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Off‐Grid Renewable Hydrogen Systems in Australia: A Multi‐Regional Techno‐Economic and Environmental Evaluations
Journal article   Open access   Peer reviewed

Off‐Grid Renewable Hydrogen Systems in Australia: A Multi‐Regional Techno‐Economic and Environmental Evaluations

Tushar Kanti Roy, Sajeeb Saha and Md Apel Mahmud
IET Renewable Power Generation, Vol.20(1), pp.1-27
2026
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IET Renewable Power Gen - 2026 - Roy - Off‐Grid Renewable Hydrogen Systems in Australia A Multi‐Regional Techno‐Economic3.33 MBDownloadView
Published VersionCC BY V4.0 Open Access

Abstract

energy transition in Australia hybrid renewable energy systems lifecycle emissions assessment off-grid hydrogen production techno-economic optimization
Green hydrogen (H 2 ), produced from standalone hybrid renewable energy systems, is increasingly recognized as a sustainable substitute for diesel in remote regions. Despite substantial progress, most existing studies are limited to site‐specific analyses and lack systematic regional comparison, making it difficult to generalize techno‐economic and environmental outcomes. To address this gap, this work develops a reliability‐constrained techno‐economic and environmental evaluation framework for off‐grid renewable hydrogen production and applies it to twelve representative regions across Australia using hourly time‐series simulations over a full annual horizon. The proposed framework integrates solar photovoltaic generation, wind energy, lithium‐ion battery storage, proton‐exchange‐membrane electrolysers, hydrogen storage tanks and power conversion units within a unified modelling structure. System performance is assessed using standardized indicators, including levelized cost of hydrogen (LCOH), net present cost, internal rate of return (IRR) and lifecycle emissions. The results reveal strong regional variability driven primarily by renewable resource quality and hydrogen demand scale. Among the assessed regions, Pilbara achieves the lowest LCOH of $2.92/kg and the highest IRR of 7.08%. From an environmental perspective, renewable hydrogen systems reduce lifecycle emissions by up to 95% compared with conventional grey hydrogen pathways. Sensitivity analysis further identifies electrolyser capital cost and solar capacity factor as the dominant drivers of economic competitiveness. Overall, the proposed framework enables transparent cross‐regional comparison of off‐grid renewable hydrogen systems and provides decision‐relevant insights for policymakers and investors to prioritize cost‐effective, low‐carbon hydrogen deployment in remote applications.

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