South Korea has cancelled the second round of its clean hydrogen power generation bidding process.
The tender has been called off and the original bid announcement from May will be replaced, the Korea Power Exchange (KPX) said on 17 October — the final day for bid submissions.
KPX did not disclose the reason for the cancellation or when a new announcement will be made.
A new government has taken office since the tender was launched, and President Lee Jae-myung has pledged to accelerate the phase-out of fossil fuels. His administration's plan to shut all coal-fired power plants by 2040 raised questions over the long-term viability of co-firing ammonia and the tender structure, given that contracts would run for 15 years.
The tender aimed to subsidise 3 TWh/yr of power generation from hydrogen and ammonia that meets the country's clean hydrogen standard.
South Korea's public utilities and other domestic power producers prepared bids in recent months, while prospective suppliers abroad were gearing up to deliver the required volumes.
A first round held last year produced underwhelming results, with only 750 GWh/yr of the targeted 6.5 TWh/yr contracted. Korea Southern Power (Kospo) was the sole winner. Five firms submitted bids, but most exceeded an undisclosed price ceiling. Industry participants said in recent months that rule changes for the second round could encourage more competitive bids..
