Location matters: Exploring the effects of regional geographical and political characteristics on hydrogen pipeline costs globally

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Main Authors: Weißenburger, Bastian, Karkossa, Lukas, Stephan, Annegret, McKenna, Russell
Format: Preprint
Published: 2025
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author Weißenburger, Bastian
Karkossa, Lukas
Stephan, Annegret
McKenna, Russell
author_facet Weißenburger, Bastian
Karkossa, Lukas
Stephan, Annegret
McKenna, Russell
contents Transporting hydrogen using pipelines is becoming increasingly relevant in the energy system, yet current cost estimates typically rely on simplistic approaches that overlook region-specific characteristics, leading to potential underestimations of costs. This paper examines hydrogen pipeline costs by incorporating regional geographical factors, such as land use, topography and existing infrastructure, together with political-economic factors represented through country-specific weighted average costs of capital. Using a GIS-based model, we demonstrate that the regional levelized cost of transportation can vary by up to a factor of three. Comparing our approach with conventional ones based on uniform detour factors in an existing European energy system analysis framework shows substantial deviations in trade flows and highlights the relevance of this work. We provide cost and route data for 4,900 potential global pipeline routes. Our findings yield valuable insights for further research and stakeholders when assessing the economic viability of hydrogen as a competitive energy carrier.
format Preprint
id arxiv_https___arxiv_org_abs_2505_01124
institution arXiv
publishDate 2025
record_format arxiv
spellingShingle Location matters: Exploring the effects of regional geographical and political characteristics on hydrogen pipeline costs globally
Weißenburger, Bastian
Karkossa, Lukas
Stephan, Annegret
McKenna, Russell
Physics and Society
General Economics
Economics
Transporting hydrogen using pipelines is becoming increasingly relevant in the energy system, yet current cost estimates typically rely on simplistic approaches that overlook region-specific characteristics, leading to potential underestimations of costs. This paper examines hydrogen pipeline costs by incorporating regional geographical factors, such as land use, topography and existing infrastructure, together with political-economic factors represented through country-specific weighted average costs of capital. Using a GIS-based model, we demonstrate that the regional levelized cost of transportation can vary by up to a factor of three. Comparing our approach with conventional ones based on uniform detour factors in an existing European energy system analysis framework shows substantial deviations in trade flows and highlights the relevance of this work. We provide cost and route data for 4,900 potential global pipeline routes. Our findings yield valuable insights for further research and stakeholders when assessing the economic viability of hydrogen as a competitive energy carrier.
title Location matters: Exploring the effects of regional geographical and political characteristics on hydrogen pipeline costs globally
topic Physics and Society
General Economics
Economics
url https://arxiv.org/abs/2505.01124