A Cost Comparison Study for Hydrogen Production between Conventional and Renewable Methods

Energy systems are undergoing rapid change as the world responds to climate change. Many policymakers may ask, what will be the next great energy source for a low-carbon future? All indications so far point to hydrogen energy. Although it is anticipated that costs will likely fall as the hydrogen production scale increases, it may be reported that the high technology costs remain a barrier to the widespread shift towards hydrogen. This paper presents hydrogen production costs for various production methods for different regions across the world, including the USA, the Middle East, Europe, India, and Canada. The costs of hydrogen production from biomass gasification, coal gasification, and natural gas reforming are compared, revealing the varying costs across different regions. Moreover, the production of green hydrogen from renewable energy sources is also presented, and compared with conventional methods. It highlights that while green hydrogen is environmentally sustainable, its production remains cost-intensive compared to integrated processes. Notably, the Middle East and India demonstrate the most economical production costs for both electrolysis and nuclear-based processes, while Europe shows the highest costs. The information presented in this paper could be helpful for researchers and policymakers to make informed decisions regarding the necessary aspects that still need to be investigated, to help with the transition into a hydrogen energy future.