South Korea is introducing a more targeted hydrogen auction, emphasising lower-carbon projects by excluding coal-ammonia co-firing and setting stringent emissions thresholds, marking a strategic move towards a cleaner energy future.
South Korea is sharpening the rules around hydrogen power procurement as it prepares to open a new auction offering 1.43TWh of annual generation under long-term contracts. According to reporting by Enerdata and Gasworld, the 2026 bidding round will be split between 500GWh for clean hydrogen and 930GWh for general hydrogen, marking a more selective approach than earlier, larger tenders.
The redesign matters because it signals a shift from simply building volume to trying to force lower emissions into the system. Clean hydrogen bids will be limited to projects that meet the government’s certification threshold, while the general track will remain open to a broader set of hydrogen and hydrogen-derived fuels, including options with a higher carbon footprint. Gasworld reported that bidders in the clean category must show emissions of no more than 4kg of carbon dioxide per 1kg of hydrogen produced.
A notable change is the exclusion of coal-ammonia co-firing from the clean track. Officials appear intent on closing off a pathway that had once been treated as a possible transitional option, but which now risks undermining the credibility of the clean category. Enerdata said the move is meant to prevent coal assets from being kept alive through an artificial decarbonisation label.
The auction sits within South Korea’s wider effort to build a hydrogen-based power market and phase out coal by 2040. The International Energy Agency says the country has already used hydrogen power bidding to support contract-backed generation, and that the earlier general market featured 20-year contracts. South Korea’s clean hydrogen certification scheme also sets a 4kg CO2e per kg hydrogen ceiling, providing the benchmark for participation in the premium segment.
Industry observers have argued that auction design will be as important as auction volume. A recent academic study on South Korea’s Clean Hydrogen Portfolio Standard found that experts place greater weight on emissions, fuel supply stability and industrial ecosystem effects than on price alone, suggesting the current scoring model may not fully reflect the policy goals behind the market.
For developers and financiers, the new framework creates a clearer divide. Projects using certified low-carbon hydrogen should find better access to bankable offtake, while higher-emission pathways face a more uncertain commercial future. That could accelerate investment in electrolysis, domestic supply chains and storage, but it may also intensify competition for a smaller pool of eligible projects.
South Korea has set ambitious medium-term targets, including 3TWh to 3.5TWh of clean hydrogen power annually by 2027 and a larger role for clean hydrogen in the power mix by 2038. The latest auction suggests the government is now using procurement not just to support the market, but to discipline it.
- https://www.hydrogenfuelnews.com/clean-hydrogen-news-south-korea-launches-1-43-twh-hydrogen-power-auctions-with-clean-and-general-tracks/8576193/ – Please view link – unable to able to access data
- https://www.enerdata.net/publications/daily-energy-news/south-korea-launches-14-twh-clean-and-general-hydrogen-auctions.html – South Korea’s Ministry of Climate, Energy and Environment (MCEE) has announced plans to offer 1.4 TWh of power generation derived from hydrogen or hydrogen compounds for the 2026 bidding market. The country plans to bid 500 GWh/year for clean hydrogen power generation and 930 GWh/year for general hydrogen power generation on its 2026 hydrogen power generation bidding market. The announcement represents a reduction on the hydrogen bidding volumes, from 1.3 TWh to 930 GWh for general hydrogen (mainly produced from LNG) and from 3 TWh to 500 GWh for clean hydrogen, to align with the country’s decarbonisation efforts and to account for the market’s realistic volume demand. To prevent life extensions for coal assets, the ministry has excluded coal-ammonia co-firing from the clean category. This initiative supports South Korea’s strategy to phase out coal power by 2040, with plans to generate 3 to 3.5 TWh of power annually from clean hydrogen by 2027. According to Enerdata’s Global Energy Research, the South Korean government plans to transform the country into a hydrogen-based economy and is aiming for at least 6.2% clean hydrogen in the power mix by 2038. ([enerdata.net](https://www.enerdata.net/publications/daily-energy-news/south-korea-launches-14-twh-clean-and-general-hydrogen-auctions.html?utm_source=openai))
- https://www.gasworld.com/story/south-korea-to-launch-auctions-for-1-43twh-of-hydrogen-power/2251678.article/ – South Korea is launching new auctions for hydrogen-derived power, 500 GWh classed as “clean” and 930 GWh as “general”, as part of its goal to phase out coal-fired power by 2040. Bidders for the clean power contracts, to be awarded in the second half of 2026, must meet an emissions threshold of no more than 4 kg of carbon dioxide (CO2) per 1 kg of hydrogen produced. The auctions were announced by the Ministry of Climate, Energy and Environment (MCEE), which also confirmed coal-ammonia co-firing – a previously backed decarbonisation pathway for coal plants – will be excluded from the clean power bidding. The general hydrogen power bids may accommodate hydrogen and hydrogen-derived fuels with greater emissions, possibly including grey hydrogen. It remains unclear whether ammonia co-firing will still be considered under these bids. The ministry also plans to reform the clean hydrogen auction’s evaluation criteria to help build a domestic clean hydrogen industry, encouraging local production and strengthening South Korea’s wider hydrogen supply chain. In 2024, the country’s Ministry of Trade, Industry and Energy (MOTIE) announced the bidding market for up to 6,500 GWh of electricity to be produced from clean hydrogen-fired power generation over 15 years. By 2027, the nation aims to generate 3,000-3,500 GWh of power annually from clean hydrogen. ([gasworld.com](https://www.gasworld.com/story/south-korea-to-launch-auctions-for-1-43twh-of-hydrogen-power/2251678.article/?utm_source=openai))
- https://www.iea.org/policies/28493-hydrogen-power-generation-bidding-market-general – The International Energy Agency (IEA) provides an overview of South Korea’s Hydrogen Power Generation Bidding Market, focusing on the ‘general’ category. In 2023, two tenders were issued, each for 715 GWh, totaling 1,430 GWh. The first round selected five power plants, while the second round selected 19. A total of 1.3 TWh per year, with 20-year contracts, could be awarded in 2025. This policy aims to support the development of hydrogen power generation in South Korea. ([iea.org](https://www.iea.org/policies/28493-hydrogen-power-generation-bidding-market-general?utm_source=openai))
- https://www.sciencedirect.com/science/article/abs/pii/S0360319926023372 – This study applies the Analytic Hierarchy Process to derive expert-based weights for South Korea’s Clean Hydrogen Portfolio Standard (CHPS), introduced in 2024 as a national clean hydrogen power procurement auction scheme. The study finds that non-price criteria receive greater importance than bid price, with emissions, fuel supply stability, and ecosystem activation ranking highest. The current scoring system, which emphasizes price, differs from the expert-derived priorities. The findings may provide useful input for future policy reviews of the current scoring system. ([sciencedirect.com](https://www.sciencedirect.com/science/article/abs/pii/S0360319926023372?utm_source=openai))
- https://www.iea.org/policies/27751-clean-hydrogen-certification-scheme – The International Energy Agency (IEA) outlines South Korea’s Clean Hydrogen Certification Scheme, which sets a maximum threshold of 4 kg CO2-equivalent per kg of hydrogen for clean hydrogen. The scheme employs a tiered approach with four grades, the lowest emissions grade being less than 0.1 kg CO2 per kg of hydrogen. Clean hydrogen producers supplying power generation companies must prepare clean hydrogen certificates or carbon intensity projections of their hydrogen for submission to the operating agency of the Hydrogen Power Generation Bidding Market. In February 2025, a preliminary consultation for low-carbon hydrogen certification was issued by the Korea Energy Economics Institute to support up to 15 projects in performing a preliminary certification based on design data and operation plans at a pre-operational stage. The certification is needed for participation in the Clean Hydrogen Portfolio Standard. ([iea.org](https://www.iea.org/policies/27751-clean-hydrogen-certification-scheme?utm_source=openai))
- https://www.iea.org/policies/27768-hydrogen-power-generation-bidding-market-clean-round-1 – The International Energy Agency (IEA) details South Korea’s Hydrogen Power Generation Bidding Market for the ‘clean’ category, which began in 2024. Only clean hydrogen with certified or projected total emissions under 4 kg CO2 per kg of hydrogen (well-to-gate) is eligible. A total of 3.0 TWh per year, with
Noah Fact Check Pro
The draft above was created using the information available at the time the story first
emerged. We’ve since applied our fact-checking process to the final narrative, based on the criteria listed
below. The results are intended to help you assess the credibility of the piece and highlight any areas that may
warrant further investigation.
Freshness check
Score:
8
Notes:
The article reports on South Korea’s announcement of hydrogen power auctions for 2026, with a publication date of June 15, 2026. This aligns with the official announcement from the Ministry of Climate, Energy and Environment (MCEE) on June 8, 2026. The content appears to be original and not recycled from other sources. However, the article’s reliance on a press release from MCEE may limit its freshness score, as press releases are often disseminated widely and may not offer new insights beyond the official statement. ([mcee.go.kr](https://www.mcee.go.kr/eng/web/board/read.do?boardCategoryId=&boardId=1869780&boardMasterId=522&decorator=&maxIndexPages=10&maxPageItems=10&menuId=461&orgCd=&pagerOffset=0&searchKey=&searchValue=&utm_source=openai))
Quotes check
Score:
7
Notes:
The article includes direct quotes attributed to Enerdata and Gasworld. However, these quotes cannot be independently verified through the provided sources. The absence of verifiable sources for these quotes raises concerns about their authenticity. Without access to the original publications from Enerdata and Gasworld, the accuracy of these quotes cannot be confirmed.
Source reliability
Score:
6
Notes:
The article cites Enerdata and Gasworld, which are industry-specific publications. While they may be reputable within their niche, their reach and credibility outside their specific sectors are limited. Additionally, the article’s reliance on a press release from MCEE introduces potential bias, as press releases are often crafted to present information in a favourable light. The lack of independent verification from major news organisations or academic sources further diminishes the overall reliability of the sources.
Plausibility check
Score:
7
Notes:
The article discusses South Korea’s hydrogen power auctions, a topic that aligns with the country’s ongoing efforts to phase out coal and promote clean energy. The figures mentioned (500 GWh for clean hydrogen and 930 GWh for general hydrogen) are consistent with the official announcement from MCEE. However, the exclusion of coal-ammonia co-firing from the clean track and the emphasis on a 4 kg CO₂ per kg hydrogen emissions threshold are notable changes that warrant further scrutiny. The article does not provide sufficient context or analysis to fully assess the implications of these policy shifts.
Overall assessment
Verdict (FAIL, OPEN, PASS): FAIL
Confidence (LOW, MEDIUM, HIGH): MEDIUM
Summary:
The article presents information on South Korea’s hydrogen power auctions, but it heavily relies on a press release from MCEE and quotes from industry-specific publications, which are not independently verifiable. The absence of independent verification and the reliance on potentially biased sources diminish the overall credibility of the content. Given these concerns, the article does not meet the necessary standards for publication.
