Co-generation of hydrogen from nuclear and wind: the effect on costs of realistic variations in wind capacity and power prices

Can electricity from high-capacity nuclear reactors be blended with the variable output of wind turbines to produce electrolytic hydrogen competitively? Future energy hopes and emissions reduction scenarios place significant reliance on renewables, actually meaning largely new wind power both onshore and offshore. The opportunity exists for a synergy between high capacity factor nuclear plants and wind power using hydrogen by both as a 'currency' for use in transportation and industrial processing. But this use of hydrogen needs to be introduced soon. To be competitive with alternative sources, hydrogen produced by conventional electrolysis requires low-cost electricity (likely <2.5 Cent US/kW.h). One approach is to operate interruptibly allowing an installation to sell electricity when the grid price is high and to make hydrogen when it is low. Our previous studies have shown that this could be a cost-competitive approach with a nuclear power generator producing electricity around 3 Cent US/kW.h. Although similar unit costs are projected for wind-generated electricity, idleness of the hydrogen production (electrolysis) facility due to the variability of wind generated electricity imposes a serious cost penalty. This paper reports our latest results on the potential economics of blending electricity from nuclear and wind sources by using wind-generated power, when available, to augment the current through electrolysis equipment that is primarily nuclear-powered. A voltage penalty accompanies the higher current. A 10% increase in capital cost for electrolysis equipment enables it to accommodate the higher rate of hydrogen generation, while still being substantially cheaper than the capital cost of wind-dedicated electrolysis. Real-time data for electricity costs have been combined with real-time wind variability in our NuWind model. The variability in wind fields between sites was accommodated by assuming an average wind speed that produced an average electricity generation from wind of around 33% of peak capacity, which is typical of the expectations for most wind-generation sites. The results show the support of wind power by nuclear energy, and competitive hydrogen costs in the near term for a feasible generation mix. (authors)