South Korea Initiates Auction for Clean Hydrogen Power Plants
Key Ideas
- The Ministry of Trade, Industry and Energy in South Korea has launched an auction to purchase electricity from 'clean' hydrogen power plants to reduce greenhouse gas emissions.
- The auction aims to promote competition among suppliers to provide hydrogen-based energy at competitive prices through long-term supply contracts with fixed prices.
- Only facilities emitting no more than 4 kilograms of CO2 equivalent per kilogram of hydrogen are eligible to participate, with the goal of generating 6,500 GWh annually starting in 2028 under a 15-year contract.
- The selection of the winning supplier, to be announced by December, will consider criteria like hydrogen procurement stability and contributions to the industry and economy.
The Ministry of Trade, Industry and Energy in South Korea has initiated an auction to purchase electricity from 'clean' hydrogen power plants as part of efforts to reduce the country's greenhouse gas emissions. The auction aims to create competition among suppliers to provide hydrogen-based energy at competitive prices, with long-term supply contracts at fixed rates. Eligible facilities must adhere to strict regulations, emitting no more than 4 kilograms of CO2 equivalent per kilogram of hydrogen. The intended outcome is to generate 6,500 GWh of power annually, starting in 2028 under a 15-year contract. The selection process for the winning supplier, expected to be announced around December, will take into account factors such as stability in hydrogen procurement and contributions to the industry and economy.