Government Fully Stocks Hydrogen for 50,000 Vehicles

Final Selection of Support Targets for 2020 Hydrogen Extraction Facility Construction Project
Small-scale Facilities Installed in Busan, Daejeon, Chuncheon; Medium-scale Facilities in Gwangju, Changwon

[Asia Economy Reporter Moon Chaeseok] The government announced that it has secured the capacity to supply hydrogen equivalent to about 50,000 vehicles through the hydrogen extraction facility construction project. The facilities refer to supply installations that extract and produce hydrogen from liquefied natural gas (LNG) and other sources.

The Ministry of Trade, Industry and Energy announced on the 19th that it has finalized the selection of support targets for this year's 'Hydrogen Extraction Facility Construction Project.'

The project is part of the government's announced 'Hydrogen Economy Activation Roadmap.' It supports the construction of facilities to establish a hydrogen transportation network, including hydrogen cars and buses.

For small-scale facilities, three locations were selected: Busan City, Daejeon City, and Chuncheon City in Gangwon Province. For medium-scale facilities, two locations were chosen: Gwangju City and Changwon City in Gyeongsangnam-do.

Small-scale facilities can produce more than 1 ton of hydrogen per day, enough for about 40 buses.

This year, a total of 25 billion KRW in national funds will be supported to build five sites (5 billion KRW per site).

The remaining two sites (with national funding of about 10 billion KRW) are planned to be announced in a second public notice in the second half of the year.

Last year, Samcheok City in Gangwon Province, Changwon City, and Pyeongtaek City in Gyeonggi Province were finally selected, with 15 billion KRW of national funds invested.

An expert committee evaluated and selected the sites by comprehensively considering factors such as the connection to nearby hydrogen bus routes and bus charging stations, hydrogen supply prices and operation plans, and measures to secure resident acceptance and safety.

Medium-scale facilities can produce more than 4 tons of hydrogen per day, enough for 150 buses or 10,000 passenger cars. Two regions were selected this year.

From this year to next year, 16 billion KRW (8 billion KRW per site, 40% of the total project cost) in national funds will be supported. This year, 4.44 billion KRW in national funds will be provided.

Source: Ministry of Trade, Industry and Energy

Selections were made through a public contest conducted by Korea Gas Corporation from December last year to January this year, considering hydrogen car and charging station distribution plans, securing resident acceptance and local government support, and the effects of fostering the regional hydrogen industry.

The Ministry of Trade, Industry and Energy secured an additional hydrogen supply capacity equivalent to about 7,400 tons per year, enough for 760 buses or 49,000 passenger cars, through the facility construction project.

An official from the ministry said, "The economic feasibility and stability of domestic hydrogen supply have greatly increased, enabling a faster spread of hydrogen mobility."

The government plans to increase the number of hydrogen passenger cars from 15,158 as of this year to 65,000 in 2022 and 2.75 million in 2040.

The distribution of hydrogen buses will increase from 195 this year to 2,000 in 2022 and 40,000 in 2040.

The goal is to expand hydrogen charging stations from 154 this year to 310 in 2022 and 1,200 in 2040.

An official from the ministry said, "We will actively strive to establish hydrogen mobility infrastructure early without causing inconvenience to the public and to leap forward as a leading country in the global hydrogen economy."

This content was produced with the assistance of AI translation services.