Miguel Maldonado

The Chilean government has proposed an ambitious plan to reduce emissions by 2050 and become a net-zero-emission country, including producing clean energy via green hydrogen generated from renewable sources. One goal is to achieve a cost of 1.5 USD/kg ${\mathrm{H}}_2$ to be competitive. This study presents a techno-economic analysis of the production of green hydrogen using commercially available electrolyzers—HySTAT (alkaline) and HyLYZER (PEM)—for locations in northern, central, and southern Chile. The Antofagasta (northern), Bio-Bio (central), and Magallanes (southern) regions were evaluated based on their renewable energy sources—wind and solar—which vary in proportion and quantity by geographical location. The results show that the Magallanes region is the most competitive location. We calculated values of 4.43 USD/kg ${\mathrm{H}}_2$ (HySTAT) and 4.81 USD/kg ${\mathrm{H}}_2$ (HyLYZER). The economic evaluation of the HySTAT electrolyzer in Magallanes shows that a modest price above the break-even level yields substantially positive returns (Net Present Value (NPV) up to 2,684,250 USD, Internal Rate of Return (IRR) 19.5%). An optimized scenario combining lower electricity prices, higher capacity factor, and improved electrolyzer efficiency approaches the national target of 1.5 USD/kg ${\mathrm{H}}_2$, but only through simultaneous improvements beyond current commercial technology. These results suggest that Magallanes, paired with alkaline technology, represents a promising option for producing green hydrogen and merits further analysis, aligning with national decarbonization targets and global low-carbon fuel markets. Although the current LCOH values are far from the goal of 1.5 USD/kg ${\mathrm{H}}_2$, there are opportunities to reduce costs, either through the cheapest energy agreements or new technology developments.