Hydrogen law, regulations & strategy in South Korea

South Korea is seen as a global leader in the development of hydrogen projects, with many recent ambitious plans and announcements being made in the country.  It has been developing hydrogen technology in major sectors of the economy such as electricity, energy, transport, commercial, retail and marine. Several key hydrogen projects and hydrogen fuel cell production units are already operating in South Korea. Further, in September 2021, the inaugural Korea H2 Business Summit, attended by fifteen member companies already involved in the hydrogen economy, was held. The companies, which include Hyundai Motors (“Hyundai”), POSCO Group, SK Group and Hyosung Corporation, have established the council to discuss and promote the development of the hydrogen economy in South Korea and will provide policy recommendations to the government.

Since early 2017, the Noeul Fuel Cell Facility has been operational in the Mapo District of Seoul. The 20 MW fuel cell combined heat and power (“CHP”) facility was developed by Korea Hydro and Nuclear Power (“KHNP”), other government companies and POSCO Energy. The project produces power at the CHP factory with the electricity generated by the fuel cells being sold to the Korea Power Exchange and the heat being sold to Korea District Heating Company, the largest heat supplier in South Korea.

In 2017, in Hwasung City, Korea South East Power developed a 19.8 MW fuel cell facility. In June 2020, the facility begun operating commercially, aiming to generate 165,000 MWh of electricity per year and supply it to 43,000 households in the Gyeonggi Province. In March 2021, an agreement was signed with Korea Western Power (a subsidiary of South Korea’s state electricity provider) and Samchully (a fuel gas manufacturing and piping company) for the development of an 80 MW fuel cell facility. Once built, the power station, which is intended for completion by 2024, will have capacity to supply electricity to about 185,000 households. 1 https://www.ajudaily.com/view/20210326175347295#:~:text=Hwaseong%20City%20to%20build%2080%2Dmegawatt%20hydrogen%20power%20plant%20by%202024,-Lim%20Chang%2Dwon&text=SEOUL%20%2D%2D%20An%20eco%2Dfriendly,electricity%20to%20about%20185%2C000%20households.

Additionally, in July 2020, Hanwha Energy Corporation (“Hanwha Energy”) completed construction of a 50 MW fuel cell plant in the Daesan industrial complex, in Seosan City. 2 https://www.hanwha.com/en/news_and_media/press_release/hanwha-energy-celebrates-its-completion-of-the-worlds-first-and-largest-byproduct-hydrogen-fuel-cell-power-plant.html The plant was built in conjunction with other South Korean conglomerates and is the world’s first plant to utilise by-product hydrogen, produced by a nearby Hanwha Total factory. It is the largest hydrogen fuel cell power plant in the world and will generate 400,000 MWh of electricity to supply 160,000 households in the Chungnam Province. 3 https://www.hanwha.com/en/news_and_media/press_release/hanwha-energy-celebrates-its-completion-of-the-worlds-first-and-largest-byproduct-hydrogen-fuel-cell-power-plant.html

Energy & Industry

With regard to production of fuel cells, South Korea’s largest private energy producer, POSCO Energy is ranked among the top in terms of production volume globally. POSCO Energy’s fuel cells are used for hydrogen fuel plants, biogas facilities, marine, commercial, and other infrastructure projects. At present the hydrogen produced is largely from fossil fuels but it is expected that, over time, more hydrogen will be produced from renewable sources and using CCUS technologies to create low-carbon hydrogen.

Transportation

By country, South Korea is home to the largest proportion of hydrogen FCEVs in operation – about 14,500 4 or 33% of the global total. 5 https://energy.economictimes.indiatimes.com/news/power/korean-hydrogen-vehicles-supply-highest-in-the-world/82307317 This has increased from a 29% market share in 2020. 6 https://www.iea.org/data-and-statistics/charts/fuel-cell-vehicles-and-hydrogen-refueling-station-stock-by-region-2020  Further, the government intends to put 6.2 million hydrogen vehicles on the road by 2040 – 5.9 million passenger cars, 60,000 buses, 120,000 taxis and 120,000 trucks. 7 http://www.koreaherald.com/view.php?ud=20210825000848  However, the significant uptake in fuel cell vehicles – which is driven in part by government subsidies 8 https://www.bangkokpost.com/business/2056259/south-korea-ups-subsidies-for-eco-friendly-cars-to-speed-up-green-push  – has not yet been matched by an investment in refuelling infrastructure. As of 2021, South Korea has about 88 hydrogen fuelling stations 9 https://www.iphe.net/republic-of-korea compared to 134 in Japan and 90 in Germany. 10 https://www.statista.com/statistics/1026719/number-of-hydrogen-fuel-stations-by-country/ The South Korean government has announced plans to build 54 more refuelling stations by the end of 2021, 11 https://www.bangkokpost.com/business/2056259/south-korea-ups-subsidies-for-eco-friendly-cars-to-speed-up-green-push and aims to have developed 1,200 by 2040. 12 http://www.koreaherald.com/view.php?ud=20210913000863

At the forefront of the hydrogen transportation sector is the vehicle production at Hyundai in South Korea. Hyundai has been developing core technologies for fuel cell electric vehicles (“FCEV”) since it produced its first prototype in 2001. 13 https://www.autocar.co.uk/car-review/hyundai/ix35-fuel-cell-2013-2018 Its goals are to produce 500,000 FCEV by 2030 and invest approximately 7.6 trillion Korean Won (approximately USD$6.4 billion) in research and development. According to the company, it aims to produce approximately 1,100 FCEVs in 2020. 14 https://link.springer.com/article/10.1007/s10098-020-01936-6 In September 2021, Hyundai announced plans to offer hydrogen fuel cell versions of all of its commercial vehicles by 2028. 15 https://www.reuters.com/business/autos-transportation/hyundai-offer-hydrogen-fuel-cell-versions-all-commercial-vehicles-by-2028-2021-09-07/

In 2016, Hyundai established a hydrogen production facility that uses by-product gas at its affiliate group’s, Hyundai Steel, Dangjin Integrated Steel Mills. It began operating in February 2016 and as of 2021 produces up to 3,5000 metric tonnes of steel annually. 16 http://www.koreaherald.com/view.php?ud=20210520000771 The plant is capable of fully charging around 1,300 FCEVs per day and 473,000 FCEVs per a year. There are plans to increase the production capabilities of the plant to 40,000 tonnes annually by 2025. 17 http://www.koreaherald.com/view.php?ud=20210520000771

Another subsidiary of Hyundai, Hyundai Mobis, develops a significant portion of the technology for Hyundai’s FCEVs. In particular, it produces a number of key components including the Powertrain Fuel Cell module (“PFC”) which consists of a fuel cell stack, hydrogen and air supply devices, a thermal management device, and battery system. 

There are many other major corporations in the hydrogen fuel cell industry in South Korea, including Doosan Fuel Cell SK and Hanwha. Moreover, South Korea also has several has smaller companies emerging in the market, such as BDI that, in 2020, has been contracted for the development of components and construction for a 13.28 MW fuel cell plant.

While South Korea has been investing heavily in, and actively developing, hydrogen-related projects, challenges related to increasing economies of scale and commercialisation have become apparent. For example, the maintenance costs for fuel cells post-completion of a plant has been costly. In this regard, some companies have experienced difficulties upkeeping their maintenance contracts with existing plants as the costs could not be borne by the owners.

While M&A activity has been slow, it is expected that some South Korean companies may be interested in bringing new partners on board with their hydrogen projects, which in turn may give rise to opportunities for third party acquisitions. As part of this, investors will need to address the current hurdles around the relatively high maintenance costs of hydrogen fuel electric vehicles (“HFEV”) and improve the quality and durability of the fuel cell components. It is anticipated that, in the long run, the technology will be sufficiently refined to bring maintenance costs in line with commercial profitability. Notably, a recent announcement by Hyundai saw the company committing to reducing the cost of its hydrogen fuel cell vehicles to that of electric vehicles by 2030. 18 https://www.reuters.com/business/autos-transportation/hyundai-offer-hydrogen-fuel-cell-versions-all-commercial-vehicles-by-2028-2021-09-07/ One example of recent M&A activity in the hydrogen arena is South Korean conglomerate SK Group’s 2021 USD$ 1.5 billion acquisition of a controlling share in US hydrogen fuel cell manufacturer Plug Power Inc. 19 https://www.kedglobal.com/newsView/ked202101070013 As part of the wider partnership, Plug Power and SK subsidiary SK E&S Co. have also signed a joint venture agreement to provide fuel cell systems, hydrogen refuelling stations and electrolysers to the wider Asian market. 20 https://www.electrive.com/2021/10/10/plug-power-and-sk-es-establish-hydrogen-joint-venture/

An area of growth is the development of hydrogen clusters. The Ministry of Trade, Industry and Energy has announced a 1.27 trillion Korean Won (approximately USD£ 1.07 billion) commitment to establishing a green hydrogen production cluster in North Jeolla Province, a blue hydrogen production cluster in Incheon, a hydrogen storage and transportation cluster in Gangwon Province, a hydrogen mobility cluster in Ulsan and a hydrogen fuel cell cluster in North Gyeongsang Province. 21 http://www.koreaherald.com/view.php?ud=20210825000848

On the transport side, as mentioned above, South Korea intends to continue to expand its market share in FCEVs. The FCEV market and its subsidiaries are seen as an industry with major future growth by companies like Hyundai, with significant potential for exports. In conjunction with the national objectives to introduce electric cars and FCEVs, and phase out internal combustion engine vehicles, it is expected that South Korean FCEV-related companies will likely seek to acquire foreign companies with the necessary technology, alongside its continued research and development at home. For example, in December 2019, Hyundai acquired 100% of shares in Sichuan Hyundai, now Hyundai Truck & Bus (China) Co., Ltd, that was previously a joint venture between Hyundai and Sichuan Nanjun Automobile Group established in 2012. Hyundai has a strategy to develop Sichuan Hyundai into a specialised hydrogen vehicle research, development and production facility, with the aim of taking a lead in the Chinese market. Furthermore, Hyundai established a new joint venture, Hyundai Hydrogen Mobility (“HHM”), with H2E, a Swiss hydrogen energy consulting company. HHM currently has 50 FCEV trucks in circulation in the Swiss rental market, with a goal of 1,600 FCEV Switzerland by 2025. HHM was awarded “Watt d’Or 2021” – which recognises Swiss energy innovation – for their advancements in support of the Swiss hydrogen economy. 22 https://www.hyundai.com/worldwide/en/company/newsroom/-0000016613  Switzerland is expected to be a growing market for FCEV and a forward base to infiltrate the entire European market. Closer to home, Hyundai intends to build its first overseas hydrogen fuel cell production plant in Guangzhou, China, by the end of 2021, following authorisation from the Ministry of Trade, Industry and Energy which is required for cross-border export of fuel cell technology due to concerns of possible data leaks. 23 https://www.kedglobal.com/newsView/ked202101050008

In relation to financing, private financing is available from most commercial banks in South Korea. For example, Kookmin Bank (one of South Korea’s largest retail banks) and five other financial institutes were involved in the project financing of a USD$200 million 39.6 MW fuel cell facility in Incheon, South Korea, which was completed in July 2021. 24 https://fuelcellsworks.com/news/khnp-completes-hydrogen-fuel-cell-power-plant-for-incheon-fuel-cell-co-ltd-in-south-korea/ Another example is the ESG fund announced in February 2021 by the Export-Import Bank of Korea (“Eximbank”), which aims to support South Korean businesses expanding overseas in areas including hydrogen. 25 http://www.koreaherald.com/view.php?ud=20210223000775 Eximbank will also guarantee green bonds issued by Hanwha Solutions as part of the energy company’s efforts to strengthen its hydrogen businesses. 26 https://www.koreatimes.co.kr/www/biz/2021/07/126_307294.html

Five members of the council attending the Korea H2 Business Summit announced a combined investment of 43.3 trillion Korean Won (approximately USD$ 36.3 billion) in the hydrogen value chain by 2030. 27 https://www.kedglobal.com/newsView/ked202109080016

In July 2020, the South Korean government published the Korean New Deal which included the “Green New Deal” focussing on (i) green transition of infrastructures, (ii) low-carbon and decentralised energy, and (iii) innovation in green industry. The Green New Deal will involve investment of 73.4 trillion Korean Won (approximately USD$ 61.3 billion) to developments including expanding the supply of hydrogen vehicles, developing hydrogen generation technologies and establishing hydrogen cities. 28 https://english.moef.go.kr/pc/selectTbPressCenterDtl.do?boardCd=N0001&seq=4948#fn_download

In 2021, the South Korean government revisited its support for eco-friendly vehicles and announced a 365.5 billion Korean Won (approximately USD$ 305.5 million) subsidy scheme to support deployment of 15,185 units – 126.2 billion Korean Won more than was committed in 2020. 29 https://news.hyundaimotorgroup.com/Article/Has-South-Korea-changed-its-subsidy-plan-for-green-vehicles-in-2021 In addition, the South Korean government has set out its goals to subsidise hydrogen projects more widely, so investors may also seek government support where this is available. More on this below.

Financial support and incentives

The South Korean government has established a USD$34 million Hydrogen Economy Fund (the “Fund”) to support matters connected with the generation and use of alternative fuels generally, of which hydrogen is one. However, the Fund is seen as relatively small and so may not be sufficient to profitably support the sorts of projects the country needs to meet its policy objectives.  Nonetheless, the South Korean government is working very closely in tandem with major conglomerates and financial institutions in South Korea to encourage the development of the hydrogen sector generally, including the Korea H2 Business Summit. With a goal of nurturing 1,000 hydrogen-specialised companies by 2040, the government will provide incentives for companies wanting to convert into a hydrogen business and to promote technology-sharing between companies.

With regard to hydrogen fuelled automobiles specifically, in August 2020 the South Korean government proposed amendments to the existing Trucking Transport Business Act and the Passenger Transport Service Act. The amendments are focused on promoting the commercial use of hydrogen fuelled transport vehicles. In essence, the amendments state that government subsidies will be available to transport business owners that use hydrogen fuelled vehicles as part of their business.

In order to tackle a lack of investment in hydrogen infrastructure due to short-term profitability of assets, the government is considering a “Build-Transfer-Lease” model under its Green New Deal pursuant to which the private sector would build infrastructure, transfer ownership to government and then lease it back over a 30 or 50-year period. 30 https://www.intralinkgroup.com/en-GB/Media/News/January-2021/South-Korea%E2%80%99s-hydrogen-economy-report

Research and education

Private South Korean companies are at the forefront of the research and education of the hydrogen fuel technology. However, government institutes such as the Korean Institute of Science and Technology (“KIST”) also are involved in research and education. KIST’s Centre for Hydrogen and Fuel Cell Research drives the commercialisation of fuel cell systems. The Centre’s research currently focuses on renewable water electrolysis, chemical hydrogen storage, as well as fuel cells applicable to transportation, power generation, and portable devices.

Specific legislation/regulation

In January 2019, the South Korean government announced the Hydrogen Economy Roadmap (the “Roadmap”) to promote the development and use of hydrogen energy.

On 4 February 2020, the South Korean government promulgated the Hydrogen Economy Promotion and Hydrogen Safety Management Act (“Hydrogen Act”), which came into force on 5 February 2021.

The Hydrogen Act is now the central legislation regulating the hydrogen industry, while the Act on the Promotion of the Development, Use and Diffusion of New and Renewable Energy (the “Renewable Energy Act”), which was last amended in March 2017, will be used where an issue is not covered.

Regardless of the legislation, the Ministry of Trade, Industry and Energy (the “Ministry of Energy”) is responsible for policy development for the hydrogen economy in South Korea. Its remit encompasses the development of national policies as well as the licensing and registration (and de-registration) of a company as a hydrogen-specialised business (under Articles 11 and 12 of the Hydrogen Act). Furthermore, it can oblige power plant owners to develop their plant into a “Hydrogen Fuel Supply Facility”.

Hydrogen production

A licence for the generation of gaseous fuels is required pursuant to the Renewable Energy Act. A company that intends to generate gaseous fuels is required to obtain a licence from the city mayor or district governor or the area in which the generation facility will be constructed. There is also a general requirement to obtain a licence to apply for the establishment of a fuel cell supply facility pursuant to the Hydrogen Act. The Minister of Energy has the authority to require one of the following organisations to submit a plan for the establishment of a fuel cell supply facility:

• central or regional governments;
• public institutions;
• regional state enterprises; and
• any other organisations determined by the Ministry of Energy.

Connection and distribution

Pursuant to Article 36 of the Hydrogen Act, companies wishing to produce hydrogen fuel cells or hydrogen related components must receive approval from the local district authority.  In particular, foreign companies (or South Korean companies based abroad) that wish to export hydrogen fuel cell related components into South Korea must register their business with the Ministry of Energy, pursuant to Article 38 of the Hydrogen Act. 

Transport of hydrogen

Article 50 of the Hydrogen Act deals with the reporting and disclosure requirements of the sales price of hydrogen supplied to automobiles. Transportation of hydrogen is regulated by the High-Pressure Gas Safety Control Act, which requires transportation of dangerous gases, including hydrogen, to be conducted through tube trailers and specialised pipes.

Financing of hydrogen projects

Article 10 of the Hydrogen Act provides that the South Korean government will subsidise or provide loans for the development of hydrogen related projects (including cooperative efforts with foreign entities). Article 13 permits the establishment of private investment funds for the purpose of investing in the hydrogen related industry. The government will raise the USD$34 million Hydrogen Economy Fund and increase the maximum limit on loans to companies investing in hydrogen businesses to USD$8.4 million. To obtain government funding, a company is required to qualify as a hydrogen specialisation company; the criteria for such companies is either to earn at least 30% of sales from hydrogen related business or to invest 20% of its research and development budget into developing hydrogen related products. 11 hydrogen-specialised companies were designated under the Hydrogen Act as of June 2021. 31 https://www.iphe.net/republic-of-korea

Safety regulations

Section 6 of the Hydrogen Act sets forth in detail the safety regulations that a manufacturer of hydrogen related components must comply with. In particular, Article 41 requires that the party must submit an opinion of safety issues by the Korean Gas Corporation.

Secondary legislation and other legal documents

In June 2021 it was proposed to revise the Hydrogen Act to establish “Clean Hydrogen Energy Portfolio Standards” (“CHPS”) and a national clean hydrogen certification scheme. 32 https://www.iphe.net/republic-of-korea  Currently, hydrogen fuel cells are supported by the Renewable Portfolio Standards, which require power companies with greater than 500MW installed capacity to increase renewable generation, 33 https://www.iea.org/policies/4837-renewable-portfolio-standard-rps however a dedicated policy scheme which accounts for hydrogen’s unique characteristics, such as variable input fuel prices, was considered more suitable.

Relevant secondary legislation to the Hydrogen Act is yet to be published.

Regulation of hazardous activities

Section 7 of the Hydrogen Act, which governs the handling, import and export of hydrogen related components, such as fuel cells and hydrogen extractors.

The Ministry of Energy can designate an organisation to be in charge of hydrogen safety, issue a licence for the manufacture of hydrogen related components, monitor the internal safety measures of hydrogen manufacturing companies, and inspect the safety of hydrogen related components.

Transport, import and export of hydrogen

The import of hydrogen related components is also regulated by the Hydrogen Act, which states that imported hydrogen related components can be inspected by the Ministry of Energy or the local authority of the relevant city or district.

In September 2019, the South Korean government signed a letter of intent with the Australian government. As Australia is capable of generating a large amount of hydrogen at a cheaper price and South Korean companies have advanced technology in FCEVs, the letter of intent aims to increase imports of hydrogen from, and exports of FCEVs to, Australia. The two countries also agreed to promote cooperation in the hydrogen industry, for example in the research and development of hydrogen liquefaction technology for the storage and transport of hydrogen. Also in 2019 the government concluded memoranda of understanding with each of Norway (for cooperation around hydrogen and shipping) 34 http://www.koreaherald.com/view.php?ud=20190613000650 , Saudi Arabia (for the provision of LNG from The Kingdom to South Korea, where it will be used to produce hydrogen and the CO2 subsequently returned to Saudi Arabia) 35 https://www.energyvoice.com/oilandgas/304486/saudi-arabia-south-korea-hydrogen-carbon-dioxide/ and Israel, 36 https://fuelcellsworks.com/news/s-korea-israel-sign-mou-on-hydrogen-economy/  along with a letter of intent to investigate development of a large scale liquid hydrogen supply chain from New Zealand to South Korea. 37 https://www.nzhydrogen.org/nz-hydrogen-projects

The Ministry of Energy is the main government entity responsible for energy matters including the regulation of hydrogen projects. Some regulatory activities are delegated to the local authority of the relevant city or district, such as in relation to land permits.

Ministry of Energy

The Ministry of Energy is primarily responsible for regulating the hydrogen industry. This includes the issuing of licences and registrations (and de-registrations) of companies as hydrogen-specialised businesses (under Articles 11 and 12 of the Hydrogen Act).  The subsidiary regulations regarding the licensing requirements are currently being developed.

Additionally, the Ministry of Energy has the authority to specifically instruct facility and plant owners, that are based within certain areas, to develop their facilities into “Hydrogen Fuel Supply Facilities”. Such areas are defined under Article 19 of the Hydrogen Act as free economic zones, rest areas on highways, industrial zones, and any other locations to be determined by the Ministry of Energy.

In addition, the Ministry of Energy will be establishing a specialised institute for the promotion of the hydrogen industry and a specialised institute for the distribution of hydrogen and safety management.

The promotion of the hydrogen industry will be carried out by the Hydrogen Convergence Alliance, a private organisation that aims to improve the competitiveness of hydrogen-specialised companies.

The Korea Gas Corporation, a state enterprise, will establish a system for the distribution and sale of hydrogen, and manage adequate pricing for hydrogen.

The Korea Gas Safety Corporation, a state enterprise, will oversee safety management, the inspection of safety standards for hydrogen related components and facilities, and supporting education, advertisement and international cooperation relating to hydrogen safety.

Hydrogen Economy Committee

To successfully implement the policies of the Ministry of Energy, the Hydrogen Act requires the establishment of the Hydrogen Economy Committee (the “Committee”). The Committee is comprised of the Ministry of Energy, and seven other government bodies, including the Ministry of Economy and Finance, the Ministry of Science and Information Communication Technology, the Ministry of Environment and the Ministry of Land, Infrastructure and Transport, as well as industry, academic, and civil experts.

The Committee held its first meeting on 1 July 2020. At its first meeting, it resolved to implement six major action plans:

• develop 500 hydrogen-specialised companies by 2030 and a further 1000 by 2040;
• raise a USD$34 million Hydrogen Economy Fund to promote the entry of related companies into the market;
• establish four major hydrogen production headquarters in the four major districts of South Korea, and 40 smaller production facilities by 2025, to set up necessary infrastructure;
• establish a hydrogen production system of 100 MW by 2030 for the implementation of various hydrogen projects that would be connected to other renewable energy plants;
• develop hydrogen technology, such as production, storage, transportation and charging; and
• develop technology for the establishment of a cross-ministry hydrogen infrastructure, including technology for building the infrastructure for domestic production facilities, overseas supply network, and hydrogen-based cities.
• The Committee met again in June 2021. The main outcome of that meeting was a proposal to update the Hydrogen Act to establish the CHPS (discussed in section 4.7, above). The Committee also announced that to date:

11 hydrogen-specialised companies had been identified;

• 658.7MW of stationary fuel cell capacity had been deployed, out of a target of 1GW by 2022 and 10.1GW by 2040;
• 88 refuelling stations had been deployed out of a target of 310 by 2022 and 1,200 by 2040; and
• 106 FCEV buses had been deployed out of a target of 40,000 by 2040.

The Ministry of Energy intends to promulgate the subsidiary legislations of the Hydrogen Act including the establishment of CHPS and a hydrogen certification scheme.  Subsidiary legislations of an Act are usually promulgated in conjunction with the Act and require only a confirmation from the President and a relevant Minister.

The Ministry of Oceans and Fisheries has selected a number of ports to be developed into facilities capable of producing and storing hydrogen as well as handling imports and exports and supplying the fuel to ships and land-based vehicles. 38  https://www.globalconstructionreview.com/sk-group-to-spearhead-south-koreas-ambitious-hydrogen-port-plans/ The southern ports of Yeosu and Gwangyang as well as the western port of Pyeongtaek-Dangjin will be developed with chosen partner SK Group, and are intended to complete in 2040. 39 https://www.koreatimes.co.kr/www/nation/2021/07/371_313003.html

The South Korean government has selected three cities – Ansan, Ulsan and Wanju 40 https://ihsmarkit.com/research-analysis/south-korea-plans-northeast-asias-largest-hydrogen-hub.html  – as the target for investment in a bid to become “hydrogen-powered cities”, with major urban functions fuelled primarily by hydrogen, by 2022. 41 https://www.weforum.org/agenda/2019/11/south-korea-green-energy-hydrogen-future-city-fossil-fuel-renewables/

A consortium of state and private sector bodies led by Korea Maritime & Ocean University and Korean Register are seeking to develop a floating offshore wind project co-located with hydrogen generation. 42 https://newenergyevents.com/development-floating-offshore-hydrogen-production-plant-south-korea/  They intend to develop a 1MW demonstrator project by 2022 and a gigawatt-class plant by 2030. The project would incorporate a floating production storage and offloading unit as has been utilised successfully in the oil and LNG sectors. 43 https://www.maritime-executive.com/article/korean-design-for-hydrogen-producing-fpso

Implementation of hydrogen drones is underway in South Korea. The government has signed an 831 million Korean Won (approximately USD$737,000) contract with Doosan Mobility Innovation Inc. for the supply of drones which will be utilised for military surveillance. 44 http://www.koreaherald.com/view.php?ud=20210517000181 In Sejong City, Dominos’s Pizza are also using hydrogen powered drones to support their pizza delivery service.

SK Group, South Korea’s third largest conglomerate, announced plans in 2021 to invest 18.5 trillion Korean Won (approximately USD$ 16.6 billion) over the following 5 years to establish a domestic hydrogen energy industry, 45 https://www.reuters.com/article/southkorea-hydrogen-sk-hldg-idUSL3N2L01EW  including completion of the world’s largest clean hydrogen production facility.