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Problem

Clean hydrogen at $1/kg (electrolysis at scale)

Clean hydrogen made by splitting water with renewable or low-carbon electricity could decarbonize ammonia, steel, refining and e-fuels, but it only displaces fossil (grey) hydrogen, typically about $1-2/kg, if its full production cost falls to roughly the same level. Electrolyzer makers compete on stack efficiency (kWh/kg), capital cost ($/kW), durability and operation on variable power, since electricity and capex dominate the levelized cost. The US DOE Hydrogen Shot defines the target: $1 per kg of clean hydrogen within a decade of 2021 (by 2031), with an interim $2/kg by 2026 and electrolyzer system cost of $250-500/kW. SOLVED means an unsubsidized levelized cost of hydrogen <= $1/kg at plant gate from commercial-scale (100 MW+) electrolysis with lifecycle emissions under the clean-hydrogen threshold, demonstrated with audited operating data.

Funding

$600M

Raised by the 3 companies working on it, 2 undisclosed.

Prize money for solving it$0
Open competition pools$0

Why it is still open

The IEA Global Hydrogen Review 2025 reports that low-emissions hydrogen stays costlier than unabated fossil production in the near term, the cost gap widened as gas prices fell and electrolyzer costs rose with inflation and slow deployment, and announced 2030 low-emissions production fell from 49 to 37 Mtpa, with electrolysis projects responsible for more than 80% of the drop. DOE's own baseline at Hydrogen Shot launch was about $5/kg for electrolytic hydrogen, and EU Hydrogen Bank winners still need subsidies of up to ~EUR 3.49/kg on top of market prices (2026 auction).

Source: iea.org

Who is working on it

Electric Hydrogen$600M HYPRPlant: factory-built 100 MW-class PEM electrolyzer plants from a 1.2 GW/yr Devens, MA factory, targeting lowest installed plant cost. InvestorsFortescue, Fifth Wall, Energy Impact Partners, BP Ventures, Temasek, Microsoft Climate Innovation Fund, Oman Investment Authority, United Airlines Sustainable Flight Fund
Sunfireundisclosed Industrial pressurized alkaline and solid-oxide (SOEC) electrolyzers, scaling factory output in Germany for multi-hundred-MW projects. InvestorsLGT Private Banking, GIC, Ahren Innovation Capital, Lightrock, Planet First Partners, Amazon Climate Pledge Fund, Carbon Direct Capital, European Investment Bank
Hysataundisclosed Capillary-fed alkaline electrolyser demonstrated at 95% system efficiency (41.5 kWh/kg) vs ~75% (52.5 kWh/kg) incumbents, attacking the electricity-cost term directly. Investorsbp Ventures, Templewater, POSCO Holdings, IP Group Australia, Kiko Ventures, Clean Energy Finance Corporation (via Virescent Ventures), Vestas Ventures

Prizes

What counts as solved

The acceptance condition, stated in Lean 4. Measurements a computer cannot produce on its own are named inputs, supplied by whoever attests them.

import Mathlib

/-!
# Clean hydrogen at $1/kg (electrolysis at scale)

Target modelled on the US DOE Hydrogen Shot ("1 1 1": $1 per 1 kg in 1 decade) with
the DOE Clean Hydrogen Production Standard (lifecycle ≤ 4.0 kg CO2e / kg H2,
well-to-gate). A board may substitute EU RFNBO (≤ 3.38 kg CO2e / kg H2).

Concrete in Lean: the levelized cost of hydrogen (LCOH) formula with a capital
recovery factor, the acceptance predicate, rungs, and a proved lemma that LCOH is
monotone in electricity price.

Opaque oracle (`PlantAudit`): the audited cost inputs (installed CAPEX, O&M,
electricity contracts, stack replacement), metered H2 output and purity, and the
lifecycle-emissions assessment (e.g. 45VH2-GREET or equivalent). Attesters: an
independent financial auditor and an emissions verifier; plant must have operated for
the stated period. Currency must be pinned (Hydrogen Shot uses 2020 USD).

Units: USD, kg H2, kWh, years; emissions kg CO2e / kg H2; capacity MW electrical.
-/

namespace OpenSpur.Problems.GreenHydrogenCost

/-- Capital recovery factor r(1+r)^n / ((1+r)^n − 1). -/
noncomputable def crf (r : ℝ) (n : ℕ) : ℝ := r * (1 + r) ^ n / ((1 + r) ^ n - 1)

/-- Audited plant data (oracle-attested inputs). -/
structure PlantAudit where
  capex : ℝ                 -- USD, installed
  discountRate : ℝ
  lifetimeYears : ℕ
  fixedOMPerYear : ℝ        -- USD / yr incl. stack replacement annuity
  kWhPerKg : ℝ              -- system specific energy, kWh / kg
  electricityPrice : ℝ      -- USD / kWh, delivered, contracted
  otherVarPerKg : ℝ         -- USD / kg (water, compression to spec, etc.)
  annualKg : ℝ              -- metered kg / yr at spec purity
  capacityMW : ℝ
  operatedYears : ℝ
  lifecycleCO2e : ℝ         -- kg CO2e / kg H2, well-to-gate
  auditSigned : Prop

noncomputable def lcoh (p : PlantAudit) : ℝ :=
  (p.capex * crf p.discountRate p.lifetimeYears + p.fixedOMPerYear) / p.annualKg
    + p.kWhPerKg * p.electricityPrice + p.otherVarPerKg

structure Thresholds where
  maxLcoh : ℝ          -- USD / kg; Hydrogen Shot: 1
  maxCO2e : ℝ          -- kg CO2e / kg; DOE CHPS: 4.0
  minCapacityMW : ℝ    -- "at scale", e.g. 100
  minOperatedYears : ℝ -- e.g. 1

def hydrogenShot : Thresholds :=
  { maxLcoh := 1, maxCO2e := 4, minCapacityMW := 100, minOperatedYears := 1 }

def Solved (T : Thresholds) (p : PlantAudit) : Prop :=
  p.auditSigned ∧ 0 < p.annualKg ∧
  lcoh p ≤ T.maxLcoh ∧
  p.lifecycleCO2e ≤ T.maxCO2e ∧
  T.minCapacityMW ≤ p.capacityMW ∧
  T.minOperatedYears ≤ p.operatedYears

/-- Cheaper electricity never raises LCOH (specific energy nonnegative). -/
theorem lcoh_mono_price (p : PlantAudit) (hE : 0 ≤ p.kWhPerKg) (c : ℝ)
    (hc : c ≤ p.electricityPrice) :
    lcoh { p with electricityPrice := c } ≤ lcoh p := by
  unfold lcoh
  have := mul_le_mul_of_nonneg_left hc hE
  simp only
  linarith

/-- If a plant is solved, the same plant with cheaper power is solved. -/
theorem solved_of_cheaper_power (T : Thresholds) (p : PlantAudit) (hE : 0 ≤ p.kWhPerKg)
    (c : ℝ) (hc : c ≤ p.electricityPrice) (h : Solved T p) :
    Solved T { p with electricityPrice := c } := by
  obtain ⟨h1, h2, h3, h4, h5, h6⟩ := h
  exact ⟨h1, h2, le_trans (lcoh_mono_price p hE c hc) h3, h4, h5, h6⟩

end OpenSpur.Problems.GreenHydrogenCost

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