Hydrogen Production through Water Electrolysis Using Power from Renewables

Hydrogen Production through Water Electrolysis Using Power from Renewables

Project Summary

Budget

Up to 70 billion yen

CO2 Reduction Effect (World)

In 2030
Approximately 40 million tons/year
In 2050
Approximately 1,520 million tons/year

Economic Effect (World)

In 2030
Approximately 0.4 trillion yen
In 2050
Approximately 4.4 trillion yen

Research and Development Targets

Electrolyzer capital cost

In 2030
Alkaline 52,000 yen/kW
PEM 65,000 yen/kW

Assumptions regarding estimates of CO2 reduction effect and economic effect

  • Hydrogen produced by electrolyzers is expected to mainly be used for heating.
  • Hydrogen is expected to replace imported natural gas, which emits less CO2 than other fossil fuels such as oil and coal, with equivalent heat values.
  • Estimates of hydrogen production have been calculated on the basis of the assumption that electrolyzers with the following capacities will operate at the rate used for Germany’s national hydrogen strategy:
    In 2030: 70 GW (total value from major countries and regions which have established targets for the installation of electrolyzers).
    In 2050: On average, electrolyzers are expected to be installed at the rate of 88 GW/year.
  • Estimates of economic impacts have been calculated using the following costs for electrolyzer installation:
    In 2030: 58,500 yen/kW
    In 2050: 50,000 yen/kW