[Lagging Hydrogen Economy] Clean Energy Hydrogen Breaks the Shackles of 'Oil-Scarce Countries'

Divided into 4 Types by Hydrogen Production Method
Gray Hydrogen, Blue Hydrogen, Green Hydrogen, Pink Hydrogen, etc.
An Opportunity for a 'Country Without a Drop of Oil' to Break Free
When the Government Invests in Production, Transportation, and Storage Facilities

Editor's NoteHydrogen, the most abundant element on Earth, emits water when burned. With no greenhouse gas emissions, it is gaining attention as a new energy source in the carbon-neutral era. Countries around the world are making efforts to foster a hydrogen economy. South Korea was the first in the world to develop hydrogen vehicles and holds the highest adoption rate, but there is still a long way to go. Especially since the new government took office, concerns have spread that hydrogen policies might be regressing. This article examines the role of hydrogen as a future energy source and the importance of policy support.

'A country without a drop of oil.'

This has been a phrase heard so often over the past 50 years since the 1970s. Energy has been a shackle on the Korean economy. However, signs of change are emerging. The moment has come when the Korean economy could take flight on the wings of hydrogen energy. South Korea is competing for first or second place globally in hydrogen vehicles and hydrogen fuel cells. However, it lags behind in production, transportation, and storage. There are calls to understand hydrogen energy and develop related technologies to secure national competitiveness.

Hydrogen is the most common element, making up 75% of the universe. The sun also produces light and heat as hydrogen atoms undergo nuclear fusion to become helium. It is easily obtainable and leaves nothing but water after combustion, making it regarded as a future clean energy source. The problem is that pure hydrogen does not exist naturally. Most hydrogen is combined with water or exists in hydrocarbon forms. Therefore, separation processes are essential to obtain hydrogen.

Depending on the production method, hydrogen is classified as gray hydrogen, blue hydrogen, green hydrogen, or pink hydrogen. Gray hydrogen is extracted from mixed gases emitted during the processing and use of petrochemical raw material naphtha in industrial processes. Another method involves decomposing natural gas (methane) mixed with high-temperature, high-pressure steam through catalytic reactions. It is currently the most widely used and cheapest. However, the massive carbon dioxide emissions make it far from carbon neutrality, which is a critical drawback. Blue hydrogen uses the same method as gray hydrogen but reduces carbon emissions by capturing and storing carbon dioxide (CCS).

An experiment producing hydrogen through water electrolysis using a catalyst. Photo.

On the other hand, hydrogen produced by electrolyzing water using electricity is called green hydrogen or pink hydrogen. Green hydrogen is produced using electricity generated from renewable energy sources such as solar and wind power. It is considered the ultimate clean energy with zero carbon dioxide emissions. However, renewable energy prices are still high, and precious metals like platinum used as catalysts are expensive. To commercialize, infrastructure development and technological innovation to secure price competitiveness are essential. Pink hydrogen uses surplus electricity and heat from nuclear power plants. Excluding inherent nuclear issues (radioactive waste, accident risks, etc.), it has low costs and almost no carbon emissions.

Currently, according to the International Energy Agency (IEA), production costs are approximately $1 to $2.2 per kg for gray hydrogen, $1.5 to $3 per kg for blue hydrogen, and $3 to $7.2 per kg for green hydrogen. However, including transportation and storage costs raises the total cost. Nevertheless, considering the environment, there are no better alternatives. Moreover, fossil fuel prices continue to rise and will eventually be depleted.

Let's take cars powered by various energy sources as an example. Although exact comparisons are difficult due to different fuel efficiencies across models, hydrogen fuel cell vehicles show excellent fuel efficiency. Hydrogen fuel cell vehicles are equipped with fuel cell stacks, drive motors, and hydrogen storage devices instead of internal combustion engines. The motor is driven by electricity generated from the chemical reaction between hydrogen and oxygen. The representative hydrogen fuel cell vehicle Nexo has a combined fuel efficiency of 93.7 to 96.2 km/kg. Among LPG vehicles, Renault Korea Motors' 'QM6 LPe' holds the highest market share, with fuel efficiency of 8.6 to 8.9 km/ℓ. The Kia 'Sorento,' which ranked first in domestic passenger car sales last year, has a gasoline 2.5 turbo model fuel efficiency of 10.3 to 11 km/ℓ.

As of the 9th, the national average hydrogen price is 9,427 KRW per kg, LPG is 989.59 KRW per liter, and gasoline is 1,590.31 KRW per liter. Assuming these vehicles travel 600 km, hydrogen is the cheapest. Nexo requires about 6.23 kg, costing 58,730 KRW. QM6 LPe needs 67.42 liters, costing 66,718 KRW, and Sorento requires 54.55 liters, costing 86,751 KRW. Fuel efficiency ranks hydrogen -> LPG -> gasoline. Per kilometer, Nexo costs 97.99 KRW, QM6 LPe 111.19 KRW, and Sorento gasoline model 144.57 KRW.

South Korea is evaluated to have world-class technology in hydrogen fuel cells and mobility (hydrogen vehicles). However, it is weak in production, transportation, and storage. Last September, construction began on a 12.5 MW hydrogen production facility in Jeju Island, but transportation ships and storage facilities are still in their infancy. It is time for national investment in all areas of hydrogen production, transportation, and storage for the future.