Hydrogen Supply Design for the Decarbonization of Energy-intensive Industries Addressing Cost, Inherent Safety and Environmental Performance

Through mathematical modeling, this paper integrates economic, safety, and environmental assessments to evaluate alternative hydrogen supply options (on-site production and external supply) and various hydrogenbased system configurations for decarbonizing energy-intensive industries. The model is applied to a case study in the glass sector. While reliance on natural gas remains the most cost-effective and safest solution, it does not align with decarbonization objectives. Assuming a complete hydrogen transition, on-site production reduces emissions by 85 % compared to current levels and improves safety performance over external supply. External supply of grey hydrogen becomes counterproductive, increasing emissions by 68 % compared to natural gas operations. Nevertheless, hydrogen cost rises from 3.6 €/kg with external supply to 4.2 €/kg with on-site production, doubling the fuel cost relative to natural gas. To address the trade-offs, the paper explores how specific constraints influence system design. A sensitivity analysis on key factors affecting hydrogen-related decisions provides additional support for strategic decision-making.