Title page

Contents

Abstract 6

1. Introduction 8

2. Model Introduction 10

2.1. Uses 13

3. Model Formulation 14

3.1. Model Sets 14

3.2. Model Decision Variables 15

3.2.1. Renewable hydrogen production 15

3.2.2. Renewable hydrogen trade route 16

3.2.3. Hydrogen gas pipeline size in a trade route 16

3.2.4. Number of ships on a trade route 16

3.3. Model Parameters 17

3.4. Objective Function 18

3.4.1. Hydrogen production costs 18

3.4.2. Transportation costs: Hydrogen pipeline network 19

3.4.3. Transportation costs: Liquefied hydrogen shipping 21

3.4.4. Transportation costs: Ammonia shipping 25

3.5. Constraints 27

3.5.1. Maximum renewable hydrogen production constraint 27

3.5.2. Supply and demand balance constraint 28

3.5.3. Maximum hydrogen transportation capacity constraint 28

3.5.4. Minimum hydrogen trade constraint 29

3.5.5. Single pipeline constraint 30

3.5.6. Pipeline preference constraint 30

4. Accounting for Pipeline Diameters 31

5. Renewable Hydrogen Cost Curves as Inputs 33

6. Limitations and Options for Future Development 39

7. References 41

Table 1. MIGHTY model sets and indices 15

Table 2. Decision variables of MIGHTY 16

Table 3. MIGHTY parameters 17

Table 4. Hydrogen pipeline diameters 31

Table 5. Assumptions for economic renewable electricity generation potentials 33

Table 6. Renewable energy technology economic inputs 34

Table 7. Electrolysis input parameters 35

Figure 1. Schematic representation of liquefied hydrogen shipping 21

Figure 2. Schematic representation of ammonia shipping 25

Figure 3. Hydrogen transportation costs by pipeline 32

Figure 4. Renewable hydrogen cost curves in selected European Union countries 37

Figure 5. Renewable hydrogen cost curves in European Union regional and long-distance partners 38