"For decades, Korea has had to rely on imports for energy because it lacks natural resources. But hydrogen production is a domain of technology, not resources. If we secure unrivaled hydrogen technology, we can move beyond energy independence and become a country that exports energy."
Kim Seon-dong, director of the National Hydrogen Research Laboratory at the Korea Institute of Energy Research (KIER), described the significance of hydrogen for Korea's energy industry in these terms during a recent meeting with The Seoul Economic Daily at the institute's headquarters in Daejeon.
The laboratory Kim personally introduced is the backbone of Korea's hydrogen research and development (R&D), covering every process in the hydrogen production unit, from hydrogen fuel cells to stacks that serve as engines in hydrogen power systems. Research is underway based on solid oxide electrolysis cell (SOEC) technology, which electrolyzes high-temperature steam at more than 700 degrees Celsius. Productivity has been significantly improved by introducing artificial intelligence (AI) process inspection and supersonic ceramic spray technology.
SOEC is considered a next-generation core hydrogen technology because its energy efficiency is higher than other hydrogen technologies, requiring about 30 percent less electricity to produce hydrogen. While other low-temperature water electrolysis technologies use 52 to 54 kilowatt-hours (kWh) of electrical energy per kilogram of hydrogen, the SOEC method typically requires only around 38 kWh. In 2024, the institute succeeded in localizing the solid oxide electrolysis cell stack and transferred the technology to domestic companies such as Beom Han Fuel Cell.
Kim's assessment is that realizing the hydrogen economy can be accelerated if synergies are created with Korea's leading nuclear power industry. SOEC technology requires heat of more than 700 degrees Celsius, and the high-temperature heat emitted from nuclear power plants can be utilized directly. "Nuclear power plants always have high temperatures in the process of boiling water in the core to turn turbines," Kim said. "This steam can be electrolyzed into hydrogen." "Pink hydrogen," which refers to hydrogen produced from nuclear power, is considered more suitable for Korea's narrow land environment because it can utilize existing nuclear plant sites and transmission infrastructure.
Hydrogen technology is currently in a transitional phase ahead of commercialization, according to the analysis. The importance of policy for realizing the hydrogen economy was also mentioned. "Looking at the automotive industry, diesel vehicles are being phased out through emissions regulations, and a natural shift to eco-friendly vehicles such as hybrids and electric vehicles is taking place," Kim said. "For hydrogen as well, reducing generation costs through advanced technology is important, but ultimately a policy shift is the key."
Kim emphasized that Korea's hydrogen industry should aim for cooperation rather than competition. "Various hydrogen-related parts have been localized, but it is expected to take about three more years for a complete system integrating them to be commercialized in Korea," he said. "Korea, a latecomer compared to advanced countries such as Europe, the United States, and Japan, has significantly narrowed the gap, but industry-academia-research cooperation is becoming more important in terms of creating an overall hydrogen ecosystem." He added, "We must enter the global market in hydrogen production by 2030, and securing technological sovereignty for this is urgent."
For this reason, the Ministry of Science and ICT (MSIT) designated the institute as a "Solid Oxide Electrolysis Key Research Laboratory." "China has come to dominate global markets such as solar power and batteries as a result of pouring national support into the energy industry," Kim said. "If China's support expands in earnest in the hydrogen industry as well, it will not be easy to compete, so Korea must proceed with development in a single unified line." He added, "We are supporting development by forming an industry-academia-research one-team that links materials, parts, and systems."
Indeed, the hydrogen industry, which had seemed a distant future energy source, has moved beyond demonstration into commercialization in China. China's Baowu Steel launched the world's first commercial operation of a 1-million-ton-per-year hydrogen-based direct reduction steelmaking facility at its Zhanjiang steel mill in Guangdong Province late last year. Hydrogen-based direct reduction is an eco-friendly technology that uses hydrogen instead of coal in the process of removing oxygen from iron ore to produce iron. Chinese hydrogen companies such as Sungrow and Peric also export water electrolysis equipment to Europe, the Middle East, and South America.
The hydrogen industry agrees that attention should be paid to the policies of Japan, a resource-poor country like Korea. Japan's New Energy and Industrial Technology Development Organization (NEDO), an agency under the Ministry of Economy, Trade and Industry, recently allocated subsidies of up to 35 billion yen (about 323 billion won) to JERA, the country's largest power company, and Denso, its largest auto parts maker, to help lower SOEC costs. The plan is to reduce the price of SOEC equipment to around 68,000 yen per kW by 2032, enabling price competition with Chinese equipment.
What Is Core Power?
It refers to the independent and irreplaceable capabilities a nation secures in various fields, including technology, security, diplomacy, administration, and culture.
