Techno-economic assessment of green hydrogen production via PEM electrolysis and integrated water treatment using hydropower energy

Abstract Hydrogen is an emerging renewable energy source that plays a crucial role in the transition toward reducing carbon emissions. Despite growing global demand, green hydrogen, produced via water electrolysis using renewable energy, accounts for only 0.1% of total hydrogen output. This study investigates green hydrogen production via proton exchange membrane (PEM) electrolysis using both energy and feedwater sourced from the Musi Hydropower Plant in Indonesia. A 2 MW PEM electrolyzer system was modeled in Aspen Plus, while a water treatment system combining ultrafiltration and reverse osmosis was simulated using WAVE software to ensure water quality compliance standards for PEM electrolysis. The simulation results show that the PEM system can produce 32.98 kg/h of hydrogen, with an estimated annual production of 480 983.6 kg across three electrolyzers. The ultrafiltration-reverse osmosis system effectively reduced water conductivity from 110 µS/cm to 0 µS/cm, achieving the required purity for electrolysis. The total capital expenditure for the system is $7.16 million, and the annual operational expenditure is $2.18 million. The levelized cost of hydrogen is calculated at $7.8/kg, primarily influenced by electricity consumption costs and the initial investment required for the electrolyzer stack and balance of plant.