Economic Analysis
Understanding the Levelized Cost of Hydrogen (LCOH) and the path to cost-competitive green hydrogen.
Current Cost Landscape
The current cost of green H2 ranges from 3.75–6 USD/kg, which is higher than fossil fuel alternatives (1.5–2 USD/kg). The primary cost drivers are electrolyzer CAPEX (25-40% of upfront cost) and renewable energy variability.
Current Green H2 Cost
$3.75 - $6.00 / kg
Fossil H2 Cost
$1.50 - $2.00 / kg
2031 Target
$1.00 / kg
US DOE "Hydrogen Shot" goal to reduce cost by 80% within a decade.
Path to Cost Reduction
Scale-up Manufacturing
Projected cost reduction by 2030 through gigawatt-scale electrolyzer manufacturing and automation.
Technological Innovation
Improvements in stack efficiency, zero-gap designs, and durable materials (like porous metal oxides) to extend lifetime.
Hybrid Integration
Optimizing the mix of PV, wind, and grid power to maximize electrolyzer utilization rates and minimize LCOH.
LCOH Estimator
$0.050 / kWh
$1000 / kW
50 kWh / kg H2
Estimated LCOH
$2.52
per kg of Hydrogen
Based on 25kW Alkaline System Model