South Korea launched new auctions for hydrogen-fired power, offering 500 GWh classified as clean power and 930 GWh as general power, in a bid to phase out coal-fired power by 2040.

Bidders vying for the clean power contracts, which will be awarded in the second half of 2026, must comply with an emissions threshold of maximum 4 kilograms of CO2 per kilogram of hydrogen produced.

The auction plan was unveiled by the Ministry of Climate, Energy and Environment (MCEE), which also ruled out coal-ammonia co-firing, a previously favored decarbonization solution for coal-fired plants, from eligibility for the clean power bidding round.

General hydrogen power bids accept hydrogen and hydrogen-derived fuels with higher emission levels, potentially including grey hydrogen. It remains unconfirmed whether ammonia co-firing will be permitted under the general bidding category.

The ministry also plans to revise the evaluation criteria for clean hydrogen power auctions to foster the domestic clean hydrogen industry, boost local production and strengthen South Korea's overall hydrogen supply chain.

In 2024, the country's Ministry of Trade, Industry and Energy (MOTIE) rolled out a 15-year bidding program for up to 6.5 TWh of electricity generated from clean hydrogen power.

South Korea targets an annual clean hydrogen power generation of 3-3.5 TWh by 2027.

The Asia-Pacific region is ramping up hydrogen and hydrogen derivative adoption to decarbonize power generation, with Japan and Singapore also tendering for ammonia and hydrogen-powered energy assets.

Singapore's Energy Market Authority (EMA) has recently issued a proposal call for three new hydrogen-ready gas-fired power plants, scheduled for commissioning by 2032.