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The Future of Hydrogen Chapter 2: Producing hydrogen and hydrogen-based products Box 4. Thermal routes for hydrogen production – a case for nuclear? Heat can be used in various ways in the production of hydrogen. Heat in form of steam is required in the process of steam methane reforming. The electricity consumption of water electrolysis can be reduced by not electrolysing liquid water, but steam, so shifting part of the required energy for the electrolysis from electrical to thermal energy. SOEC is an example of such a high-temperature electrolysis. This means that there is a lot of interest in the scope for integrating heat into hydrogen production and how best to source heat requirements. Potential opportunities exist for places where low-cost heat is available, whether this comes from sources such as waste heat from industrial processes, or from geothermal or solar heat in regions with good resources. Nuclear power plants are another option for the provision of heat for hydrogen production. They could, for example, provide steam for natural gas-based steam methane reforming. Depending on local conditions, using steam from nuclear power could be cheaper than using steam from natural gas, as well as reducing the carbon intensity of the hydrogen produced. It could also provide a useful additional revenue stream for nuclear power plants. Electricity and heat (produced at temperature levels of around 300°C by nuclear power plants) could also be used to provide electricity and steam for SOEC electrolysis. Research is underway to develop materials for SOEC electrolysis that are well suited to the temperature levels of nuclear energy heat sources (US-DOE, 2018). Small modular reactors could also have a role to play in SOEC electrolysis in the future. Six small modular reactors with a combined capacity of 300 MWe could, for example, meet the annual hydrogen demand of a mid-sized ammonia plant (73 000 tonnes of hydrogen per year [tH2/yr]). Exploring non-electric applications for small modular reactors, such as hydrogen, is part of the Joint Use Modular Plant (JUMP) research programme in the United States. In the longer term, advanced nuclear reactors, such as the two industrial prototype high- temperature pebble-bed reactors currently being constructed in China, could also become the heat source for thermochemical water splitting, with some reactor designs having coolant outlet temperatures of 800–1 000°C. Source: US-DOE (2018), “Energy Department announces up to $3.5m for nuclear-compatible hydrogen production”. Costs of hydrogen production from water and electricity The production costs of hydrogen from water electrolysis are influenced by various technical and economic factors, with CAPEX requirements, conversion efficiency, electricity costs and annual operating hours being the most important. CAPEX requirements are today in the range of USD 500–1 400/kWe for alkaline electrolysers and USD 1 100–1 800/kWe for PEM electrolysers, while estimates for SOEC electrolysers range across USD 2 800–5 600/kWe (Table 3). The electrolyser stack is responsible for 50% and 60% of the CAPEX costs of alkaline and PEM electrolysers respectively. The power electronics, gas-conditioning and plant components account for most of the rest of the costs. Future cost reductions will be influenced by innovations in the technologies themselves, (for example the development of less costly materials for electrodes and membranes), and by economies PAGE | 46 IEA. All rights reserved.PDF Image | The Future of Hydrogen 2019
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