article · Solar Compass
Transitioning to sustainable energy is critical for meeting low-carbon goals and addressing growing power demands in Ghana. Generating green hydrogen through solar photovoltaic installations offers an alternative energy pathway. An economic assessment of a proposed 5 megawatt decentralised green hydrogen production plant in Accra examined the levelised cost of hydrogen. At present, the production cost stands at approximately 9.49 US dollars per kilogram, aligning with regional figures across Sub-Saharan Africa. Future projections indicate that costs will fall substantially, reaching between 5 and 6.5 dollars per kilogram by 2030, and between 2 and 2.5 dollars per kilogram or less by 2050. These anticipated declines would make solar-generated hydrogen cost-competitive with fossil fuel alternatives, supporting national net-zero emissions targets and broader clean energy transition strategies.
Decarbonising energy supplies requires scalable, clean alternatives to fossil fuels, particularly in regions facing surging demand. Evaluating the production economics of solar-powered green hydrogen clarifies when and how clean fuels can become affordable. These cost projections provide baseline evidence for national energy planners and investors working toward net-zero emissions in developing economies.
The analysis provides techno-economic benchmarks for project developers, investors, and energy planners considering decentralised green hydrogen facilities in Ghana and similar environments. As an assessment of a proposed 5 megawatt facility alongside long-term cost forecasts to 2050, the work reflects early-stage feasibility modelling rather than an operational deployment. Practical commercialisation relies on achieving projected cost reductions over the coming decades to compete against established fossil fuel options.
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Transition to a sustainable energy supply is essential for addressing the challenges of climate change and achieving a low-carbon future. Green hydrogen produced from solar photovoltaic (PV) systems presents a promising solution in Ghana, where energy demands are increasing rapidly. The levelized cost of hydrogen (LCOH) is considered a critical metric to evaluate hydrogen production techniques, cost competitiveness, and economic viability. This study presents a comprehensive analysis of LCOH from solar PV systems. The study considered a 5 MW green hydrogen production plant in Ghana's capital, Accra, as a proposed system. The results indicate that the LCOH is about $9.49/kg, which is comparable to other findings obtained within the Sub-Saharan Africa region. The study also forecasted that the LCOH for solar PV-based hydrogen produced will decrease to $5-6.5/kg by 2030 and $2-2.5/kg by 2050 or lower, making it competitive with fossil fuel-based hydrogen. The findings of this study highlight the potential of green hydrogen as a sustainable energy solution and its role in driving the country's net-zero emissions agenda in relation to its energy transition targets. The study's outcomes are relevant to policymakers, researchers, investors, and energy stakeholders in making informed decisions regarding deploying decentralised green hydrogen technologies in Ghana and similar contexts worldwide.
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DOI: 10.1016/j.solcom.2024.100068
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