Hydrogen in the Power Sector: Limited Prospects in a Decarbonized Electric Grid

The report finds that while burning hydrogen in power plants is technically feasible, it is likely not a cost-effective solution for bulk power production or load following. The authors highlight significant inefficiencies, such as a 24% round-trip efficiency for electrolytic hydrogen, and high costs for necessary geological storage and transport infrastructure. Lifecycle emissions reductions for hydrogen derived from natural gas with carbon capture are limited (averaging 50%) due to upstream methane leaks. The report concludes that clean hydrogen production should be prioritized for heavy industry and transportation rather than the power sector, where clean firm generation (e.g., nuclear, geothermal) or other storage options (e.g., pumped storage hydropower) are generally more economical.

• Burning hydrogen in power plants is technically feasible, as current commercial turbines can operate on hydrogen/natural gas ratios from 30% to 100%, although further R&D is needed to address challenges like NOx emissions, flashback, and stability.
• Large-scale hydrogen use in the power sector requires extensive and likely expensive infrastructure, specifically dedicated transmission pipelines and underground seasonal hydrogen storage (USHS), as existing natural gas infrastructure is often unsuitable due to hydrogen's lower volumetric energy density.
• Electrolytic hydrogen produced from clean electricity has a low round-trip efficiency (RTE) of approximately 24%, meaning 76% of the input clean electricity is lost. This creates high opportunity costs in grids that are not yet fully decarbonized.
• Hydrogen produced from natural gas reforming with carbon capture provides limited lifecycle emissions reductions compared to unabated natural gas, ranging from 20% to 73% with a U.S. average of 50%, because it amplifies the impact of upstream methane leakage.
• The economics of hydrogen in the power sector are unfavorable compared to alternatives: the levelized cost of storage (LCOS) for electrolytic hydrogen (USD 350–470/MWh) is significantly higher than current battery storage (USD 150–170/MWh) and clean firm generation (USD 70–130/MWh).

APA

Wakim, G., & Spokas, K. (2024). Hydrogen in the Power Sector: Limited Prospects in a Decarbonized Electric Grid. Clean Air Task Force. https://cdn.catf.us/wp-content/uploads/2024/05/17132252/hydrogen-power-sector.pdf

Chicago

Wakim, Ghassan, and Kasparas Spokas. Hydrogen in the Power Sector: Limited Prospects in a Decarbonized Electric Grid. Clean Air Task Force, 2024. https://cdn.catf.us/wp-content/uploads/2024/05/17132252/hydrogen-power-sector.pdf.

Wikipedia

{{cite report |last1=Wakim |first1=Ghassan |last2=Spokas |first2=Kasparas |title=Hydrogen in the Power Sector: Limited Prospects in a Decarbonized Electric Grid |publisher=Clean Air Task Force |date=June 2024 |url=https://cdn.catf.us/wp-content/uploads/2024/05/17132252/hydrogen-power-sector.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{wakim2024hydrogen, author = {Wakim, Ghassan and Spokas, Kasparas}, title = {{Hydrogen in the Power Sector: Limited Prospects in a Decarbonized Electric Grid}}, institution = {Clean Air Task Force}, year = {2024}, month = jun, url = {https://cdn.catf.us/wp-content/uploads/2024/05/17132252/hydrogen-power-sector.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }