Work-in-Progress: A Revenue Assessment Framework for Hydrogen Production in Power Systems

This paper introduces a framework for evaluating profits and operations in hydrogen production within the context of power system operation. The model quantifies the annual revenue achieved by a hydrogen hub with a co-located wind plant, while engaging in the electric energy and gas sectors. This study differs from numerous prior research efforts that focus on a single feed-stock technology. Instead, it utilizes the marginal cost of electricity from an electricity market as a technology-neutral energy source and considers the sale of energy in the spot market and the sale of hydrogen to the gas market. The proposed model is formulated as a mixed-integer linear programming problem to account for the various operating modes, including hydrogen production, storage and delivery, hydrogen-fueled generation and wind power generation. Lastly, a detailed case study is analyzed.