydroelectricity supply in Brazil

In this work, the technical and economical feasibility for implementing a hypothetical electrolytic hydrogen production plant, powered by electrical energy generated by alternative renewable power sources, wind and solar, and conventional hydroelectricity, was studied mainly trough the analysis of the wind and solar energy potentials for the northeast of Brazil. The hydrogen produced would be exported to countries which do not presently have significant renewable energy sources, but are willing to introduce those sources in their energy system. Hydrogen production was evaluated to be around 56.26 × 10⁶ m³ H₂/yr at a cost of 10.3 US$/kg.     

The development of a green certificate market

Liberalizing the electricity industry and attempting to reduce the emissions of greenhouse gases are the two dominant trends in European energy policy. The last-mentioned issue might require the contribution from renewable energy technologies, but at present most renewables cannot compete on their own with conventional technologies. Thus, it can be expected that if renewables must compete solely on market conditions alone this will slow down or even halt the development of new renewable capacity. One model in which additional payments to renewable technologies are generated is based on the development of a separate green market. In Holland a voluntary green certificate market has existed since the beginning of 1998. In Denmark a comprehensive restructuring of the legislation for the electric power industry has just been completed, including the framework for developing a separate green market for renewable electricity production. The main objectives of introducing this type of electricity market in Denmark is to secure the development of renewable energy technologies (including contributions to greenhouse gas reductions), while at the same time releasing the Government from the (by now) quite heavy burden of subsidising renewable technologies. Finally, a green market will make it possible for these renewable technologies to be partly economically compensated for the environmental benefits, which they generate compared to conventional power production. With the recent Danish legislation as starting point this paper analyzes possible ways to set up a green certificate market, treating as well some of the consequences produced when the market is actually funtioning. The analysis is applicable for all renewable technologies, but special attention is given to wind power.     

Potential of renewable hydrogen production for energy supply in Hong Kong

Hong Kong is highly vulnerable to energy and economic security due to the heavy dependence on imported fossil fuels. The combustion of fossil fuels also causes serious environmental pollution. Therefore, it is important to explore the opportunities for clean renewable energy for long-term energy supply. Hong Kong has the potential to develop clean renewable hydrogen energy to improve the environmental performance. This paper reviews the recent development of hydrogen production technologies, followed by an overview of the renewable energy sources and a discussion about potential applications for renewable hydrogen production in Hong Kong. The results show that although renewable energy resources cannot entirely satisfy the energy demand in Hong Kong, solar energy, wind power, and biomass are available renewable sources for significant hydrogen production. A system consisting of wind turbines and photovoltaic (PV) panels coupled with electrolyzers is a promising design to produce hydrogen. Biomass, especially organic waste, offers an economical, environmental-friendly way for renewable hydrogen production. The achievable hydrogen energy output would be as much as 40% of the total energy consumption in transportation.     

The possibilities of cooperation between a hydrogen generator and a wind farm

In this paper, a hydrogen generator and a wind farm were taken as the research objects. The H₂ generator consisted characteristics of laboratory-tested electrolyzers were determined as a function of the hydrogen mass flow. Determining the auxiliary power index of the device allowed the efficiency of the hydrogen generator to be determined as a function of hydrogen mass flow as well as the hydrogen generator relative power. The dynamic characteristics of a generator were also presented. The possibility of a given wind farm cooperating with hydrogen generators that are characterized by different powers and various efficiencies was simulated. Algorithm enables determination of hydrogen generators efficiency for devices with various performance in nominal operation point is shown. It has been shown that proper selection of the power of the hydrogen generator in relation to the power of the wind farm can ensure a high efficiency for the device.     

Large-vscale hydrogen production and storage technologies: Current status and future directions

Over the past years, hydrogen has been identified as the most promising carrier of clean energy. In a world that aims to replace fossil fuels to mitigate greenhouse emissions and address other environmental concerns, hydrogen generation technologies have become a main player in the energy mix. Since hydrogen is the main working medium in fuel cells and hydrogen-based energy storage systems, integrating these systems with other renewable energy systems is becoming very feasible. For example, the coupling of wind or solar systems hydrogen fuel cells as secondary energy sources is proven to enhance grid stability and secure the reliable energy supply for all times. The current demand for clean energy is unprecedented, and it seems that hydrogen can meet such demand only when produced and stored in large quantities. This paper presents an overview of the main hydrogen production and storage technologies, along with their challenges. They are presented to help identify technologies that have sufficient potential for large-scale energy applications that rely on hydrogen. Producing hydrogen from water and fossil fuels and storing it in underground formations are the best large-scale production and storage technologies. However, the local conditions of a specific region play a key role in determining the most suited production and storage methods, and there might be a need to combine multiple strategies together to allow a significant large-scale production and storage of hydrogen.     

Wind/hydrogen hybrid systems: Opportunity for Ireland’s wind resource to provide consistent sustainable energy supply

Ireland with its resource of wind has the potential to use this natural resource and sustain the country’s power needs for the future. However, one of the biggest drawbacks to renewable energy generation, particularly wind-generated electricity is that it is an intermittent and a variable source of power. Even at the “best” sites wind varies dramatically from hour to hour and minute to minute. This leads to two main problems:     

Locating wind farm for power and hydrogen production based on Geographic information system and multi-criteria decision making method: An application

Hydrogen generation from renewable energy resources is considered as a suitable solution to solve the problems related to the energy sector and the reduction of greenhouse gases. The aim of this study is to provide an integrated framework for identifying suitable areas for the construction of wind farms to produce hydrogen. For this purpose, a combined method of Geographic Information System (GIS) and multi-criteria decision making (MCDM) has been used to locate the power plant in Yazd province. The GIS method in the present study consisted of two parts: constraints and criteria. The constraint section included areas that were unsuitable for the construction of wind farms to produce power and hydrogen. In the present study, various aspects such as physical, economic and environmental had been considered as constraints. In the criteria section, eight different criteria from technical aspects (including average wind speed, hydrogen production potential, land slope) and economic aspects (including distance to electricity grid, distance to urban areas, distance to road, distance to railway and distance to centers of High hydrogen consumption) had been investigated. The MCDM tool had been used to weigh the criteria and identify suitable areas. Analytic Hierarchy Process (AHP) technique was used for weighting the criteria. The results of AHP weighting method showed that economic criteria had the highest importance with a value of 0.681. The most significant sub-criterion was the distance to urban areas and the least significant sub-criterion was the distance to power transmission lines. The results of GIS-MCDM analysis had shown that the most proper areas were in the southern and central sectors of Yazd province. In addition, the feasibility of hydrogen production from wind energy had shown that this province had the capacity to generate hydrogen at the rate of 53.6–128.6 tons per year.     

Power management control for off-grid solar hydrogen production and utilisation system

Climate change concerns, increasing global energy demand, coupled with pending peak supply of fossil fuels, calls for development of new power source. The rapid price drops for solar technologies and combined with international and national policy changes makes solar energy more affordable and accessible for widespread adoption. Solar energy also contributes towards the reduction of greenhouse gas emissions. The combination of electrolysis of water and fuel cells, which use hydrogen as an energy carrier extends the utility of the solar energy. For an integrated solar powered hydrogen production, storage and utilisation system, one of the elements that needs to be designed carefully is the power management system. Power management strategy has a complex function in this type of solar hydrogen system. This paper presents a power management strategy based on fuzzy logic technology to address the problems.     

Production price of hydrogen from grid connected electrolysis in a power market with high wind penetration.

In liberalized power markets, there are significant power price fluctuations due to independently varying changes in demand and supply, the latter being substantial in systems with high wind power penetration. In such systems, hydrogen production by grid connected electrolysis can be cost optimized by operating an electrolyzer part time. This paper presents a study on the minimization of the hydrogen production price and its dependence on estimated power price fluctuations. The calculation of power price fluctuations is based on a parameterization of existing data on wind power production, power consumption and power price evolution in the West Danish power market area. The price for hydrogen is derived as a function of the optimal electrolyzer operation hours per year for four different wind penetration scenarios. It is found to amount to 0.41–0.45 €/Nm³. The study further discusses the hydrogen price sensitivity towards investment costs and the contribution from non-wind power sources.     

Analytical model for predicting the performance of photovoltaic array coupled with a wind turbine in a stand-alone renewable energy system based on hydrogen

We present the results of an analysis of the performance of a photovoltaic array that complement the power output of a wind turbine generator in a stand-alone renewable energy system based on hydrogen production for long-term energy storage. The procedure for estimating hourly solar radiation, for a clear sunny day, from the daily average solar insolation is also given. The photovoltaic array power output and its effective contribution to the load as well as to the energy storage have been determined by using the solar radiation usability concept. The excess and deficit of electrical energy produced from the renewable energy sources, with respect to the load, govern the effective energy management of the system and dictate the operation of an electrolyser and a fuel cell generator. This performance analysis is necessary to determine the effective contribution from the photovoltaic array and the wind turbine generator and their contribution to the load as well as for energy storage.