Valuation of combined wind power plant and hydrogen storage: A decision tree approach

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This article analyses the profitability of a wind power plant in combination with a hydrogen storage. We distinguish between off- and on-shore locations with a 50 MW unit. The hydrogen of the storage unit can be used to either be re-electrified or directly marketed. The study analyses the profitability of a combination of power-plant and hydrogen storages under different scenarios. The profitability is measured by means of the Decision Tree Approach. This approach allows combining different paths of Discounted Cash Flow calculations under various scenarios and accounts for uncertainties of investment decisions. Our results show that re-electrification is not profitable under any scenario in our framework (Germany). On the contrary, wholesale of hydrogen can lead to positive returns, depending on the underlying parameters, regardless of the location of the power plant.


Original languageEnglish
Title of host publication2017 14th International Conference on the European Energy Market (EEM)
PublisherIEEE Xplore
Number of pages6
ISBN (electronic)978-1-5090-5499-2
ISBN (print)978-1-5090-5500-5
Publication statusPublished - 14 Jul 2017

Publication series

SeriesInternational Conference on the European Energy Market, EEM


Title14th International Conference on the European Energy Market
Abbreviated titleEEM 2017
Conference number14
Duration6 - 9 June 2017
Degree of recognitionInternational event
LocationTechnische Universität Dresden

External IDs

Scopus 85027184240
ORCID /0000-0003-4359-987X/work/142255155



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