Technical–Economic Analysis of Renewable Hydrogen Production from Solar Photovoltaic and Hydro Synergy in a Pilot Plant in Brazil

Renewable hydrogen obtained from renewable energy sources, especially when produced through water electrolysis, is gaining attention as a promising energy vector to deal with the challenges of climate change and the intermittent nature of renewable energy sources. In this context, this work analyzes a pilot plant that uses this technology, installed in the Itumbiara Hydropower Plant located between the states of Goiás and Minas Gerais, Brazil, from technical and economic perspectives. The plant utilizes an alkaline electrolyzer synergistically powered by solar photovoltaic and hydro sources. Cost data for 2019, when the equipment was purchased, and 2020–2023, when the plant began continuous operation, are considered. The economic analysis includes annualized capital, maintenance, and variable costs, which determines the levelized cost of hydrogen (LCOH). The results obtained for the pilot plant’s LCOH were USD 13.00 per kilogram of H2, with an efficiency loss of 2.65% for the two-year period. Sensitivity analysis identified the capacity factor (CF) as the main determinant of the LCOH. Even though the analysis specifically applies to the Itumbiara Hydropower Plant, the CF can be extrapolated to larger plants as it directly influences hydrogen production regardless of plant size or capacity.