Evaluating running strategies for a P2X2P plant

The energy transition required to mitigate climate change is dependent on renewable energy. There is thus a growing need for flexibility in the electricity system to manage the intermittent nature of wind and solar power. Power-to-X-to-power (P2X2P) plants that operate like energy storages by converting electricity to hydrogen (P2X) when prices are low and back to electricity (X2P) when prices are high can provide the required flexibility. However, it is not known how profitable these energy storage solutions are in current electricity markets, and assessing this is non-trivial. Profitability depends on how the storage is utilized, the markets where flexibility is traded, and the fuels used. Here, we assess the economic viability of P2X2P solutions by developing a framework for assessing the potential profit of a planned P2X2P plant participating in the sequential electricity markets found in Europe. We found that the plant is mostly idle with the most profitable running strategies and that there are synergies between different markets and fuel combinations that can increase the attainable profit considerably. The results emphasize the importance of investigating realistic running strategies for various market and fuel combinations when evaluating P2X2P plant designs.