Economic Value of Power-to-Hydrogen Conversion System in Flexibility of Medium-Voltage Distribution Network (MV-DN)

This study analysed the potential role of P2G systems to solve congestion issues. The main conclusions from this research were:

  • Electrolyzers are able to play positive role in reducing congestion in the MV-DV in case of receiving incentives.  
  • From system point of view, dynamic electricity prices as incentives have positive influence on improving net operation revenue. 
  • Developing of electrolyzer in medium-voltage distribution grid for reducing congestion can be cost-effective when the integration level of RES is high enough. 
  • Electrolyzers require more operation hours in order to be cost-effective when the number of flexibility providers increases in the grid. 
  • The proposed dynamic price for the particular electrolyzer reduces when the number of flexibility providers increases in the grid. ​
  • A break-even point for electrolyzer in terms of the needed RES integration level can be varied in different electrolyzer’s installed capacities, locations, and types of renewable energy sources.​
  • Installing electrolyzer up to a certain extent can contribute to reduction in the system cost.​
  • Despite of proposing dynamic prices, additional remuneration is required to maintain an operation of electrolyzer cost-effective. ​
  • According to this project’s assumption, converting power to heat through electrical boiler reduces the system cost more than converting power to hydrogen through electrolyzer. ​
  • Proposing incentives in MV-DN can have an influence on local heat prices in both directions (Incremental, decremental) in the integrated energy system