An interactive model of how electricity, water and hydrogen flow through a green-hydrogen plant — and how utilisation and the power-to-hydrogen spread convert into annual revenue, EBITDA and asset value for an investor.
Electricity and water feed an electrolyser, which splits water into hydrogen; the gas is compressed, stored and dispatched to offtakers. It's a conversion business: the margin is the spread between the hydrogen price and the electricity cost, and — because the plant is capital-heavy — it only works at high utilisation. Watch power flow in (the cost) and hydrogen flow out (the revenue), and how the spread builds EBITDA and value.
Year-1 financials flow live from the simulation above: revenue £0 and EBITDA £0 p.a. Set your deal terms below — the unlevered IRR (asset return) and levered IRR (return to equity, after debt) recompute instantly.
Illustrative model. Represents a ~100 MW electrolyser at ~50 kWh/kg, operating 24×365. Revenue = hydrogen produced × price (in practice underpinned by an offtake or subsidy contract such as the Hydrogen Production Business Model) plus byproducts (oxygen, recovered heat, grid flexibility). Electricity is the dominant variable cost and scales with running, while stack, labour and connection costs are largely fixed — hence the utilisation and power-to-hydrogen spread sensitivity (it can be loss-making). EBITDA = revenue − operating costs. The investment case is a simplified DCF: unlevered IRR discounts free cash flow to the firm (EBITDA − cash tax − capex) plus an exit on the EV/EBITDA multiple; levered IRR is the equity cash flow after debt. For illustration only — not investment advice, and not any specific asset.