Development and environmental impact of hydrogen supply chain in Japan: Assessment by the CGE-LCA method in Japan with a discussion of the importance of biohydrogen

Hydrogen is an attractive and clean source of energy with a high energy content and environmentally friendly production using green power. Hydrogen is therefore considered to be one of the future alternatives to fossil fuels that can limit the damage done by climate change. A dynamic GTAP model with LCA method is utilized herein in this investigation to forecast the development of the hydrogen supply chain and CO2 emissions in Japan. The supply chain incorporates six hydrogen-related industries – biohydrogen, steam reforming, electrolysis, hydrogen fuel cell vehicles (HFCV), hydrogen fuel cells (HFC), and hydrogen fueling stations. ne results reveal that the positive impacts on hydrogen application sectors (HFCV, HFC and HFS) are greater than hydrogen generation sectors (biohydrogen, steam reforming and electrolysis). Sensitivity analysis reveals that HFCV, HFC and biohydrogen are the three industries that are most sensitive to technology advance. Hydrogen-related industries will play a more important role if Japan shut down nuclear power plants or to meet the CO2 mitigation target in response to the conclusions of COP 19. Biohydrogen has the potential gradually to become a major hydrogen-generating technology for future development of green economy.