Fast-Response Balancing Capacity of Alkaline Electrolyzers

The energy transition requires flexible technologies to maintain grid stability, and electrolyzers are playing an increasingly important role in meeting this need. While previous studies often question the dynamic capabilities of large-scale alkaline electrolyzer systems, we assess their potential to provide balancing services using real manufacturer data. Unlike common approaches, we propose the decoupling between the total electrolyzer power and a smaller fractions of power actually offered on balancing markets. Adapting an existing methodology, we analyze alkaline electrolyzer systems and extend the assessment to Germany and Europe. Our results show that large-scale electrolyzers are technically capable of delivering fast-response balancing services, with significantly lower dynamic requirements than previously assumed. The planned electrolyzers in Germany could cover the entire balancing capacity market, potentially saving around 13 % of their electricity costs, excluding energy balancing revenues. The decoupling also resolves part of the trade-off for electrolyzer manufacturers, enabling the design of less dynamic but more stable systems.