[GLOBAL ECONOMIC TIMES]  JERA, Japan's largest electric power company, signed a hydrogen and ammonia procurement agreement with Korea's POSCO International. The two companies agreed to cooperate with the Korean and Japanese governments in establishing low-carbon fuel standards and expanding the value chain.

On the 26th, Japan's Nihon Keizai (Nikkei) newspaper reported on the agreement between the two companies, saying, "While Korea and Japan are establishing collaboration in the fuel field for thermal power generation starting in the 2030s, collaboration is also expanding in the private sector."

Last year, Korea and Japan established a plan to cooperate in establishing a raw material procurement network. As both countries are highly dependent on thermal power generation, they have especially begun to expand the use of hydrogen, which is considered an eco-friendly energy source. Our government will replace 2% of total power generation with hydrogen by 2030. Furthermore, a plan was made to raise this ratio to 7% by 2036.

In the 2020s, Japan is also pursuing a fuel conversion plan for thermal power generation. In this process, JERA plans to expand material procurement through collaboration with POSCO Inter of Korea.

JERA also signed a ‘Clean Ammonia Value Chain Agreement (JCA)’ with Lotte Fine Chemical on the 23rd of last month.

“We are pleased to establish a partnership with POSCO Inter, a subsidiary of a Korean conglomerate with a significant presence in the steel industry,” said Ryosuke Tsugaru, head of low-carbon fuels at JERA. “JERA will accelerate decarbonization efforts to be at the forefront of Asia’s energy transition. “I will try my best,” he said.

“We are pleased to announce a strategic partnership with JERA, a leading company in the Japanese power industry,” said Park Hyun, Vice President and Head of Energy Business Development Group at POSCO International. “We believe this partnership between POSCO International and JERA will be helpful in efforts to transition to low-carbon energy.” “I believe it is,” he said.