Game-Theoretic Assessment of Grid-Scale Hydrogen Energy Storage Adoption in Island Grids of the Philippines
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Abstract
This study introduces an integrated Life Cycle Assessment–Multi-Criteria Decision Analysis–Nash Equilibrium (LCA–MCDA–NE) framework to assess the feasibility of hydrogen energy storage (HES) in Philippine island grids. It starts with a cradle-to-gate LCA of hydrogen production across various electricity mix scenarios, from die-sel-dominated Small Power Utilities Group (SPUG) systems to high-renewable config-urations, quantifying greenhouse gas emissions. These impacts are normalized and in-tegrated into an MCDA framework that considers four stakeholder perspectives: Regu-latory (PRF), Developer (DF), Scientific (SF), and Local Social (LSF). Attribute utilities for Maintainability, Energy Efficiency, Geographic–Climatic Suitability, and Regulatory Compliance inform a 2×2 strategic game where net utility gain (Δ) and switching costs (C₁, C₂) influence adoption behavior. The findings indicate that the baseline Nash Equilibrium favors non-adoption due to limited utility gains and high switching barriers. However, enhancements in Main-tainability and reduced costs can shift this equilibrium toward adoption. The LCA results show meaningful decarbonization occurs only when low-carbon generation exceeds 60% of the electricity mix. This integrated framework highlights that successful HES de-ployment in remote grids relies on stakeholder coordination, reduced risks, and access to low-carbon electricity, offering a replicable model for emerging economies.
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- last seen: 2026-05-20T01:45:00.602351+00:00