From plant optimization to economy-wide impacts: A techno-economic and environmentally extended input-output framework for green hydrogen deployment in cement
As the U.S. accelerates industrial decarbonization, understanding the system-wide implications of transitioning hard-to-abate sectors like cement manufacturing is essential. This study presents an integrated techno-economic and Environmentally Extended Input-Output (EEIO) assessment of on-site green hydrogen for the U.S. cement industry. We develop a novel plant-to-economy framework that translates optimized capital expenditures for PV, electrolyzer, and energy storage into national final demand vectors, allowing for a detailed assessment of supply chain propagation, value-added creation, and embodied emissions. By quantifying induced economic and environmental effects, the analysis reveals significant contributions to the national economy, generating over $825 million in output and 4500 jobs at 30% substitution. Results reveal that while the on-site system is economically productive and its up-front 'carbon debt' is repaid within months, it also triggers a significant re-materialization of the economy and presents non-linear cost challenges. The analysis highlights an abatement cost peaking at $461/tCO 2 , a 100-fold increase in hydrogen storage requirements, and a structural shift of the environmental burden to upstream manufacturing and mineral extraction. Although applied to a representative cement plant, the proposed framework is designed to be transferable to other capital-intensive, hard-to-abate sectors where decarbonization planning requires integrated system-level insights. The findings offer policy-relevant guidance for aligning industrial decarbonization strategies with national economic resilience and long-term sustainability goals.
Authors
- Jun‐Ki Choi (ORCID: https://orcid.org/0000-0001-5954-1889)
- Haodong Lin (ORCID: https://orcid.org/0000-0001-9246-2429)
- Anup Paudel
- Aiduan Borrion (ORCID: https://orcid.org/0000-0002-9869-1887)
- Sobit Sapkota (ORCID: https://orcid.org/0009-0000-3513-7646)
Institutions
- University of Dayton (US)
- University College London (GB)
Publication Details
- Journal
- Journal of Cleaner Production
- Published
- 2026-05-01
- DOI
- https://doi.org/10.1016/j.jclepro.2026.148445
- Primary Topic
- Hybrid Renewable Energy Systems
- Type
- article
- Field-Weighted Citation Impact
- 0.00
Funders
- U.S. Department of Energy