Development of a MILP optimization framework for the management of an industrial-scale hydrogen production plant

Green hydrogen production through water electrolysis is increasingly recognized as a cornerstone for decarbonizing energy systems. However, green hydrogen production must operate within highly complex environments characterized by multiple interacting energy subsystems and operational constraints, which requires the adoption of advanced management and optimization frameworks. This paper proposes a system-level optimization framework for a commercial-scale hydrogen production plant integrating water electrolysis, formulated as a Mixed Integer Linear Programming (MILP) problem for the optimal management of the energy system, aimed at minimizing operational hydrogen production costs. This work introduces a comprehensive modeling and optimization framework for a generic hydrogen production and storage system including hydrogen transport in gaseous form, and subsequently applies it to the specific case of the Trieste hydrogen production plant currently being deployed within the North Adriatic Hydrogen Valley (NAHV) initiative. Preliminary results show that the major influencing factor remains the electricity cost, as the unit cost of grid electricity is approximately twice that of PV electricity in the analysed configuration. In this context, a suitable system management strategy, considering a minimum annual hydrogen production constraint of 370 tonnes, can reduce hydrogen production costs by up to 6% by operating the electrolyser at a relatively constant production level close to 1000 kg per day rather than operating the electrolyser close to its maximum daily production capacity.