Is Green Hydrogen a Strategic Opportunity for Albania? A Techno-Economic, Environmental, and SWOT Analysis
Abstract
Hydrogen is increasingly recognized as a clean energy vector and storage medium, yet its viability and strategic role in the Western Balkans remain underexplored. This study provides the first comprehensive techno-economic, environmental, and strategic evaluation of hydrogen production pathways in Albania. Results show clear trade-offs across options. The levelized cost of hydrogen (LCOH) is estimated at 8.76 €/kg H2 for grid-connected, 7.75 €/kg H2 for solar, and 7.66 €/kg H2 for wind electrolysis—values above EU averages and reliant on lower electricity costs and efficiency gains. In contrast, fossil-based hydrogen via steam methane reforming (SMR) is cheaper at 3.45 €/kg H2, rising to 4.74 €/kg H2 with carbon capture and storage (CCS). Environmentally, Life Cycle Assessment (LCA) results show much lower Global Warming Potential.