Techno-economic analysis of a potential energy trading link between Patagonia and Japan based on CO2 free hydrogen

With regard to the Fukushima Daiichi accident in 2011 and Japan's goal to reduce CO₂ emission, the Japanese government strives for an emission free “hydrogen society” in which hydrogen will be the primary energy medium. The import of hydrogen generated by means of CO₂ free wind electricity from overseas can be a promising option for Japan's prospective energy supply. Besides different other factors like specific costs of electrolyzers and hydrogen shipment over long distances, the economically reasonable export of hydrogen based on renewable energy requires low levelized costs of electricity. Within the scope of this study, the underlying idea of a hydrogen supply chain is taken up and revisited by means of a spatially highly resolved wind energy potential analysis and a detailed investigation of the supply chain elements between Patagonia and Japan.Our analysis reveals that approximately 25% of the total land area in Patagonia would be eligible. Approx. 33,000 turbines with a minimum number of 4500 full-load hours with an overall capacity of about 115 GW can be positioned. Taking into consideration the related average number of 4750 full-load hours and an electrolysis efficiency of 0.7, this leads to a potential production of about 11.5 million tons/year of hydrogen. So the wind power potential of Patagonia would theoretically be sufficient for the assumed Japanese hydrogen demand of 8.83 million tons/year. The total hydrogen pretax cost would amount to approx. 4.40 €/kg_H2 at a liquid state at the harbor of Yokohama. Hence, the final specific costs of hydrogen in Japan depend on the expansion of wind power in Patagonia and therefore hydrogen based on wind energy can be cost-competitive to conventional fuels.