[Constructionin] "Fuel Cell the Size of a Refrigerator, Optimal for Meeting Seoul's Power Demand"

Kim Beomjun, Vice President of Fuel Cell Business at SK Ecoplant
Distributed Deployment Possible Where Electricity Is Needed
Possesses Top Efficiency 'SOFC' Technology
Established 'BloomSK Fuel Cell' with Bloom Energy
Efforts for Domestic Production of SOFC and Localization of Components

Editor's Note'Construction in' is an interview series focusing on individuals active in the construction industry. We aim to deliver vivid industry stories by meeting construction professionals who stand out in various fields such as core businesses and new growth engines of construction companies.

Seoul has the lowest power self-sufficiency rate (power generation compared to power consumption) in the country (10% as of last year, Korea Electric Power Corporation). This is because although demand is high, there is insufficient power generation infrastructure. Most domestic power plants are located far from urban areas on the coast due to issues such as site acquisition and noise. As an alternative to solve this urban power supply problem, 'hydrogen fuel cells' are emerging.

Kim Beom-jun, Vice President in charge of the fuel cell business at SK Ecoplant, explained in an interview with Asia Economy on the 13th, "Fuel cells are power sources optimized for urban areas where surplus land is scarce and power demand is high." Fuel cells are a type of distributed power generation facility using renewable energy resources (hydrogen). Unlike large-scale power plants, they can be distributed and installed where electricity is needed.

[Constructionin] "Fuel Cell the Size of a Refrigerator, Optimal for Meeting Seoul's Power Demand"

Kim Beom-jun, Vice President of the Fuel Cell Business at SK Ecoplant, is being interviewed by Asia Economy on the 13th at the SK Ecoplant headquarters in Susong-dong, Jongno-gu, Seoul. Photo by SK Ecoplant

Vice President Kim emphasized, "Fuel cells bridge the gap between conventional fossil fuels and renewable energy." Fuel cells are an energy source that can complement the shortcomings of renewable energy. They are free from the intermittency issues that other renewable energy sources face. Solar and wind power generation fluctuate greatly depending on weather conditions, but fuel cells produce electricity stably as long as fuel is supplied. Even if there is a problem with the central power supply system, independent energy production and consumption are possible. They are especially suitable for facilities in urban areas that require 24-hour power, such as data centers, hospitals, and financial institutions, leading to increased demand. They also have the advantages of renewable energy sources. Unlike fossil fuel power generation, there is no combustion process, so emissions of pollutants such as nitrogen oxides (NOx), sulfur oxides (SOx), and fine dust are low.

The biggest advantage of the fuel cells supplied by SK Ecoplant is efficiency. According to Vice President Kim, they possess the highest efficiency SOFC technology among existing fuel cells. They have focused on maximizing SOFC electrical efficiency and achieved results such as supplying thermal energy, heating and cooling technology, and self-developing heat recovery modules. Based on this technological capability, SK Ecoplant secured approximately 380MW of orders domestically as of the end of 2022.

The utilization rate maintaining existing performance for a long time is also high. Vice President Kim said, "Typically, power generation facilities often have on-site personnel for after-service (AS), but SK Ecoplant's fuel cells operate stably over a long period, so there is no need for that."

A view of the Bloom SK Fuel Cell manufacturing plant in Gumi-si, Gyeongbuk. Photo by SK Ecoplant

SK Ecoplant is striving for the localization of SOFC. In January 2020, they established a joint venture ‘BloomSK Fuel Cell’ with Bloom Energy to localize SOFC components, and started domestic production of SOFC by completing the BloomSK Fuel Cell manufacturing plant in Gumi, Gyeongbuk. The annual production volume in 2022 was about 140MW, already exceeding the target. Localization of key components used in the fuel cell main system, such as pipes and water and power modules, is also underway in collaboration with domestic companies.

Recently, SK Ecoplant also launched a 45 billion KRW-scale blind fund to support the SOFC business. They plan to leverage their know-how of successfully securing financial funding for the first time in the hydrogen power bidding market based on stable fuel cell performance. Vice President Kim emphasized, "Reducing the financing period is key to business feasibility," adding, "We have not only the economic feasibility of the SOFC fuel cell business but also financial strengths." He stressed, "We will play a role as a ‘green hydrogen supplier’ actively responding to climate change and solving global warming issues."

Vice President Kim has been involved in the fuel cell business for over 15 years. In 2010, he served as head of the strategy marketing team at POSCO Energy’s fuel cell business division, then as marketing team leader of the fuel cell business group at SK Construction, and currently works as an executive in charge of the fuel cell business at SK Ecoplant.