RESEARCH ARTICLE
Hydrogen import pathway comparison framework incorporating
cost and social preference: Case studies from Australia to Japan
Andrew J. Chapman
1
| Timothy Fraser
2
| Kenshi Itaoka
1
1
International Institute for Carbon‐Neutral
Energy Research (I2CNER), Kyushu
University, 744 Motooka Nishi‐ku, Fukuoka
819‐0395, Japan
2
Graduate School of Integrated Sciences for
Global Society, Kyushu University, 744
Motooka Nishi‐ku, Fukuoka 819‐0395,
Japan
Correspondence
Andrew J. Chapman, International Institute
for Carbon‐Neutral Energy Research
(I2CNER), Kyushu University, 744 Motooka
Nishi‐ku, Fukuoka 819‐0395, Japan.
Email: chapman@i2cner.kyushu‐u.ac.jp
Summary
Recent proposals to produce and import hydrogen from Australia to Japan for elec-
tricity generation raise questions about how to compare the costs and feasibilities of
different hydrogen import pathways. This paper establishes a framework for the
comparison of technological, economic, and social costs and feasibility. The frame-
work is then applied to 3 potential production and import case studies. First, a
benchmark case study is considered which uses Australian brown coal from the
Latrobe Valley combined with carbon capture and sequestration (CCS) technology.
The second and third comparative case studies use renewable energy and electroly-
sis near port facilities in Karratha, Western Australia, using solar power exclusively
as the renewable energy source, and Gladstone, Queensland, using a combination of
onshore wind and solar‐based generation. The study finds that comparative pilot
project generation costs for the brown coal pathway are between approximately
5.9 and 15.4 yen/kWh cheaper than for solar and/or wind‐based pathways. However,
limitations of scaling up CCS, a limited brown coal supply, long‐term reducing costs
of renewables, and the prospect to develop complementary renewable infrastructure
make a strong counterargument for investment in solar and wind pathways as an
alternative to brown coal and CCS.
KEYWORDS
Australia, hydrogen, Japan, pathway, renewable energy
1 | INTRODUCTION
Japan is heavily reliant on foreign fuel imports for its primary
energy supply.
1
As such, they are the largest importer of coal
from Australia, accounting for 34% of Australia's international
coal exports, with a value of approximately 12 billion Australian
dollars.
2
The value of these coal exports account for some 15%
of Australia's total export income.
3
The economic and energy
benefits enjoyed by each country demonstrate the scale and
importance of this international trade relationship.
In addition to coal and other fossil fuels, Australia is
also rich in renewable energy (RE) potential, boasting
extremely high solar irradiation levels compared to the
global average, and high wind potential.
4
Renewables
generate approximately 4.9% of all electricity nationwide
and 29.4% and 35.2%, respectively, in the states of Victoria
and South Australia.
5
For Japan, the transition to an energy supply system with
a reduced level of CO
2
emissions is partially envisaged
through the transition to hydrogen to meet a portion of future
energy needs, particularly in the stationary generation and
transportation sectors.
6
This transition could potentially be
met by the production and transportation of hydrogen from
Australia to Japan. Hydrogen could be sourced from fossil
or renewable generation means, based on the feasibility of
proposed pathways.
The key aim of this paper is to establish the critical fac-
tors that influence the costs and feasibility of hydrogen
Received: 27 March 2017 Revised: 13 June 2017 Accepted: 13 June 2017
DOI: 10.1002/er.3807
Int J Energy Res. 2017;1–18. Copyright © 2017 John Wiley & Sons, Ltd. wileyonlinelibrary.com/journal/er 1