A techno-economic appraisal of hydrogen generation and the case for solid oxide electrolyser cells

There is significant interest in alternatives to fossil fuels in order to reduce carbon dioxide emissions. One option is the use of hydrogen in applications such as fuel cells. There are various routes to the production of hydrogen, one being via the electrolysis of water. Water electrolysers are already operational within industry on a small-scale, accounting for 4% of world hydrogen production. These electrolysers operate at low temperatures and require electrical power input that has been shown to be costly due to the limited efficiency of the electrolysis process. However, the use of high temperature solid oxide electrolyser cells (SOECs) has the potential to generate hydrogen with a higher electrical efficiency which may allow electrolysis to become cost competitive with steam methane reforming (SMR), depending on where the heat and electrical power to service the SOEC comes from. This paper examines the various routes to hydrogen production and, in particular electrolysis technologies. The cost of hydrogen production is examined in the context of the source of the electricity and the efficiency of the electrolysis process compared to SMR generation. It is found that to become cost competitive with SMR, the lowest cost electricity is required, sourced either from nuclear or combined cycle gas turbine plants with electrolysis efficiency as high as possible, meaning that SOEC technology is particularly attractive.