Material Insights · Understanding the Material World

Electrolysers: Engineering methods

Alkaline, PEM, solid oxide, and the older chlorine and aluminium cells

What this tab covers The engineering methods that can do this conversion, compared on efficiency, scale, economics, limitations and reliability.

Four families split water; chlor-alkali, aluminium smelting and plating are older and, for now, far larger users of electrolytic power.

Comparison

MethodEfficiencyScaleEconomicsLimitationsReliability
Alkaline water electrolysis (AWE)37918About 65-70% LHV for large commercial units20 MW modules of about 300 cells; GW-scale plantsChinese systems installed in China 500-1,100 USD/kW (2025)Bulky; slower to follow fast swings in wind and solarLongest-lived of the low-temperature types
Proton-exchange membrane (PEM)1855 kWh/kg system (61% LHV) in 2022MW to hundreds of MW1,000 USD/kW uninstalled (2022)Iridium and titanium supply40,000-hour stack life (2022), target 80,000
Solid-oxide electrolysis (SOEC)181925About 90% LHV on electricityPilot to multi-MW (largest units at refineries)No settled market price yetNeeds a heat source and steady running; ceramics degrade fasterLittle long-term fleet data
Anion-exchange membrane (AEM)6No benchmark in the cited sourcesSmall unitsPromises to avoid iridium and platinumMembrane durabilityEarly commercial
Chlor-alkali (membrane cell)10141,979 kWh per tonne NaOH at 6 kA/m2Plants above 800,000 t NaOH a yearElectricity about 70% of chlorine cost in EuropeOutput tied to chlorine demandMature
Aluminium smelting (Hall-Heroult)12161712.1-13.1 DC kWh/kg in modern cells; world average 14.1 MWh/t ACPot lines of hundreds of cells at 400-600 kAElectricity is the largest cash costBurns 0.43 t of carbon per tonne, giving direct CO2Mature
Electroplating and electrowinning31Set by the share of current that deposits metal rather than making hydrogenWorkshop baths to large copper and zinc refineriesSmall energy cost per partToxic baths (cyanide, chromium)Mature

For hydrogen, alkaline is cheapest per kW and dominant in China; PEM costs more and needs iridium but suits variable power; solid oxide uses least electricity where heat is available but is still early; AEM is a bet on dropping precious metals. In all of them three numbers rule: kWh per kg (voltage), USD per kW (current density and factory scale) and running hours. Chlor-alkali and aluminium show a mature electrolytic industry: the best aluminium cells still use about twice the theoretical minimum, and plants go where power is cheap.

How each method works

Alkaline water electrolysis (AWE)

Nickel-coated steel electrodes in 30-40% potassium hydroxide, separated by a porous diaphragm (Zirfon) that passes ions but not gas. Cheapest and most mature.

Proton-exchange membrane (PEM)

A solid acid polymer membrane with an iridium anode and a platinum cathode. Compact, high current density, fast response.

Solid-oxide electrolysis (SOEC)

Ceramic cells split steam at 700-900 C, so industrial or nuclear heat can replace part of the electricity.

Anion-exchange membrane (AEM)

A solid membrane that carries hydroxide ions in a dilute alkaline liquid, aiming for PEM-style compactness with nickel catalysts.

Chlor-alkali (membrane cell)

Brine gives chlorine at a coated titanium anode; sodium ions cross a membrane to a nickel cathode, where water becomes caustic soda and hydrogen.

Aluminium smelting (Hall-Heroult)

Alumina dissolved in molten cryolite is split by current from carbon anodes into a pool of liquid aluminium.

Electroplating and electrowinning

Metal ions are reduced onto a part or cathode; Faraday's law gives about 1.19 g of copper or 1.10 g of nickel per amp-hour (calculated).

Sources

  1. Technical Targets for Proton Exchange Membrane Electrolysis US Department of Energy, Hydrogen and Fuel Cell Technologies Office, 2023
  2. Green H2 electrolyser sector enters consolidation: IEA (reporting IEA Global Hydrogen Review 2026; cost figures not on the IEA's free web pages) Argus Media, 2026
  3. Water Electrolyzers and Fuel Cells Supply Chain: Supply Chain Deep Dive Assessment US Department of Energy, 2022
  4. How Can India Indigenise Hydrogen Electrolyser Manufacturing? (Annexure) Council on Energy, Environment and Water (CEEW), 2024
  5. Critical Iridium Demands arising from future Expansion of Proton Exchange Membrane Electrolysis (Wortmann, Stolten, Heinrichs), preprint arXiv 2509.05357, 2025
  6. thyssenkrupp nucera General Investor Presentation, May 2026 (company claims) thyssenkrupp nucera, 2026
  7. The right chlor-alkali electrolysis technology for your needs thyssenkrupp nucera, 2024
  8. Factsheet: Aluminium smelting with use of low-carbon electricity GIZ, 2025
  9. Why Europe needs local production of chlorine Euro Chlor, 2026
  10. AP60 and APXe smelting technology factsheet (company data) Rio Tinto AP Technology, 2015
  11. History and Recent Developments in Aluminum Smelting in China (Gao, Wang, Shi, Hu), 35th ICSOBA Conference ICSOBA, 2017
  12. The Role of E-fuels in Decarbonising Transport (revised January 2024) International Energy Agency, 2024
  13. Bloom Energy Corp Form 10-K for fiscal year 2025 Bloom Energy / US SEC, 2026
  14. Sunfire 2025: scaling, partnerships and European strength (company news) Sunfire, 2025
  15. CODATA value: Faraday constant US National Institute of Standards and Technology, 2022