Techno-Economic Assessment of PEM Electrolyzer Coupled with High-Concentration Photovoltaics in Saudi Arabia

Green hydrogen (H2) production is a pivotal element of Saudi Arabia’s Vision 2030. This study presents a comprehensive feasibility assessment of a high-efficiency H2 production system integrating a photovoltaic (PV) array and a high-concentration photovoltaic (HCPV) system with a Proton Exchange Membrane (PEM) electrolyzer, specifically designed for harsh climatic conditions. To evaluate the system’s viability, a comprehensive simulation model was developed based on rigorously validated mathematical formulations. First, the performance of the PEM electrolyzer and the effectiveness of the cooling system were modeled using established electrochemical and thermal correlations derived from the peer-reviewed literature. Second, this model was applied to evaluate the system’s long-term energy yield and economic performance. Key economic metrics, including the levelized cost of H2 (LCOH) and discounted payback period (DPBP), were calculated based on local solar irradiance data, followed by a sensitivity analysis to assess the economic robustness under varying market conditions. The results demonstrate that the proposed configuration is not only technically feasible—maintaining high efficiency despite harsh environmental conditions—but also economically viable, offering a competitive LCOH and attractive DPBP that align with the strategic objectives of Saudi Vision 2030.