Introduction of Hydrogen produced by Renewable Energy into the Peruvian Electricity Market

Abstract

Hydrogen energy is considered as the fuel of the future and it is already being introduced in the energy markets of more developed regions; however, it remains uncertain its potential impact in developing countries such as Peru. On the other hand, the Peruvian energy sector has being growing during the last decade but electricity production has also been shifting from a renewable energy source, such hydropower toward a fossil fuel namely natural gas. The paper examines the potential for hydrogen production from solar and wind power and also the potential substitution of natural gas by hydrogen produced by renewable energy sources. A potential carbon emission reduction is also estimated as a preliminary approach.