Bloom Energy and SK ecoplant Collaborate on a Major Hydrogen Project to be Developed by Korea Southern Power Co., Ltd
- The demonstration project aims to fully convert all vehicles and electricity generation to renewables by 2030, demonstrating an alternative way to provide renewable and sustainable energy.
- The extension of the partnership with SK ecoplant to include the deployment of Bloom's SOEC technology in South Korea demonstrates the commitment to the lowest cost green hydrogen for the country.
- The consortium aims to produce green hydrogen, secure economic viability in distribution, and establish a foundation for commercialization.
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Insights
The collaboration between Bloom Energy and SK ecoplant to deploy a large-scale green hydrogen demonstration project in South Korea marks a significant advancement in the hydrogen energy sector. The use of Bloom's Solid Oxide Electrolyzer (SOEC) technology is a strategic move, considering the high efficiency of SOEC in converting electricity into hydrogen, especially when compared to other electrolyzer technologies. This efficiency is crucial as it directly impacts the cost of producing green hydrogen, which has been one of the barriers to wide-scale adoption of hydrogen as a clean energy source.
South Korea's commitment to clean hydrogen and renewable energy, exemplified by the 'Carbon Free Island 2030' project on Jeju Island, provides a conducive environment for the success of such initiatives. The 1.8 MW deployment, while modest in global terms, is a significant step for South Korea and could set a precedent for other countries in the region. The commercial viability of green hydrogen production hinges on technological advancements and cost reductions, which could be positively influenced by the outcomes of this demonstration project.
The strategic partnership between Bloom Energy and SK ecoplant, which began in 2018, has already led to the deployment of 400 MW, indicating a robust and effective collaboration. The extension of their partnership to include green hydrogen production is a natural progression that could open up new market opportunities for both companies. This project is not just a technological demonstration but also a testbed for assessing the economic viability of green hydrogen production at scale.
Given the growing global focus on sustainability and the transition towards cleaner energy sources, successful demonstration and subsequent commercialization could provide Bloom Energy and SK ecoplant with a competitive edge in the burgeoning hydrogen market. The ability to efficiently distribute and commercialize green hydrogen could disrupt traditional energy sectors and create new industry standards, potentially influencing stock valuations and investment trends in the renewable energy space.
The project aligns with South Korea's broader environmental goals and its push towards a hydrogen economy, which is supported by government policies and incentives. The demonstration's alignment with the 'Carbon Free Island 2030' initiative on Jeju Island underlines the policy-driven demand for green technologies. The public-private partnership model, involving a consortium of companies and technologies, is indicative of a holistic approach to energy transformation that could serve as a blueprint for other regions.
Long-term, the successful integration of green hydrogen into South Korea's transport fuel mix could serve as a catalyst for policy changes in other countries looking to reduce carbon emissions. The project's emphasis on the economic viability of green hydrogen is particularly noteworthy, as it addresses one of the primary concerns hindering the adoption of hydrogen energy solutions. The demonstration's results could influence environmental policies and investment in renewable energy infrastructure globally.
Seong Jun Bae, VP, Energy Business, SK ecoplant, and Tim Schweikert, Head of Global Sales, Bloom Energy, shake hands on an agreement to deploy Bloom's solid oxide electrolyzer in the Jeju Island hydrogen demonstration. (Photo: Business Wire)
The first-of-its-kind demonstration for
“The extension of our partnership with SK ecoplant to include this deployment of Bloom’s SOEC is a logical step to show the superior efficiency of our electrolyzers compared to other technologies in the important South Korean market,” said KR Sridhar, founder and chairman, CEO of Bloom Energy, Inc. “South Korea has been a leader in policies enabling clean hydrogen, and the efficiency and flexibility of Bloom’s SOEC will demonstrate our commitment to the lowest cost green hydrogen for South Korea.”
SK and Bloom have a strategic relationship on a number of projects in
“The results of this demonstration project will be crucial for SK to advance in the electrolysis market and pursue green hydrogen development projects domestically and internationally using Bloom's Solid Oxide Electrolyzer Cell (SOEC),” said Kyung-il Park, CEO of SK ecoplant. “This participation exemplifies a strategic collaboration between SK and Bloom, expanding the scope of cooperation from power generation (fuel cell) to global green hydrogen development projects, further strengthening the strategic partnership between the two companies."
The demonstration includes a consortium of companies and technologies. The Bloom Electrolyzer was chosen for its industry-leading high electrical efficiency, enabling KOSPO and the collaborators to achieve the highest efficiency results.
Jeju Island’s “Carbon Free Island 2030” project aims to fully convert all vehicles and electricity generation to renewables by 2030. Hydrogen generated from this project will be used to advance that goal, demonstrating an alternative way to provide renewable and sustainable energy by helping supply green hydrogen to hydrogen refueling stations to power public vehicles.
Using geographic characteristics of Jeju, known for its wind power and abundant natural resources, the consortium is undertaking to build and operate the nation’s largest 12.5MW-scale hydrogen production facilities, including other electrolyzer technologies. The consortium aims to produce green hydrogen, secure economic viability in distribution, and establish a foundation for commercialization.
Launched in 2018, the strategic partnership between Bloom Energy and SK ecoplant has strengthened their respective market leadership positions in power generation and the global hydrogen economy. SK ecoplant will be a preferred distributor globally for Bloom Energy solid oxide fuel cells (SOFC) and SOEC in markets where SK ecoplant has a significant presence and competitive advantage. Bloom Energy and SK ecoplant have deployed 400 MW since the beginning of the partnership.
For more information about Bloom Energy’s platform and the company’s commitment to a zero-carbon future, see: https://www.bloomenergy.com/technology/
Forward Looking Statements
This press release contains certain forward-looking statements, which are subject to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements generally relate to future events or our future financial or operating performance. In some cases, you can identify forward-looking statements because they contain words such as “anticipate,” “believe,” “could,” “estimate,” “expect,” “intend,” “may,” “should,” “will” and “would” or the negative of these words or similar terms or expressions that concern Bloom’s expectations, strategy, priorities, plans or intentions. These forward-looking statements include, but are not limited to, expectations for a successful demonstration between the companies; expected hydrogen produced during the project; the expected use of the hydrogen as fuel for transport; the scope and terms of the proposed partnership, and the ability of the companies to fortify their market leadership positions. More information on potential risks and uncertainties that may impact Bloom’s business are set forth in Bloom’s periodic reports filed with the SEC, including its Annual Report on Form 10-K for the year ended December 31, 2022, filed with the SEC on February 21, 2023 and its Quarterly Reports on Form 10-Q for the quarters ended March 31, 2023, June 30, 2023, and September 30, 2023, as filed with the SEC on May 9, 2023, August 3, 2023, and November 8, 2023, respectively, as well as subsequent reports filed with or furnished to the SEC from time to time. Bloom assumes no obligation to, and does not intend to, update any such forward-looking statements.
About Bloom Energy
Bloom Energy empowers businesses and communities to responsibly take charge of their energy. The company’s leading solid oxide platform for distributed generation of electricity and hydrogen is changing the future of energy. Fortune 100 companies around the world turn to Bloom Energy as a trusted partner to deliver lower carbon energy today and a net-zero future. For more information, visit www.bloomenergy.com.
About SK ecoplant
SK ecoplant is the environment and energy arm of SK Group and is leading the group’s future ESG business as a global environmental and energy company. By integrating AI and digital transformation into its entire value chain of the environmental business, SK ecoplant is upgrading its business and accelerating the expansion of its operation to the global market from its global operation base in
It has grown rapidly in the waste battery recycling sector and renewable energy sectors, including hydrogen, fuel cells, offshore wind power and photovoltaic power. It is also committed to ESG-oriented management for sustainable growth, leading the efforts to solve global environmental and energy issues and achieve a circular economy for zero waste and net zero.
View source version on businesswire.com: https://www.businesswire.com/news/home/20231227722340/en/
Investor Relations
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Bloom Energy
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Media Contacts
Amanda Song
Bloom Energy
press@bloomenergy.com
David Park
SK ecoplant
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Source: Bloom Energy
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