H. Yoo
Research expert covering South Korea
Hydrogen industry in South Korea - statistics & facts
As one of the most abundant materials on the planet, hydrogen has become an attractive alternative energy source, particularly since technologies to hone its potential have become more accessible. In South Korea alone, demand for hydrogen energy is expected to exceed 75 exajoules by 2050. While South Korea has incredible potential to successfully transition to green hydrogen, previous setbacks in infrastructural and budgetary support for hydrogen have delayed this actualization. Despite this, multiple projects are underway to resuscitate the domestic hydrogen industry, opening a possible avenue for a carbon-neutral future for the country.
Revitalizing the South Korean hydrogen economy
The South Korean hydrogen market had seen a boom nearly a decade ago before slowing down, partly due to infrastructural challenges and high power generation costs. Despite having the third-most hydrogen charging stations worldwide, current infrastructure has yet to fully utilize hydrogen energy production. To resolve such imbalances, the South Korean government came out with a roadmap for revitalizing the hydrogen economy in 2019, aiming to provide infrastructural support and regularly supply over five million tons of green hydrogen per year by 2040. Indeed, the years following have seen major players in various sectors express interest in further investing in hydrogen. Large companies such as Hyundai Oilbank and national electricity providers like Korea Midland Power (KOMIPO) have shared plans to invest in green and blue hydrogen in the coming years.Current status of the domestic hydrogen industry
In 2022, over three trillion South Korean won was invested in the utilization and production of hydrogen. According to a recent survey among companies in hydrogen-related businesses in South Korea, over half were in their first product launch stage to generate sales and profits. Among mainland regions in South Korea, the province of Gyeonggi produces the most hydrogen energy. This region is also responsible for around a quarter of hydrogen fuel cell power facilities installed in the mainland. Indeed, the province is home to the Seongnam Metropolitan Water Purification Plant, which was the first in the country to handle electrolysis with renewable energy for green hydrogen production. Meanwhile, the provincial island of Jeju has its own standards for green energy, already operating a 3.3-megawatt green hydrogen production plant, with goals to increase capacity to 12.5 megawatts in the future. While the South Korean hydrogen industry faces challenges, such as decarbonizing energy-heavy industries, hydrogen is likely to maintain its role as a major player in the energy sector as the country works toward achieving its carbon-neutrality goals.
