South Korea announced the hydrogen economy roadmap and the hydrogen regulation aligned with its decarbonization plan. We evaluated the positive and negative impacts of hydrogen by comparing i) the energy return on investment, ii) the greenhouse-gas emissions, iii) the levelized cost of electricity, iv) the import dependency, v) and the long-term energy storage as well as other applications of hydrogen with other electricity sources. We argued that green hydrogen reduces GHG emissions and improves energy security despite its relatively high supply cost based on the objective comparison. At the end, we suggest policies to maximize the benefits of hydrogen while minimizing its negative economic impacts
DOI: 10.22982/NEXTWP.2021.12.17
ABSTRACT
South Korea announced the hydrogen economy roadmap and the hydrogen regulation aligned with its decarbonization plan. However, the environmental, economic, and social sustainability of the hydrogen economy has never been studied thoroughly in South Korea. We evaluated the positive and negative impacts of hydrogen by comparing five core criteria, including i) the energy return on investment, ii) the greenhouse-gas emissions, iii) the levelized cost of electricity, iv) the import dependency, v) and the long-term energy storage as well as other applications of hydrogen with other electricity sources. We argued that green hydrogen reduces greenhouse gas emissions and improves energy security despite its relatively high supply cost based on the objective comparison. To maximize the benefits of hydrogen while minimizing its negative economic impacts, we provided multiple policy suggestions, including introducing hydrogen portfolio standards for promoting green hydrogen and importing green hydrogen for promoting hydrogen economy and industry.
Recommended Citation
Hong, S.H. et al. (2021). Hydrogen Economy in South Korea: Promising Future or Unreachable IDEA? NEXT Group Working Paper Series, 2021-03.