Global Potential of Renewable Energy Trade: Identifying Importers and Exporters
Key Ideas
  • Renewable energy technologies like wind power and solar PV are crucial for achieving low-carbon electricity systems.
  • Countries with abundant renewable resources can become energy supply nodes for both electricity and electricity-derived fuels.
  • Studies have identified potential importers and exporters of hydrogen based on factors like resource availability, financial costs, and demand.
  • This study introduces novel metrics, the Renewable Export Cost Index and Renewable Export Volume Index, to assess countries' renewable energy potential for trade.
Limiting global temperature rise requires an energy shift towards zero or negative CO2 emissions by mid-century. The electrification of various sectors will drive up electricity demand, necessitating a focus on renewable energy sources like wind and solar power. Countries with ample renewable resources can serve as energy hubs for both electricity and electricity-derived fuels. Different studies have explored the potential for hydrogen trade, highlighting countries like the US, Australia, Canada, and China as potential leaders. This study introduces new metrics, the Renewable Export Cost Index and Renewable Export Volume Index, to evaluate countries' renewable energy potential for trade. Unlike previous studies, this research considers national disparities in financial capabilities and energy demands. The analysis integrates factors like solar insolation, wind speed, financial costs, and energy demands to assess countries' resource quality and quantity for trade. By focusing on simplicity and transparency, this study offers a straightforward method for estimating countries' renewable energy potential for export, irrespective of the specific form of energy traded.
ADVANCEH2

Our vision is to be the world's leading online platform for advancing the use of hydrogen as a critical piece needed to deliver net-zero initiatives and the promise of a clean H2 energy future.

© 2025 AdvanceH2, LLC. All rights reserved.