Hyundai Motor will be leading a world coalition of businesses promoting hydrogen as a future energy source, the company said Tuesday.
The automaker was named the chair company of the Hydrogen Council, a global initiative of leading energy and transport companies to promote hydrogen as a solution of the energy transition. Hyundai Motor Vice Chairman Yang Woong-chul was also appointed as a rotating chairman of the 28-member council. He succeeds Takeshi Uchiyamada, chairman of Toyota Motor Corp. Yang will lead the council with Benoit Potier, CEO of Air Liquide.
(Photo by Park Hyun-koo/The Korea Herald)
Launched at the World Economic Forum 2017 in Davos, the council is an association of global companies developing the hydrogen and fuel cell sectors. Its list of members includes Toyota, BMW, Daimler, Honda and GM.
According to a McKinsey study, hydrogen has the potential to develop $2.5 trillion of business, creating more than 30 million jobs by 2050.
Also, in the next 33 years, hydrogen could account for almost one-fifth of total energy, reducing greenhouse gas emissions by roughly 6 gigatons compared to present levels, it said.
The Hydrogen Council expects to see about 10 to 15 million vehicles powered by hydrogen and 500,000 trucks by 2030. The clean energy could be used in other industries as well including feedstocks, building heating and power, power generation and storage, the council said in a statement.
To achieve the goal, a total of about $280 billion is needed for hydrogen development by 2030, with about $20 to 25 billion per year.
The world spends around $1.7 trillion in energy each year, including $650 billion in oil and gas, $300 billion in renewable electricity and more than $300 billion in the automotive industry, the council added.
Hyundai Motor urged investors, policymakers, and businesses to join them in spreading hydrogen solutions.
“Hyundai Motor Co. has already taken a lead in the automotive sector, and hydrogen technology can also serve the needs of other industries. Therefore, we call upon governments and investors to help us move ahead with the long-term plans to grow vital infrastructure that will allow the mass-production and utilization of hydrogen energy,” said Yang at the general assembly of the council held in Bonn, Germany.
By Cho Chung-un (email@example.com