According to the Korea Hydrogen Fuel Cell Industry Association and the Korea Electric Power Exchange, as of 2023, 1,036 MW of fuel cells have been installed in South Korea. In comparison, the United States and Japan each have only 5506MW and 336MW.
South Korea is building small-scale power plants using fuel cells and plans to hold its first bids for clean hydrogen (i.e., less than 4 kilograms of carbon dioxide per kilogram of hydrogen) power generation projects in 2024 and 2025. The Korea Electric Power Exchange recently said it plans to tender 6,500 GWh of electricity in 2024, with delivery expected in 2027. Of these, 3,500 GWh will be generated in the first year of commercial operation, 3,000 GWh in 2025, and delivery in 2028.
Although South Korea has achieved a milestone of 1GW of fuel cell capacity, this is not all good news for South Korea's fuel cell manufacturing industry. According to an industry insider, the [Korean] market seems to be gaining momentum, but it is not. In 2023, South Korea installed only 157MW of new fuel cell generators, up slightly from 142MW the year before. In addition, the recent competition for hydrogen power projects, i.e. 1,300TWh per year from 2023 to 2025, actually represents only about 200MW of new fuel cell capacity. According to industry sources, although producers had expected South Korea's ** to promote hydrogen energy policy and expand their work, domestic demand in South Korea is currently lower than expected, and some production plants have been closed.
***fuelcellchina-news