Nuclear energy will be the most cost-effective means of producing green hydrogen when natural gas prices are well above the generally low levels seen over the last decade, according to a new International Atomic Energy Agency study that underscores the importance of having a diverse mix of low-carbon sources for a successful clean energy transition.

The study found that as gas prices increase, the optimal mix of technologies for producing low-carbon, or green hydrogen shifts in favour of nuclear and renewable energy and away from natural gas with or without carbon capture and storage.