Hyundai Engineering joins state project to develop hybrid water electrolysis technology

Hyundai Engineering is laying the groundwork to enter the global water electrolysis market through the development of hybrid electrolysis plant technology linked to renewable energy.

The company announced Thursday that it will participate in a state-funded research project — the "Renewable Energy-Grid Fluctuation Response Water Electrolysis System Technology Development Project" — led by the Korea Energy Technology Evaluation and Planning Institute under the Ministry of Climate, Environment and Energy.

The project aims to build and demonstrate a hybrid water electrolysis plant combining alkaline (ALK) and proton exchange membrane (PEM) electrolysis methods. By running both the lower-cost ALK system and the fast-responding PEM system together, the project seeks to handle the irregular output of wind power while improving the stability and cost-effectiveness of hydrogen production. The project is led by Jeju Energy Corporation and involves 10 industry-academic-research institutions, including Hyundai Engineering, Hyundai Engineering & Construction (Hyundai E&C), Hyundai Motor Company, the Korea Power Exchange and Jeju National University.

HMG Construction Technology Research Institute — the joint research and development organization of Hyundai Engineering and Hyundai E&C — will handle the basic and detailed design of the hybrid electrolysis plant and the development of an integrated control system. The institute plans to integrate the electrolysis stack, balance of plant (BOP), electrical balance of plant (E-BOP) and hydrogen purification equipment into a single plant design, and develop a system to operate the electrolysis plant efficiently based on renewable energy output and grid conditions.

Water electrolysis using renewable energy is drawing attention as a technology that can reduce carbon emissions in the hydrogen production process. The project is expected to broaden the technical foundation for using renewable energy in hydrogen production, contributing to the expansion of low-carbon hydrogen output and the growth of the hydrogen economy.

Hyundai Engineering has been steadily building its technical capabilities and project experience in water electrolysis through work including a hydrogen production base project in Boryeong, South Chungcheong Province, and the development of a 5 MW plant-type PEM electrolysis system in Jeju. Through this project, the company plans to secure additional optimization technologies and demonstration data for hybrid electrolysis plants, further strengthening its competitiveness for large-scale domestic and overseas hydrogen production projects.

"We will combine the technology and demonstration experience accumulated through this project with our existing engineering, procurement and construction capabilities to further strengthen our competitiveness in the water electrolysis plant business," a Hyundai Engineering official said. "Going forward, we will enhance our core technologies and integrated design capabilities across the full hydrogen value chain — from production and storage to transportation and utilization — and create new business opportunities throughout."

Hyundai Engineering has declared this year the "first year of a new start," and is nurturing future energy and advanced industrial construction as its two main growth pillars.