World's First Hydrogen Power Generation Bidding Market Opened... Bidding Volume 1300 GWh

The Ministry of Trade, Industry and Energy announced on the 9th that it will implement the world's first hydrogen power generation bidding market.

The hydrogen power generation bidding market is a system for purchasing and supplying electricity produced using hydrogen or hydrogen compounds (such as ammonia) as fuel.

Electricity purchasers, such as Korea Electric Power Corporation (KEPCO) and regional electricity business operators, must purchase hydrogen power generation volumes according to the Ministry of Trade, Industry and Energy's announced guidelines, considering the basic plan for electricity supply and demand. Suppliers, the hydrogen power generation businesses, will supply the purchased hydrogen power generation volumes to buyers through competitive bidding.

Fuel cells, as part of hydrogen power generation, have been promoted through the Renewable Portfolio Standard (RPS) system and renewable energy supply obligations. However, unlike solar and wind power, fuel costs are incurred, and considering the application of various hydrogen power generation technologies such as hydrogen turbines and ammonia co-firing, the hydrogen power generation bidding market has been established.

The bidding market held this year will open once in the first half and once in the second half, considering that it is the first year of the system. Among these, the first half bidding was announced on the 9th through the bidding market management institution (Korea Power Exchange).

The bidding volume is 650 GWh, which is 50% of this year's total bidding volume (1300 GWh). The final successful bidders will be selected by mid-August through a comprehensive evaluation of price indicators such as the power generation unit price and non-price indicators including power system impact and industrial and economic contributions.

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