Optimal utilization of energy from offshore wind
The Ministry of Petroleum and Energy has appointed Sørlige Nordsjø II as an area for offshore wind deployment. This area is far from the shore, but production of hydrogen by electrolysis may be an opportunity.
The report describes the state of the art of offshore wind and hydrogen production in Norway and Europe, in addition to describing the current regulations in Norway. Additionally, the potential for power production from offshore wind in The North Sea and Sørlige Nordsjø II is discussed.
With the current framework of 3 GW installed capacity in Sørlige Nordsjø II, it will be possible to produce approximately 15 TWh per year, which is approximately 10% of the current land-based power production. An offshore hydrogen production facility with an electrolysis capacity of 400 MW will require approximately 20% of this energy and produce up to 180 tons a day, or the equivalent of 65 000 tons a year.
The Levelized Cost of Energy (LCOE) for Sørlige Nordsjø II is calculated for three potential scenarios:
- An offshore wind farm with a connection to the mainland grid (without offshore hydrogen production)
- A cable connected to shore in combination with offshore hydrogen production
- Artificial Islands (without a cable) with offshore hydrogen production
The LCOE for hydrogen is calculated for scenario 2 and 3. Finally an overview and assessment of the state of technology in terms of production, storage and transportation in ships and pipes, as well as technological developments in bunkering, is conducted.
The report is a collaborative project between Vestland Fylkeskommune (VLFK), Greenstat, Æge Energy, Aabø Power Consulting, Høgskolen på Vestlandet (HVL) and the University of Bergen (UiB)/Bergen Offshore Wind Centre (BOW).
The project is partially financed by VLFK through “Handlingsplan for innovasjon og næringsutvikling i Vestland 2020”.