HOMER Knowledge Base
What value should I enter for the “Value of Electricity” on the Hydrogen Load page?
What value should I enter for the “Value of Electricity” on the Hydrogen Load page?
The 'Value of Electricity' is used to calculate the levelized Cost of Hydrogen (COH) in the simulation results for hydrogen. The equation for COH is:
COH = ( total_annualized_cost - value_of_electricity * total_electrical_load_served ) / total_hydrogen_production
Your system’s setup will play a role in what should be entered for the Value of Electricity.
If your system meets no electric load and exports no electricity to the grid, then this parameter is not used and it does not matter what the value is, so you can set this parameter to 0.
If the system is grid-connected you should enter an average value of the grid energy price. If your system is off-grid but using another source of power generation (for example a diesel generator) you should enter the cost of power for that source specifically.
The 'Value of Electricity' is used to calculate the levelized Cost of Hydrogen (COH) in the simulation results for hydrogen. The equation for COH is:
COH = ( total_annualized_cost - value_of_electricity * total_electrical_load_served ) / total_hydrogen_production
Your system’s setup will play a role in what should be entered for the Value of Electricity.
If your system meets no electric load and exports no electricity to the grid, then this parameter is not used and it does not matter what the value is, so you can set this parameter to 0.
If the system is grid-connected you should enter an average value of the grid energy price. If your system is off-grid but using another source of power generation (for example a diesel generator) you should enter the cost of power for that source specifically.