European Green Hydrogen Corridor: Integrating Spanish Solar and Danish Offshore Wind for Cost-Effective Hydrogen Production

An international research team has explored a joint strategy for Spain and Denmark to create a low-cost, renewable hydrogen corridor across Europe, leveraging seasonal similarities between Spanish solar power and Danish offshore wind generation. The study utilised a high-resolution techno-economic model to optimise the entire green hydrogen value chain, including production, storage, and export, in an off-grid setup that does not depend on external electricity imports or grid backup facilities.

It is based on a key premise of Europe's energy transition: there exists a mismatch between regions with high renewable capability and locations with growing hydrogen demand. Spain is identified as a prime candidate for solar PV-based hydrogen production, with high yields exceeding 1.7 MWh per kW annually. Meanwhile, Denmark is distinguished for offshore wind capacity factors above 50% and targets 4–6 GW of electrolysis capacity by 2030.

The study shows the two countries can complement each other instead of competing. Spanish solar power peaks in summer and during daytime, while Danish offshore wind offers more stable and increased winter output. This seasonal complementarity helps to curb variability in hydrogen production and stabilise export costs across European markets.

Using an hourly model based on six years of meteorological data, the researchers optimised system configurations involving generation capacity, electrolysis, and storage to minimise the levelised cost of hydrogen (LCOH) while satisfying a set annual export target.

A key insight was that storage technology plays a more critical role in final hydrogen costs than local renewable resource quality. The study compared three storage options: salt caverns, pressurised tanks, and liquid organic hydrogen carriers (LOHC). LOHC systems proved most competitive, especially in regions lacking suitable geology for underground storage, due to their flexibility and ease of transportation.

Results indicated production costs of approximately 65 million euros per TWh of hydrogen, equivalent to about 2.15 euros per kg, for both Spain and Denmark. Salt caverns also performed well at 69–72 million euros per TWh (around 2.3 euros per kg), whereas pressurised tanks were much more expensive, exceeding 6.7 euros per kg.

The study concludes that a hybrid model combining PV and LOHC in Spain with offshore wind and LOHC in Denmark offers the most effective pathway to develop a European hydrogen corridor capable of supplying up to 100 TWh annually. Additionally, the authors highlight the strategic importance of long-duration storage and sector coupling in reducing costs and boosting regional energy integration. They emphasise that uncertainties in capital expenditure, equipment lifespan, and storage costs could lead to variations exceeding 30% in the LCOH, underpinning the need for robust policy support, regulatory stability, and coordinated European investments.

Finally, the collaborative approach of Spain and Denmark can serve as a replicable model for other regions with renewable profiles seeking to establish similar low-cost hydrogen corridors. The findings are detailed in the publication ‘‘Complementary Spanish photovoltaic and Danish offshore wind pathways to cost-competitive renewable hydrogen,'' in the journal Energy Conversion and Management.