The German H₂ and energy transition consulting firm Profas Energy Consult has partnered with Energy Exemplar to model the latest and most sophisticated needs of the H₂ value chain using PLEXOS. Profas Energy Consult, who specialize in development support and implementation coaching for green H₂ projects, will work with Energy Exemplar to build on its market-leading modeling software platform, PLEXOS, and optimize H₂ and Power-to-X projects. The H₂ market being in early stages has previously been reliant on basic modeling including spreadsheets to model scenarios. This approach is reaching an end as multiple technology options, renewable weather scenarios, as well as optimal positioning in the grid are playing a key role in project profitability.

Profas Energy Consult and Energy Exemplar will bring their respective expertise in H₂ and modeling to introduce transparency to H₂ project value flows, making final investment decisions simpler. They will also ensure that capital is put into projects with the highest chance of success. Profas and Energy Exemplar will develop state-of-the-art project and asset models to simulate H₂ projects and their commercial impact on the energy market.

Potential use cases for the specialized H₂-only PLEXOS software include modeling cost-minimized power supply from volatile renewable energy sources, optimal power purchase agreements, energy market trading effects, as well as the value of ancillary services. The modeling will be of particular interest and appeal to H₂ and Power-to-X project developers, as well as financial institutions and investors.

“Optimizing the Power-to-X value chain requires OEM-specific operating models, degradation effects, maintenance and replacement efforts, to calculate financial data over the desired lifetime – for instance, revenues and cash flows,” said Armin Schnettler, Managing Director of Profas Energy Consult.

“By simulating renewable energy supply and its volatility, PPAs and market price forecasts, different H₂ technology options, the optimal ratings of the electrolyzer resp. Power-to-X plant will be derived, ensuring the lowest cost of H₂ and highest economic benefit,” said Michael Schneider, SVP and Head of EMEA at Energy Exemplar.

The news comes as the global energy transition enters its next phase. The green H₂ economy is accelerating the decarbonization of sectors which are hard to electrify. More than 1,000 renewable and low-carbon H₂ projects requiring $320 B in investment by the end of 2030 have been announced globally.

According to the International Renewable Energy Agency’s (IRENA) 2023 1.5C scenario, global electricity demand is expected to triple compared with 2020 with direct and indirect electrification. Smart electrification and effective H₂ usage will have to be combined to enable the effective integration of renewables.

PLEXOS has emerged as the market-leading simulation and optimization platform for market players in need of the means to make intelligent decisions by processing and drawing insights from vast amounts of data.

Energy Exemplar and Profas Energy Consult plan to have the first dedicated H₂ tool chain based on PLEXOS ready to use by Q4 of 2023. They aim to have completed the Power-to-X value chain simulation models in 2024.