Levelised cost of green hydrogen
This dataset provides a means by which the levellised cost of green hydrogen (LCOH) can be determined and analysed across a range of possible operating scenarios and capital cost curves over time. The LCOH will be a key factor in the extent to which green hydrogen can be cost-effectively deployed for heat and industrial decarbonisation. We have carried out analysis of recent sources on hydrogen electrolyser capex and developed a range of benchmarks of potential electrolyser costs out to 2050. These feed the modelling of the levelised cost under a range of assumptions for the electolyser capacity factor, electricity price, and financing cost. The levelised cost of green hydrogen is also compared with modelled costs for blue hydrogen production assuming autothermal reforming with carbon capture and storage technology.
The levelised cost of hydrogen is calculated by dividing the sum of the net present value (NPV) of total costs of building and operating a hydrogen producing plant, by the sum of the net present value of expected hydrogen production over the lifetime of a project. The levelised cost calculation broadly follows the methodology detailed in Electricity generation costs 2023, Department for Energy Security and Net Zero.
The higher heating value (HHV) is used to express the hydrogen equivalent in terms of kW, kWh, MW and MWh. For example, capital costs for electrolysers are presented in both £/kWe (i.e., input electricity) and £/kW H2 HHV (i.e., hydrogen output yield). The levelised costs are presented in both £/MWh and £/kg of hydrogen produced, where 1 MWh H2 HHV = 25.4 kg H2. All cost estimates are in 2024 real values.
The dataset contains the following files:
Capex and opex input assumptions for PEM and Alkaline electrolyser systems: This data is based on analysis conducted by the Strategic Futures team. The benchmark capex figures are presented for 3 scenarios for proton-exchange membrane (PEM) and Alkaline electrolysis and are derived from a combination of NESO's own analysis, and aggregation of available public and third party data (see list of sources below).
Sources:
- Bloomberg NEF
- Wood Mackenzie
- Aurora Energy Research
- IEA (2024), Global Hydrogen Review 2024, International Energy Agency
- Danish Energy Agency (2024), Renewable Fuels - Technology Data, Danish Energy Agency
- TNO (2024), Evaluation of the levelised cost of hydrogen based on proposed electrolyser projects in the Netherlands, TNO Public
Levelised cost of green hydrogen modelling, 2025 to 2050: This data represents the cost of producing green hydrogen under varying assumptions. It takes as input the capex and opex assumptions contained in the data file described above.
Levelised cost of blue hydrogen modelling, 2025 to 2050: This data represents calculations of the levelised cost of blue hydrogen production assuming autothermal reforming plus carbon capture and storage technology.
Please refer to the individual data file descriptions for more information.
Note: This dataset is not currently used in any other NESO publications.
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3 Data Files
| Name | Format | Last Changed Sort ascending | Download | Explore |
|---|---|---|---|---|
| Levelised cost of green hydrogen modelling, 2025 to 2050 | CSV | 13 hours ago | Download (CSV) | view |
| Capex and opex input assumptions for PEM and Alkaline electrolyser systems | CSV | 13 hours ago | Download (CSV) | view |
| Levelised cost of blue hydrogen modelling, 2025 to 2050 | CSV | 1 day ago | Download (CSV) | view |
Additional Information
| Field | Value |
|---|---|
| Date Created | March 20, 2025 at 10:24 AM (UTC+00:00) |
| Rights | NESO Open Data Licence |
| Update frequency | Ad hoc |
cURL integration
# Get a list of dataset's resources
curl -L -s https://api.neso.energy/api/3/action/datapackage_show?id=levelised-cost-of-green-hydrogen | grep path
# Get resources
curl -L https://api.neso.energy/dataset/36f600ae-56cb-41b4-adee-6dbd05df6668/resource/cc2dad0c-393c-4ae0-ae67-a98703169ad4/download/green_h2_lcoh_modelled_results_2025_to_2050.csv
curl -L https://api.neso.energy/dataset/36f600ae-56cb-41b4-adee-6dbd05df6668/resource/88cfa584-db79-4573-a0c0-c14086257f8f/download/electrolysers_capex_and_opex_inputs.csv
curl -L https://api.neso.energy/dataset/36f600ae-56cb-41b4-adee-6dbd05df6668/resource/3f3b1bf0-4664-494f-a501-a39adabecd0d/download/blue_h2_lcoh_modelled_results_2025_to_2050.csv