Renewable electricity costs are falling
Green hydrogen costs approaching $3/kg
Falling prices for wholesale electricity generation and electrolysers are helping green hydrogen approach the costs of the grey variety in some regions
New plants coming online in the US could produce green hydrogen at $3.29/kg, according to analysis by investment bank Lazard. Lazard has undertaken an analysis of the levelised cost of hydrogen in an effort to provide greater clarity to those in the industry on the potentially disruptive role of the fuel. There are a number of important factors that affect the cost of hydrogen—the Lazard analysis focuses on electrolysers and electricity, and did not analyse conversion, shipping, transport or additional investment costs. Electricity represents 40-70pc of the levelised cost to produce hydrogen from electrolysers with a capacity of over 20MW, with the cost and utilisation rate of the electrolys
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