The complementarity between Spanish solar energy and Danish offshore wind energy could support a European green hydrogen market by enabling the production and export of renewable hydrogen at a cost of almost €2/kg.
An international research team has assessed a joint strategy by Spain and Denmark to develop cost-competitive European renewable hydrogen corridors, taking advantage of the seasonal complementarity between Spanish photovoltaic generation and Danish offshore wind energy. To this end, they developed a high-resolution techno-economic model to optimize the entire green hydrogen value chains – including production, storage and export – under an ‘off-grid’ configuration, without relying on external electricity imports or grid backup.
The research is based on an important assumption for the European energy transition: there is a significant mismatch between regions with the highest renewable potential and future demand centers for hydrogen. In this context, Spain emerges as a leading candidate for hydrogen production from solar PV, with yields exceeding 1.7 MWh/kW per year, while Denmark stands out with offshore wind capacity factors exceeding 50% and plans to deploy 4 to 6 GW of electrolysis capacity by 2030.
The study shows how the two geographies could complement rather than compete with each other. Spanish PV generation peaks in summer and during the day, while Danish offshore wind offers more stable output and stronger winter generation. According to the authors, this complementarity reduces seasonal variability in hydrogen production and helps stabilize export costs to other European markets.
The researchers used an hourly model based on six years of meteorological and renewable energy data, combined with an optimization of generation, electrolysis and storage capacities, to identify system configurations that minimize the levelized cost of hydrogen (LCOH) while meeting a fixed annual export target.
A key finding is that storage technology, and not the quality of local renewable resources, is the most decisive factor in final hydrogen costs. The study compares three options: salt caverns, pressurized tanks and liquid organic hydrogen carrier systems (LOHC), which store and transport hydrogen in organic liquids at ambient temperature and pressure.
LOHC systems are emerging as the most competitive and flexible option for international hydrogen corridors, especially in regions without suitable geology for underground storage. The results indicate production costs of approximately €65 million ($75.5 million) per TWh of hydrogen (approximately €2.15/kg) in both Spain and Denmark. Salt caverns also show competitive performance, at €69-72 million per TWh (about €2.3/kg), while pressurized tanks are significantly more expensive, at more than €6.7/kg in Spain.
The scientists concluded that a hybrid model based on solar photovoltaics and LOHC in Spain, combined with offshore wind energy and LOHC in Denmark, represents the most efficient path for the development of European hydrogen corridors capable of delivering up to 100 TWh annually.
In addition to economic outcomes, the study highlights the strategic importance of long-term storage and sector coupling for reducing costs and improving European energy integration. The authors emphasize that uncertainties related to capital expenditure, equipment life and storage costs can lead to variations of more than 30% in LCOH; They therefore consider it essential to implement specific support policies, stable regulatory frameworks and coordinated investments at European level.
The researchers note that the combined experience of Spain and Denmark could serve as a replicable model for other international renewable hydrogen corridors in regions with complementary renewable energy profiles.
Their findings are available in “Complementary Spanish photovoltaic and Danish offshore wind pathways to cost-competitive renewable hydrogen”, published in Energy conversion and management.
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