A new study by researchers at Johns Hopkins University’s Renewable Energy and Equity Worldwide Laboratory (RENEW), together with collaborators with partners in Kenya found that green hydrogen in Kenya may be most valuable when integrated with the national power grid rather than developed solely through standalone renewable projects.
Green hydrogen is made by splitting water into hydrogen and oxygen using renewable electricity—typically wind or solar—via electrolysis. Because its production emits no carbon dioxide, it is widely regarded as a key tool in combatting climate change.
“New industries like green hydrogen are often treated as either a guaranteed breakthrough or prohibitively expensive,” said Xi Xi, a PhD student in civil and systems engineering and the study’s lead author. “The real question is whether green hydrogen is produced in a way that supports broader development goals.”
The paper—published in Environmental Science & Technology and titled “Reducing Power System Costs in LMICs through Grid-Connected Green Hydrogen: Evidence from Kenya,”—shows that grid-connected electrolyzers can be at least as affordable as standalone hydrogen plants, but have the added benefit of lowering overall electricity system costs. In other words, green hydrogen may be more valuable than commonly assumed when it is designed not only as a new industrial product, but also as a flexible part of the power system.
Xi Xi (L); Boniface Kinyanjui (Top-R); Dan Kammen (Bottom-R)
The study was prompted in part by Kenya’s domestically focused hydrogen strategy, which contrasts with many projects elsewhere in Africa that have been criticized for prioritizing exports to Europe. By emphasizing local industry, Kenya offers a compelling case for how green hydrogen can support national development goals rather than external demand.
To date, much of Kenya’s policy discussion has focused on hydrogen as a standalone industrial product made by dedicated renewable generation. The RENEW Lab’s study points to a broader opportunity: when hydrogen production is connected to the grid and operated flexibly, it can help absorb surplus renewable electricity, improve system efficiency, and support lower-cost power across the economy.
“In Kenya, we found that the value of hydrogen as a flexible load has been seriously underestimated,” Xi said. “When electrolyzers are connected to the grid, they can be at least as affordable as standalone projects while also helping reduce electricity costs across the system.”
Using a county-level, multi-nodal power system model with a customized electrolyzer module, the researchers examined how hydrogen production affects electricity costs, grid flexibility, and renewable energy deployment under a range of scenarios. They also tested different cost assumptions, reflecting the early-stage nature of electrolyzer technology.
“The findings demonstrate the potential of green hydrogen in optimizing operation and utilization of the Kenyan power grid when supported by the co-benefits derived from production of fertilizer and other derivatives that contribute to the country’s economic growth,” said Boniface Kinyanjui, Acting Director of Electricity and Renewable Energy at Kenya’s Energy and Petroleum Regulatory Authority (EPRA) and a co-author of the study.
Daniel Kammen, the Bloomberg Distinguished Professor of Energy and Climate Justice and the director of RENEW who was a co-author of the study, believes Kenya will not realize the full benefits of integrating green hydrogen into its grid until there is a greater global commitment to the technology.
“The domestic need for hydrogen in Kenya could be useful, but it is unlikely enough to warrant a major investment unless the global green hydrogen market makes exports profitable,” said Kammen, who is also a core researcher with the Ralph O’Connor Sustainable Energy Institute. “Our findings show that wind and geothermal powered manufacturing in Kenya can clearly drive continued economic growth in East Africa. When integrated effectively, hydrogen can be part of that strategy.”
This story originally appeared on Johns Hopkins Ralph O’Connor Sustainable Energy Institute website.