Hydrogen Cars Stumbled by Environmentalist 'Mongni'

Claims on Clean Hydrogen Scope Ignoring Environmentalists and Production Conditions
Passage of 'Hydrogen Act Amendment' Agreed by Both Parties Faces Difficulties
Concerns Over Loss of Investment Momentum for Hyundai Motor and Related Companies

[Image source=Yonhap News]

[Sejong=Asia Economy Reporter Kwon Haeyoung] Concerns are spreading that the growth momentum of the domestic hydrogen vehicle market may be stifled as the revision bill of the Hydrogen Act for revitalizing the hydrogen economy failed to pass within the year due to the 'stubbornness' of ruling party environmentalists. The current technology is still in its infancy to obtain clean hydrogen at a low cost, but some environmentalists within the National Assembly are criticized for cutting off the market's growth entirely by strictly limiting the scope of clean hydrogen rather than expanding the market share. There are calls for the introduction of a clean hydrogen certification system that considers the current technological level and economic feasibility, as seen overseas in the European Union (EU) and Japan.

According to the National Assembly on the 30th, the revision bill of the Hydrogen Act, which includes the introduction of a clean hydrogen certification system and the mandatory clean hydrogen power generation system, has not even passed the threshold of the National Assembly's standing committee due to opposition from some ruling party lawmakers. Although most lawmakers from both ruling and opposition parties have tentatively agreed on the amendment, Yang Yi-won-young, a leading environmentalist of the ruling Democratic Party, insists that only green hydrogen should be recognized as clean hydrogen, causing no further progress.

Clean hydrogen is broadly divided into 'green hydrogen,' which emits no carbon during the hydrogen production process, and 'blue hydrogen,' which captures emitted carbon. Currently, the insistence is on recognizing only green hydrogen as clean hydrogen, despite its high manufacturing cost and difficulty in mass production. Because of this, related companies such as Hyundai Motor have set investment plans worth 43 trillion won, but the passage of the Hydrogen Act revision bill has stalled, making smooth investment implementation uncertain.

This stance of the ruling party lawmakers is less persuasive when compared to cases in other countries. According to a recent report by the National Assembly Research Service titled "Overseas Clean Hydrogen Certification Systems and Domestic Implications," countries such as the EU, Japan, and China implement or are preparing to introduce clean hydrogen certification systems based on carbon emissions during the production process, considering their own hydrogen production conditions.

The EU recognizes both green and blue hydrogen as clean hydrogen. It requires a reduction of carbon emissions by more than 60% compared to 'gray hydrogen,' which extracts hydrogen from natural gas. China also certifies hydrogen in three stages?low-carbon, clean, and renewable hydrogen?based on the amount of carbon reduction. Japan is reviewing a plan to certify clean hydrogen by classifying it into four grades according to carbon reduction levels. Both the EU and Japan recognize hydrogen produced by electricity generated from nuclear power plants as clean hydrogen.

The Research Service stated, "When introducing a domestic certification system, it is necessary to consider overseas certification systems, domestic hydrogen supply stability, hydrogen production technology levels, and economic feasibility."

A ruling party official said, "Some lawmakers are demanding that the government include in its enforcement decree when only green hydrogen will be included as clean hydrogen," adding, "There is no case where a specific timing is stipulated in the law, and considering the current hydrogen production technology and economic feasibility, it is premature."