Revenues from flexibility provided to the power system

Overview of the status and impact of the innovation



In addition to selling hydrogen, electrolysers can gain revenues by providing various grid services (e.g. offering reserves, peak shaving, capacity firming or alleviating grid congestion). Although these services are unlikely to provide the main revenue stream, when added to the revenues from providing hydrogen, their revenues can significantly improve the economics of electrolyser operation.


Electrolysers can provide valuable grid services and help keep the power grid stable by ramping production up and down depending on its needs. The additional revenue from these services would then drive down the final price of green hydrogen, helping to accelerate the development of the green hydrogen economy.

BOX 9.23 Pressurised alkaline electrolyser to provide grid-balancing services in Austria

The Demo4Grid project in Austria will use an “above” state-of-the-art 3.2 MW pressurised alkaline electrolyser to demonstrate the commercial potential of providing grid-balancing services in real-market conditions to the regional electricity supplier TIWAG. Meanwhile, the green hydrogen produced will be used to heat the Therese Mölk Bakery owned by regional food producer and trader MPreis.

Source: (Sunfire, 2021).