Japanese firms to form hydrogen association in December

Nine Japanese firms are planning to form a Japan hydrogen association in early December, aiming to develop a strategic value chain for hydrogen and strengthen global partnership in the sector.

The consortium includes LPG firm Iwatani, utility Kansai Electric Power, refiner Eneos, engineering firm Kawasaki Heavy Industries (KHI), steelmaker Kobe Steel, carmaker Toyota Motor, electronics and engineering firm Toshiba, trading firm Mitui and financial services firm Sumitomo Mitsui Financial.

The companies will work together to build global alliances and develop the hydrogen supply chain. The partners have formed a preparatory committee to plan, draw up policies and perform other activities required to establish the association, while seeking participation of other firms and organisations.

The cross-sectoral association is expected to roll out initiatives to develop the hydrogen sector, address demand creation issues, pursue cost reductions through scaling up the use of hydrogen and technological innovation, as well as generate cash flow for the industry. It will partner and collaborate with existing businesses and organisations, as well as with financial institutions.

Hydrogen produced from renewable energy can be used to power vehicles, generate heat and electricity and as a chemical feedstock in major industrial applications, with the potential to decarbonise a wide range of sectors.

Another group of Japanese firms including Eneos, KHI and Toshiba, aims to begin pilot operations of a high-power hydrogen fuel cell passenger ferry at Yokohama port in 2024, eyeing the development and commercialisation of a hydrogen value chain for domestic coastal shipping in Japan.

By Motoko Hasegawa