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The deployment of distributed energy systems must take place paying attention to the self-consumption of renewable generation. Innovative sector coupling strategies can play that role linking local electricity and gas grids. The present work aims to evaluate the energy and economic feasibility of the Power-to-Methane strategy application in urban energy districts. A residential cluster was considered as a case study. Two PV configurations have been applied to evaluate the Substitute Natural Gas (SNG) production under different renewable excess conditions. Thereafter, the Power-to-Methane strategy was implemented by varying the system's size. Some significant configurations have been compared to each other in terms of energy and economics. Beyond a certain threshold limit, an increase in the photovoltaic size slightly enhances the effectively self-consumed energy. The Power-to-Methane strategy can exploit all the renewable excess once the system is properly sized, almost doubling the potential energy consumption reduction compared to the PV system alone. The SNG production cost is between 100 and 200 EUR/MWh in most configurations, which is competitive with the high natural gas prices on the European market. Therefore, decentralised SNG production can reduce the households' annual expenditures and it can mitigate the energy poverty conditions over the current energy crisis period. [ABSTRACT FROM AUTHOR]

The deployment of intermittent renewables in distributed energy systems has to be managed so as to maximise local energy self-consumption. This paper deals with the application of sector coupling strategies to increase energy self-consumption and decarbonise urban energy districts. The aim of this work is to investigate the combined implementation of Power-to-Gas and Power-to-Heat strategies in Renewable Energy Communities. Power-to-Power, Power-to-Heat and Power-to-Gas systems, along with their combined adoption, have been implemented in a residential community under different renewable excess conditions. For each strategy, the storage system's size has been optimised and the configurations have been compared in energy, environmental and economic terms. The Power-to-Heat strategy is the most cost-effective solution, although it presents intrinsic limitations. The Power-to-Gas configuration involves the hydrogen injection into the gas grid, thus exploiting the local network as a free storage system. Higher self-consumption can be achieved; nevertheless, energy and emissions savings are lower due to the electrolyser poor efficiency. The combined application of the two sector coupling strategies allows the strategies individual advantages to be exploited and the limitations of both to be overcome. Furthermore, this solution leads to higher self-consumption and lower annual costs than conventional electric batteries. • Sector coupling strategies for improving self-consumption in energy communities. • Combined implementation of Power-to-Heat and Power-to-Gas systems. • Analysis of energy storage systems in two renewable excess conditions. • Assessment of energy, environmental and economic impacts. • Self-consumption based tariffs in accordance with the Italian incentive scheme. [ABSTRACT FROM AUTHOR]

The goal of achieving a zero-emission energy system by 2050 requires accurate energy planning to minimise the overall cost of the energy transition. Long-term energy models based on cost-optimal solutions are extremely dependent on the cost forecasts of different technologies. However, such forecasts are inherently uncertain. The aim of the present work is to identify a cost-optimal pathway for the Italian energy system decarbonisation and assess how renewable cost scenarios can affect the optimal solution. The analysis has been carried out with the H2RES model, a single-objective optimisation algorithm based on Linear Programming. Different cost scenarios for photovoltaics, on-shore and off-shore wind power, and lithium-ion batteries are simulated. Results indicate that a 100% renewable energy system in Italy is technically feasible. Power-to-X technologies are crucial for balancing purposes, enabling a share of non-dispatchable generation higher than 90%. Renewable cost scenarios affect the energy mix, however, both on-shore and off-shore wind saturate the maximum capacity potential in almost all scenarios. Cost forecasts for lithium-ion batteries have a significant impact on their optimal capacity and the role of hydrogen. Indeed, as battery costs rise, fuel cells emerge as the main solution for balancing services. This study emphasises the importance of conducting cost sensitivity analyses in long-term energy planning. Such analyses can help to determine how changes in cost forecasts may affect the optimal strategies for decarbonising national energy systems. • H2RES model to identify a cost-optimal decarbonisation pathway. • Long-term optimisation based on linear programming. • Technical and economic feasibility of a 100% renewable Italian energy system. • Power-to-X technologies play a pivotal role in balancing intermittent generation. • Integration of cost sensitivity analysis into the energy planning process. [ABSTRACT FROM AUTHOR]

In light of the Italian Hydrogen Roadmap goals, the 2030 national RES installation targets need to be redefined. This work aims to propose a more appropriate RES installation deployment on national scale, by matching the electrolysers capacity and the green hydrogen production goals. The adopted approach envisages the power-to-gas value chain priority for the green hydrogen production as a means of balancing system. Thus, the 2030 Italian energy system has been modelled and several RES installation scenarios have been simulated via EnergyPLAN software. The simulation outputs have been integrated with a breakdown model for the overgeneration RES share detection, in compliance with the PV dispatching priority of the Italian system. Therefore, the best installation solutions have been detected via multi-objective optimization model, based on the green hydrogen production, additional installation cost, critical energy excess along with the Levelized Cost of Hydrogen (LCOH). Higher wind technology installations provide more competitive energy and hydrogen costs. The most suitable scenarios show that the optimal LCOH and hydrogen production values, respectively equal to 3.6 €/kg and 223 kton H2 , arise from additional PV/wind installations of 35 GW on top of the national targets. • PtG strategy for the green hydrogen production as a means of balancing system. • 2030 Italian energy scenario modelling by means of EnergyPLAN software. • Breakdown model in RES share, in compliance with the PV dispatching priority. • Multi-objective optimization of RES installations. • Identification of the optimal scenario, defined as the closest to the Utopia point. [ABSTRACT FROM AUTHOR]

The need to develop a forthcoming hydrogen economy emphasises the emerging concept of 'hydrogen valleys', where hydrogen production and consumption are being developed. This study assesses the Levelized Cost of Hydrogen (LCOH) and Carbon Abatement Cost (CAC) for various hydrogen end-use applications within the context of a hydrogen valley located in the southern Italy over different time horizons (Today 2023, Mid-Term 2030, Long-Term 2050). Examined applications include blending into the gas grid, reconversion into electricity for grid balancing by means of fuel cells, hydrogen refuelling stations for fuel cell electric vehicles (FCEVs), synthetic methane production, and electro-fuel synthesis. Employing a parametric approach, the study compares LCOH and decarbonisation costs across different pathways. Results indicate current LCOH production values of 3.66–4.90 €/kg H2 , projected to decrease to 1.41–1.94 €/kg H2 by 2050. Decarbonisation cost analysis identifies blending and FCEV scenarios as the most cost-effective, contrasting with Power-to-Power scenarios, particularly in the mid and long terms. [Display omitted] • Variable renewables energy mix is implemented for producing green hydrogen. • A demo hydrogen valley in southern Italy has been analysed and simulated. • The Levelised cost of Hydrogen have been assessed over the whole supply chain. • The carbon avoidance cost has been evaluated for each end use scenario. • A comparative analysis from today up 2050 has been performed to identify the most promising scenarios. [ABSTRACT FROM AUTHOR]

The deployment of distributed renewable generation in urban districts requires managing local energy excess by means of distributed systems. Sector coupling strategies can be a solution to increase self-consumption, representing an alternative to electric batteries, however their limitations need to be assessed in order to properly plan urban systems.. This study investigates the potential role of heat pumps and smart charging of electric vehicles to provide system flexibility in residential neighbourhoods. Photovoltaic self-consumption, district self-sufficiency, annual costs and CO 2 emissions have been assessed by simulating the district using the MATLAB toolbox for EnergyPLAN. Furthermore, the impact of the current energy market crisis has been evaluated. Cross-sector integration is crucial to improve system flexibility. Power-to-Heat system has a positive effect on all parameters, however its potential is limited. Power-to-Vehicle strategy is more effective and allows for doubling the community's self-consumption and self-sufficiency. However, the participation of vehicle owners in smart charging schemes is necessary. The combined implementation considerably improves energy, economic and environmental performance and turns out to be much more effective than electric batteries. Finally, the current increase in energy prices also improves the cost-effectiveness of electric batteries and makes the combined implementation of the three systems the best configuration. [ABSTRACT FROM AUTHOR]

The EU Commission raised the GHG emissions reduction targets from 40% to at least 55% by 2030, By the "Fit for 55" package. Member States have to review their national energy and climate plans (NECPs) in a short-time. In order to elaborate guidelines for the Italian NECP improvement, a methodology based on the Smart Energy Systems (SES) approach has been proposed. The reference scenario has been modelled in EnergyPLAN. A Sectors' Implementation Matrix, consisting of eight sectors and three implementation levels, has been developed and the configurations have been simulated by means of MAT4EnergyPLAN. The best scenario accomplishes the 55% emissions reduction targets along with a lowering in the annualised costs of Italian energy system. The RES capacity targets must be increased by further 33 GW for PV and 16.6 GW for WIND. High end-uses electrification degree represents the priority in the next decade, so as to easily and cost-effectively integrate the variable-RES. An integrated energy system and the sector coupling even take priority over the RES installation in order to minimise the energy system decarbonisation costs. Finally, the present work contributes to demonstrate the need for the SES approach in the planning of energy systems with large-scale RES integration. • Improving Italian energy strategy by means of Smart energy systems approach. • Simulations by means of MATLAB Toolbox for EnergyPLAN (MAT4EnergyPLAN). • District heating, individual heat pumps and electric vehicles are the priorities. • Sector coupling is crucial to decarbonise energy systems in a cost-efficient manner. • The Smart Energy Systems approach is essential for energy planning. [ABSTRACT FROM AUTHOR]

The rapidly increasing share of renewables in energy systems is reducing the primary fossil energy and CO 2 emissions associated with the electricity consumption from the grid. In the coming years, there might also be a partial gas grid decarbonisation by means of biomethane, synthetic methane and hydrogen injections into the pipelines. Therefore, the competitiveness of polygeneration systems will have to be determined taking into account exogenous network parameters. This work investigates on how energy savings, emissions reduction and cost-effectiveness of combined heat and power (CHP) plants are affected by electrical RES (RES EL) and Substitute Natural Gases (SNGs) increase in energy networks. For RES EL share in the national grid higher than a threshold value ranging in 50% and 60%, natural gas CHPs do not provide energy and emission savings. Furthermore, the rapid reduction in RES EL costs could correlate their wide deployment with a decrease in electricity price, reducing the cost-effectiveness of gas-driven CHPs. Greening the gas grid enhances the threshold value and it can partially preserve those technologies. Nevertheless, the SNGs production cost is still very high. Therefore, if their injection increases the gas price for end-users, energy and environmental benefits will be offset by the loss of CHP cost-effectiveness. • Energy and environmental analysis of CHPs by varying RES share in energy grids. • Three case studies of CHP plants applications have been studied. • Integration of exogenous grid parameters into polygeneration systems analysis. • Review of RES and Substitute Natural Gases cost forecasts. [ABSTRACT FROM AUTHOR]

In recent months, gas prices have reached unprecedented levels, hurting the European economy and exacerbating energy poverty conditions. This paper deals with investigating measures for a rapid reduction in the Italian natural gas (NG) consumption. The aim is to assess and quantify energy, economic, social and environmental impacts of different strategies to be implemented promptly. Several solutions, such as utility and residential PV systems, Wind plants, biomethane, green hydrogen and heat pumps, have been analysed. Different implementation levels of such solutions have been simulated in combination with each other by means of the MATLAB Toolbox for EnergyPLAN. The NG Abatement Cost (NGAC) has been calculated. That indicator allows an immediate evaluation of economic benefits comparing it with current and future NG spot prices and potential import alternatives. The NGAC of the best strategies is between 40 and 70 €/MWh depending on the amount of achieved savings. Less than 80 billion in total investment leads to a NG reduction of 75 TWh/year at an average abatement cost of about 70 €/MWh. That entails an employment impact of 640,000 temporary jobs and 30,000 permanent jobs along with an emission reduction of 21.5 Mt CO2 /year. Under the highest implementation of such measures, future average NG spot prices higher than 50 €/MWh allow to reduce GHG emissions implying decarbonisation costs lower than 80 €/t CO2. Furthermore, three Carbon Abatement Cost curves by changing the NG prices have been elaborated. The findings of this work show how current high NG prices can be an opportunity to speed up the transition process towards decarbonised energy systems. • Strategies for reducing the Italian Natural Gas consumption in the short term. • Assessment of energy, economic, social and environmental impacts. • Simulations by means of the MATLAB Toolbox for EnergyPLAN. • Evaluation of the abatement cost of Natural Gas consumption. • Assessment of decarbonisation costs as a function of the Natural Gas spot price. [ABSTRACT FROM AUTHOR]

The European Hydrogen Strategy set an electrolysers' capacity target of 40 GW by 2030. This will lead to a sudden expansion of the electrolyser industry across Europe and the unit cost of electrolyser production will steeply decrease. The purpose of the present work is to integrate the learning curve approach with the national energy and economic planning, taking the Italian Hydrogen Strategy as a case study. Different learning curves and different roadmaps for the electrolysers' installation have been combined in order to model scenarios for predicting progressive fall in the electrolysers' CAPEX. The investment needed to implement the strategy ranges between 1.5 and 3.3 G€ and depends mainly on the learning curve scenario. The Levelized Cost of Hydrogen has been calculated by changing different boundary conditions. Moreover, an incentive scheme has been proposed by comparing the green hydrogen cost to the blue and grey ones. Under the hypothesis of a fully-blended hydrogen use in the gas grid, a potential CO 2 reduction up to 8.4 Mton CO2 over the decade can be accomplished. The main barrier to the economic competitiveness of Power to Gas systems is the still too high price of renewable electricity. It will be optimistic to obtain hydrogen prices lower than 2.44 €/kgH2 in Italy by 2030. Nevertheless, the deployment of the Hydrogen Valleys, where both production and consumption coexist, can reduce the carbon avoidance cost. Finally, it has been demonstrated that the failure to achieve the European targets is associated with higher hydrogen production costs and higher decarbonisation costs. • Review of studies analysing learning curves for electrolysers. • Assessment of possible reduction in the electrolysers' CAPEX in Europe. • Proposal for an incentive scheme to support green hydrogen. • Current and future Levelized Cost of Hydrogen for green, blue and grey hydrogen. • Assessment of CO 2 emissions reductions and carbon avoidance costs. [ABSTRACT FROM AUTHOR]