Value of hydrogen-based electricity storage

Ea Energy Analyses has analysed the potential value of the Green Hydrogen Hub (GHH) concept for Gas Storage Denmark. The concept combines electrolysers, hydrogen storage and compressed-air energy storage, thereby enabling flexible use and generation of electricity.

The analysis focused on the following questions:

• What is the socio-economic effect for Denmark and the surrounding energy system of establishing GHH?
• How does GHH affect the energy system?
• Which additional potential benefits in terms of system services, short term balancing and other security of supply can arise from GHH that are not captured in an analysis of the hourly Day-ahead market?

Analyses have been carried out using the power system model Balmorel. The GHH project is meant to act as a pilot project for both large scale flexible hydrogen production and flexible power generation. In the initial phase, GHH will act as electricity storage in the Danish Power system.

The analysis was carried out between September and December 2020.