Latest Development of Hydrogen Energy Industry in Shenzhen




A leading Chinese city in peaking carbon emissions and achieving carbon neutrality; Shenzhen is promoting innovation in the hydrogen energy industry heavily, striving to make new breakthroughs by 2025. Recently, the Shenzhen Municipal People's Government released the "Shenzhen Hydrogen Energy Industry Innovation and Development Action Plan (2024-2025),” which outlined a clear roadmap for the future of the city’s hydrogen energy industry.

According to the Action Plan, Shenzhen aims to promote innovation in the hydrogen energy industry, establish a green and low-carbon industrial system, and build momentum for economic development, positioning the city as a hub for hydrogen energy industry in the Guangdong-Hong Kong-Macao Greater Bay Area. The industry will continue to expand throughout 2025, increasing innovative capabilities and establishing globally-competitive enterprises. The core competency of the entire industry chain will steadily enhance.

3 Main Types of Hydrogen Fuel (Image source: POSCO NEWSROOM)

 

To realise the aforementioned goals, the Action Plan specifies four major tasks:

 

1.Build a core technology strategy source for the hydrogen economy

a) Accelerate research and development of key hydrogen technologies, including high-performance membrane materials and catalysts for fuel cells, as well as technologies to improve hydrogen production, storage and transportation.

b) Establish a diversified and multi-level innovation carrier, supporting higher education institutions and enterprises to build key laboratories, proof-of-concept centres and industry innovation centres, with funding support of up to $10 million yuan.

c) Establish standards for hydrogen energy. Support enterprises and research institutes in developing standards on hydrogen energy quality and safety, as well as hydrogen production, storage and application.


2.Build an advanced manufacturing agglomeration for the hydrogen energy industry

a) Build the hydrogen energy industrial park, leveraging on experience from the existing Longhua Qiuyuling Hydrogen Energy Industrial Park, Yantian International Hydrogen Energy Industrial Park, and Longgang International Low Carbon City and focusing on fields such as fuel cells, hydrogen production, and storage. Introduce upstream and downstream enterprises and high-end R&D teams to the industrial chain, and carry out pilots of technologies.

b) Support enterprises in accelerating R&D and industrialisation of key core components, and build pilot bases and production lines, with a funding support of up to $10-15 million yuan.

c) Cultivate high-quality hydrogen energy enterprises, encourage collaboration among upstream and downstream enterprises, utilise diverse platforms to draw investment and capital, and attract high-quality innovative hydrogen energy enterprises and key industrial projects.


Yantian International Hydrogen Energy Industrial Park (Image source: sznews.com)


3. Build a demonstration base for hydrogen energy applications in multiple scenarios

a) Promote pilots of hydrogen energy in heavy-duty and long-distance transportation, and provide subsidies for eligible fuel cell vehicles.

b) Carry out hydrogen energy pilots in different applications and fields actively, such as green buildings, industrial parks, large-scale data centers, and in technologies like fuel cell backup power supplies and cogeneration. Encourage R&D and piloting of hydrogen-powered ships, drones in the fields of tourism, freight transport and fire rescue.

World's First Liquid Hydrogen-Powered Vessel (Image source: FuelCellsWorks)

4. Build a supporting service system for the hydrogen energy industry

a) Accelerate the planning of hydrogen refueling stations. Promote the transformation and expansion of eligible existing and new gas stations with hydrogen refueling capacity

b) Improve mechanism for building and operating hydrogen refueling stations, clarifying the division of responsibilities among various departments with respect to hazardous chemicals management, land planning permits, construction project planning permits, fire design reviews, construction permit approval, completion acceptance of lightning protection devices, etc.

c) Reduce the cost of hydrogen gradually. Encourage power plants to use surplus power generation capacity during off-peak periods to generate hydrogen using water electrolysis.

d) Improve the construction of an integrated hydrogen transportation network. Focus on the development of high-pressure gaseous hydrogen storage and diversifying hydrogen transportation modes.

Hydrogen refueling station in China (Image source: Mobility Plaza)

Shenzhen has a promising future in the hydrogen energy industry. The Action Plan will lead to new heights for Shenzhen, contributing to the goal of carbon neutrality. The Environment and Ecology Bureau will release the "Strategy of Hydrogen Development in Hong Kong” at the end of this month, which will be vital for promoting the wider application of hydrogen energy in Hong Kong. The Government should capitalise on this opportunity to strengthen cooperation with Shenzhen in the development of the hydrogen energy industry. They should also leverage mainland China’s solid industrial foundation and policy support to promote the innovative development of hydrogen energy industry in Guangdong and Hong Kong.


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