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The seasonal storage of natural gas is a recognized and reliable technology in the energy industry. Salt caverns are particularly suitable for storing alternative gaseous fuels such as hydrogen. Germany has a great technical potential for expanding its cavern storage capacity, which exceeds the expected demand for hydrogen many times. Regarding the projected long-term decline in natural gas use, the question arises as to whether existing caverns can meet future storage requirements. To this end, a techno-economic model is presented to meet electricity and hydrogen demand in a cost-optimal solution. This analysis focused on the utilization of hydrogen storage in terms of energy throughput and maximum storage capacity. To link the outcome of economic dispatch to the literature, the fundamental assumptions are based on comprehensive capacity expansion models. This study advances the state of the art by evaluating key input parameters of the future energy system. By conducting 192 model runs, the analysis revealed the range of uncertainty in terms of storage use. This indicates a strong dependence of the systemic and economic value of hydrogen storage on boundary conditions such as a consideration of dark doldrums, a flexible hydrogen demand profile, hydrogen import restrictions and a larger electrolyzer capacity. The uncertainty ranged from 0 to 67 TWhH2 for the storage capacity, with an average of 36.6 TWhH2 across all scenarios, and from 0 to 190 TWhH2 for the annual energy throughput. These results are significant for gas storage operators who derive transformation strategies and policymakers evaluating financial funding requirements.
Chlor-alkali electrolysis indicates significant demand response potential, accounting for over 2% of Germany’s total electricity demand. To fully analyze this potential, digital models or digital twins are necessary. In this study, we use the IRPopt modeling framework to develop a digital model of an electrolysis process and examine the cost-optimal load shifting application in the day-ahead spot and balancing reserve market for various price scenarios (2019, 2030, 2040). We also investigate the associated CO 2 emissions. Combined optimization at both markets results in greater and more robust cost savings of 16.1% but cannibalizes the savings that are possible through optimization separately at each market. In future scenarios, the shares of savings from spot and reserve market could potentially reverse. CO 2 savings between 2.5% and 9.2% appear only through optimization at the spot market and could even turn negative if optimized solely at the reserve market.
Chlor-alkali electrolysis plays a significant role in Germany's electricity demand, with a share of >2%. It offers a promising avenue for leveraging demand response strategies. In times of escalating electricity prices, load shifting can help to maintain economic competitiveness of domestic industries. This study aims to assess the potential for electricity cost savings and related CO2 emission reductions through optimal load shifting practices for chlor-alkali electrolysis, considering both current and projected future electricity prices. The research employs the mixed-integer energy system modeling framework IRPopt to model and optimize a chlorine value chain under various scenarios. A sensitivity analysis is conducted to identify the primary factors driving electricity cost savings. The findings reveal that, based on the 2019 electricity price distribution (before pandemic and energy crisis), load shifting can yield electricity cost savings of 5.8% and CO2 emission reductions of 2.7%. As the share of variable renewable energy sources increases along with other driving factors, the electricity price spread is projected to rise from 28% in 2019 to an average of 87% in 2040 scenarios. Consequently, electricity cost savings rise up to 22% and CO2 emission reductions up to 10%. The primary drivers behind electricity cost savings include electricity price spreads and the utilization and operating range of the electrolyzer. In addition to the business-level advantages, the resulting decrease in residual load and lower CO2 emissions contribute to the integration of variable renewable energy sources and the achievement of decarbonization targets at the economic level.
