TECHNO-ECONOMIC ASSESSMENT OF GREEN HYDROGEN IN THE GLOBAL ENERGY TRANSITION: INVESTMENT TRENDS, MARKET COMPETITIVENESS, AND FUTURE PROSPECTS
Abstract
The global transition toward low-carbon energy systems has increased interest in green hydrogen as a promising solution for industrial decarbonization, renewable-energy integration, and sustainable economic development. This study evaluated the techno-economic feasibility, investment trends, market competitiveness, environmental sustainability, and future prospects of green hydrogen production. A secondary-data-based analytical framework was applied, incorporating production-cost assessments, regional comparisons, electricity-price sensitivity analysis, and environmental performance evaluations. Global hydrogen demand exceeded 100 million tonnes in 2025, while low-emissions hydrogen represented less than 1% of total production. Installed electrolysis capacity exceeded 4 GW, reflecting increasing technological deployment. Sensitivity analysis demonstrated that increasing electricity prices from USD 20 to 60/MWh raised electricity expenditure from USD 1.10 to 3.30/kg H₂, representing a 200% increase. Regional electrolyser installation costs ranged from USD 600–1,200/kW in China to USD 2,000–2,600/kW elsewhere. Global investment in low-emissions hydrogen reached approximately USD 7 billion in 2025. Environmental scenario calculations indicated potential annual emissions savings of 73,000–116,000 tonnes CO₂-equivalent when replacing 10,000 tonnes of conventional hydrogen. Despite these opportunities, high production costs, infrastructure limitations, and investment uncertainties remain significant challenges. Overall, technological innovation, affordable renewable electricity, and supportive policies are essential for improving green hydrogen competitiveness and accelerating sustainable energy transitions.
Keywords: Green hydrogen; Techno-economic assessment; Energy transition; Investment trends; Market competitiveness.
https://doi.org/10.5281/zenodo.23808999
