My thesis aims to investigate and answer the question: What is the levelized cost of hydrogen storage (LCOHS) in salt caverns in the EU, and how will it develop in the future? The research status on this topic is currently limited; LCOHS assessments are theoretical. Storing hydrogen in salt caverns is a method with confined experience. Currently, several research projects are being conducted and have been conducted throughout Europe. Therefore, the theoretical nature of the topic of salt cavern hydrogen storage will be eased in the coming years and decades.
The research question will be investigated in the following way: The first chapter will provide an overview of essential technical aspects, provide insight into the economics of salt cavern storage, and present the geological storage potential in the EU and Europe. After having provided a basis for the topic, the next step will be to outline storage facilities that will be used to investigate the LCOHS in salt caverns. Important aspects are the utilization of storage facilities and the components of a storage facility. The workflow of storing hydrogen will be presented, along with explanations of why specific components are needed and their purpose. With the knowledge and insights gained up to this point, it is possible to enrich the presented components with cost estimates. Cost estimates, how they have been obtained, and further input data will be delivered next. Having combined all the necessary information, the LCOHS is calculated. The levelized cost of hydrgen storage is used to identify the true cost of a storage technology. It takes into account the technical lifetimes of the components, capital costs, and operating and maintenance costs. It calculates the total cost of a storage technology per delivered output unit. LCOHS represents a hydrogen storage facility's average net present cost over its lifetime. LCOHS estimates will then be discussed and put into perspective. With the calculated LCOHS values, possible future developments of the LCOHS will be investigated based on technological learning and price developments.
Table of Contents
- Introduction
- Literature Review
- Technical and geological aspects of salt cavern storage
- Economics of salt cavern storage
- European salt formations and storage potential
- Methodology
- Structure
- Scope and components
- Utilization of storage facilities
- Discussion
- Levelized cost of hydrogen storage
- Methodology
- Construction cost of salt caverns
- Salt caverns high-frequency cycling and seasonal cycling
- Salt caverns high-frequency cycling and seasonal cycling - Retrofitted
- Results and Discussion
- Above-ground components - CAPEX and OPEX
- Base case components
- Industry and mobility components
- Ng-grid injection components
- Re-electrification components
- LCOHS calculations
- Further input data
- Results and further aspects
- LCOHS literature estimates
- Future LCOHS developments
- Methodology
- Data input
- Results and discussion
Objectives and Key Themes
This thesis empirically assesses the cost and cost development of hydrogen storage in geological formations within the European Union, focusing on salt cavern storage. The main objective is to provide a detailed cost analysis of this technology, considering various scenarios and influencing factors. * Cost analysis of salt cavern hydrogen storage * Assessment of different operational scenarios (high-frequency vs. seasonal cycling) * Evaluation of the impact of various components (above-ground and subsurface) on overall costs * Exploration of future cost development based on technological advancements and market trends * Comparison with existing literature estimates on LCOHS (Levelized Cost of Hydrogen Storage)Chapter Summaries
Introduction: This chapter will likely provide background information on the importance of hydrogen storage for the energy transition, highlighting the role of geological formations like salt caverns and the context of EU energy policy. It sets the stage for the research question and outlines the structure of the thesis. Literature Review: This section reviews existing literature on the technical and economic aspects of salt cavern hydrogen storage, including geological considerations, cost estimations from previous studies, and an overview of European salt formations and their potential for hydrogen storage. It establishes the current state of knowledge and identifies gaps the thesis aims to address. Methodology: This chapter details the research methodology employed in the study. It outlines the structure of the cost model, the parameters considered, the data sources utilized, and the approach taken to analyze cost development. This may involve defining specific scenarios and approaches to modeling both CAPEX and OPEX. It is crucial in ensuring the replicability and validity of the findings. Levelized cost of hydrogen storage: This chapter presents the core findings of the thesis. It presents a detailed breakdown of the levelized cost of hydrogen storage (LCOHS) for salt caverns, considering different scenarios such as new construction versus retrofitting, high-frequency versus seasonal cycling, and various above-ground components relevant to different applications (industry, mobility, grid injection, re-electrification). It compares calculated LCOHS figures with estimates found in the literature review and offers a discussion of the results, highlighting key cost drivers and their implications. Future LCOHS developments: This chapter explores potential future cost developments of salt cavern hydrogen storage based on anticipated technological advancements and changes in external factors such as hydrogen and electricity prices. It might utilize scenarios to model the impact of learning effects, technological improvements in construction and operation, and shifting market dynamics on future LCOHS.Keywords
Hydrogen storage, salt caverns, geological formations, levelized cost of hydrogen storage (LCOHS), cost analysis, CAPEX, OPEX, energy transition, renewable energy, EU energy policy, high-frequency cycling, seasonal cycling, technological learning, cost reduction, economic feasibility.
Frequently asked questions
What is the document about?
The document is a language preview of a thesis focusing on the cost analysis of hydrogen storage in geological formations, specifically salt caverns, within the European Union. It includes the title, table of contents, objectives, key themes, chapter summaries, and keywords.
What is the main objective of the thesis?
The main objective is to provide a detailed cost analysis of hydrogen storage in salt caverns, considering various scenarios and influencing factors. This includes assessing different operational modes (high-frequency vs. seasonal cycling), evaluating the impact of various components (above-ground and subsurface) on overall costs, exploring future cost developments, and comparing the findings with existing literature.
What topics are covered in the table of contents?
The table of contents covers the following topics: Introduction, Literature Review (technical/geological aspects, economics, European salt formations), Methodology, Levelized Cost of Hydrogen Storage (LCOHS) calculation (construction costs, above-ground components, input data, literature estimates), and Future LCOHS Developments.
What are the key themes of the thesis?
The key themes include: Cost analysis of salt cavern hydrogen storage, Assessment of different operational scenarios (high-frequency vs. seasonal cycling), Evaluation of the impact of various components on overall costs, Exploration of future cost development, and Comparison with existing literature estimates on LCOHS.
What does the Literature Review cover?
The Literature Review covers existing research on the technical and economic aspects of salt cavern hydrogen storage, geological considerations, cost estimations from previous studies, and an overview of European salt formations and their storage potential.
What methodology is used in the thesis?
The methodology involves detailing the structure of the cost model, the parameters considered, the data sources utilized, and the approach taken to analyze cost development. It includes defining specific scenarios and modeling both CAPEX and OPEX to ensure replicability and validity of the findings.
What is LCOHS and how is it analyzed in the thesis?
LCOHS stands for Levelized Cost of Hydrogen Storage. The thesis presents a detailed breakdown of LCOHS for salt caverns, considering scenarios such as new construction versus retrofitting, high-frequency versus seasonal cycling, and various above-ground components. It compares calculated LCOHS figures with literature estimates and discusses key cost drivers and their implications.
How are future cost developments explored?
The thesis explores potential future cost developments of salt cavern hydrogen storage based on anticipated technological advancements and changes in external factors such as hydrogen and electricity prices. Scenarios are used to model the impact of learning effects, technological improvements, and shifting market dynamics on future LCOHS.
What are the key words associated with the thesis?
The keywords include: Hydrogen storage, salt caverns, geological formations, levelized cost of hydrogen storage (LCOHS), cost analysis, CAPEX, OPEX, energy transition, renewable energy, EU energy policy, high-frequency cycling, seasonal cycling, technological learning, cost reduction, economic feasibility.
- Quote paper
- Leon Jaschinski (Author), 2024, Hydrogen storage in geological formations in the EU. An empirical assessment of cost and cost development, Munich, GRIN Verlag, https://www.grin.com/document/1582567
