It is expected that the nationwide hydrogen market will grow 56-fold to JPY 408.5 billion (approx. EUR3,3 billion) by 2030.
Since the retail price for hydrogen is around 100 yen per cubic meter (approx. EUR0,80/Nm3) today, one of the highest priority for the Japanese government is to make hydrogen a cheaper energy carrier and thus more attractive for the industry. The goal is to reduce the retail price to 30 yen/Nm3 (EUR0,24/Nm3) by 2030 and to 20 yen/Nm3 (EUR0,16/Nm3) further in the future.
The Japanese Ministry of Economy, Trade and Industry expects hydrogen technologies to become profitable by 2030. Only afterwards the Japanese government plans to focus more on emission-free hydrogen production.
Jan 17, 2019: release of South Korea’s Hydrogen Economy Roadmap
The Roadmap outlines goal of producing 6.2 million fuel cell electric vehicles and rolling out at least 1200 refilling stations by 2040. Additionally, the plan aims to roll out on the street at least 35 hydrogen buses in 2019 ramping this number up to 2000 by 2022 and 41000 by 2040. In terms of the energy sector, the roadmap outlines an objective to supply 15 GW of fuel cell for power generation by 2040.
2020/09: The government’s vision has the backing of key industrial firms, most importantly the Hyundai Motors Group which plans on investing 7.6 trillion won ($6.7 billion) under its “FCEV Vision 2030” and is part of the HyNet consortium to build 100 new hydrogen refueling stations in South Korea by 2022. If South Korea’s vision is successful, it expects hydrogen to account for 5% of its projected power consumption in 2040, to see its economy grow by 43 trillion won, 420,000 new jobs created, and significant reductions in both fine dust and greenhouse gas emission.
South Korea currently generates 307.6 MW from fuel cells, but has targeted expanding that production to 15GW by 2040. The expectation in the roadmap is that 8GW would be for domestic use, while 7GW would be dedicated to exports.
If the demand for hydrogen grows in line with South Korea’s hydrogen roadmap, demand for hydrogen would increase from 130,000 tons in 2019 to 5.36 million tons a year in 2040. Currently, South Korea’s hydrogen needs are supplied from byproducts in the petrochemical process. As demand grows in the early stages, South Korea would produce hydrogen using LNG. However, in the longer term it is also considering options for producing green hydrogen.