Busan City completes demonstration of ammonia eco-friendly energy regulatory free zone: Opening the future with hybrid ships and mobile liquefied ammonia standard containers.


Busan City Successfully Completes Ammonia Eco-Friendly Energy Demonstration Project

Mobile Liquefied Ammonia Standard Container

The demonstration project for the "Ammonia Eco-Friendly Energy Regulatory Free Zone" led by Busan City has been successfully completed.

This project is a significant initiative to achieve carbon neutrality and create an eco-friendly marine city, and it holds great significance in simultaneously proving the safety and business viability in the ammonia energy sector.

The outcomes in this field, where domestic and international standards have yet to be established, are expected to positively influence future sustainable energy development.

Completion of Busan's Ammonia Eco-Friendly Energy Regulatory Free Zone


Since being designated as a regulatory free zone by the Ministry of SMEs and Startups in November 2021, the city has been collaborating with Busan Techno Park and 17 free zone operators to progress the project starting from 2022. In this process, safety has been prioritized, operating a safety advisory committee composed of experts from academia and industry. Additionally, all participating companies have enrolled in liability insurance to prepare for unforeseen risks.





Demonstration of Ammonia Fuel Cell Hybrid Ships and Mobile Standard Containers

Completion of Busan's Ammonia Eco-Friendly Energy Regulatory Free Zone

The major elements of this demonstration project include ▲ Ammonia fuel cell-based hybrid eco-friendly ships ▲ Mobile liquefied ammonia standard containers (ISO tank containers) ▲ Bunkering systems for ammonia fuel on ships. These projects are expected to be an important milestone for environmentally friendly marine transportation.



Ammonia Fuel Cell Hybrid Eco-Friendly Ship

Ammonia-based fuel cells are gaining attention as a next-generation energy source with the potential to replace conventional fossil fuels. In particular, Busan has attracted significant attention by being the first in the world to demonstrate this technology.

The development of mobile standard containers has greatly improved safety during bulk transport and charging, and the bunkering technology has verified the system supplying fuel to actual ships, laying the groundwork for commercialization. These advancements are expected to mark a significant turning point in the future energy market.





Demonstration Results and Economic Effects

Completion of Busan's Ammonia Eco-Friendly Energy Regulatory Free Zone


This project has so far created 331 new jobs, attracted investments of 110 billion won, and recorded sales of 40 billion won. Additionally, 430 professional personnel have been trained and 21 patents have been secured.

If these results are commercialized in the future, the anticipated outcomes include ▲ 2,665 new jobs ▲ sales of 574.8 billion won ▲ attracting 20 companies ▲ a reduction of 2,403 tons of fine dust ▲ a reduction of 44,895 tons of greenhouse gases.

Such economic and environmental effects are expected to contribute to the overall development of Korea's marine energy industry beyond Busan.





Characteristics and Advantages of Ammonia Eco-Friendly Energy

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Ammonia (NH₃) is a zero-carbon fuel that does not contain carbon and does not emit carbon dioxide (CO₂) when burned. Because of this characteristic, ammonia is being spotlighted as a next-generation eco-friendly energy carrier.

This fuel can make a significant contribution to achieving carbon neutrality. Since it does not emit CO₂ during combustion, it can greatly reduce greenhouse gases and fine dust compared to conventional fossil fuels.

Furthermore, ammonia has the advantage of being able to replace hydrogen for storage and transportation. Compared to hydrogen, ammonia is much easier to liquefy, store, and transport, and it utilizes existing port and transport infrastructure, offering significant economic benefits.



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The potential for use in the marine and power generation sectors is very diverse. Ammonia can be applied in various fields, such as ship fuel, fuel cells for power generation, and mobile power generation devices, and is particularly being recognized as a next-generation ship fuel in line with the International Maritime Organization (IMO)'s strengthened environmental regulations.

However, these technologies face challenges and limitations. Due to the presence of toxic substances, having a safety management system is essential during leaks or handling. Additionally, there are some nitrogen oxide (NOx) emission issues that need to be addressed through the implementation of post-treatment technologies.





Future Plans of Busan City

Mobile Liquefied Ammonia Standard Container


Based on this achievement, Busan City plans to establish detailed safety standards for ammonia in collaboration with relevant agencies such as the Ministry of Oceans and Fisheries and the Ministry of Trade, Industry and Energy.

These standards will serve as the foundation for the demonstration projects being conducted in Busan to become the national standard and, furthermore, expand into the global market.

Ultimately, it is expected to serve as an important stepping stone for Busan to grow into a global eco-friendly marine energy city.





Conclusion

Ammonia Fuel Cell Hybrid Eco-Friendly Ship

By completing the ammonia eco-friendly energy regulatory free zone demonstration project, Busan is contributing not just to technology validation, but to building a new carbon-neutral industrial ecosystem.

The ammonia fuel cell hybrid ships, mobile liquefied ammonia containers, and bunkering technologies will be critical factors in determining Busan's future competitiveness. Through this, Busan has a high potential to develop into a global hub city in the eco-friendly marine energy sector.



Busan Techno Park : 31 Science Industrial Complex 1 Road 60, Gangseo-gu, Busan



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Frequently Asked Questions (FAQ)

Q. What is the significance of the ammonia eco-friendly energy demonstration project completed by Busan City?
Busan City's ammonia eco-friendly energy demonstration project has proven safety and business viability, contributing to the creation of a carbon-neutral marine city.

The ammonia eco-friendly energy regulatory free zone demonstration project conducted by Busan City aimed to achieve carbon neutrality and create an eco-friendly marine city. Through this project, it has achieved significant results by simultaneously verifying safety and business viability in the field of ammonia energy, which has yet to be established domestically and internationally. It is expected to positively influence future sustainable energy development and the growth of an eco-friendly marine industry.

Q. What are the technical features of the ammonia fuel cell hybrid ships and mobile standard containers?
Ammonia fuel cell hybrid ships and mobile standard containers are based on eco-friendly marine transportation and safe fuel supply.

In this demonstration project, a hybrid eco-friendly ship based on ammonia fuel cells was developed. This ship uses ammonia fuel cells, which are being highlighted as the next-generation energy source to replace conventional fossil fuels. Additionally, the mobile liquefied ammonia standard containers (ISO tank containers) significantly improve safety during bulk transportation and charging, providing an economical and practical solution for fuel transport. Moreover, the establishment of an ammonia fuel bunkering system for ships also laid the foundation for actual fuel supply to ships and commercialization.

Q. What are the economic and environmental effects brought to Busan City through this project?
This project has led to 331 new jobs, attracted investments of 110 billion won, and substantially reduced fine dust and greenhouse gas emissions.

After the completion of the demonstration project, Busan City's achievements include creating 331 new jobs, attracting investments of 110 billion won, and achieving sales of 40 billion won. In addition, 430 specialized personnel have been trained, and 21 patents have been secured. If commercialization proceeds in the future, the expected environmental benefits also include the creation of 2,665 jobs, sales of 574.8 billion won, attracting 20 companies, and reductions of 2,403 tons of fine dust and 44,895 tons of greenhouse gases.

Q. What are the eco-friendly advantages and disadvantages of ammonia fuel?
Ammonia is a zero-carbon fuel that does not emit greenhouse gases, but it must manage toxicity and nitrogen oxide emissions through safety measures and post-treatment technologies.

Ammonia is a zero-carbon fuel that does not contain carbon and does not generate carbon dioxide during combustion, thus contributing to carbon neutrality. Moreover, compared to hydrogen, it is easier to liquefy, store, and transport, and it can utilize existing infrastructure for economic advantages. However, due to its toxic nature and nitrogen oxide (NOx) emissions, prevention of leaks and safety management is essential, and the NOx issues need to be addressed through post-treatment technologies.

Q. What are Busan City's future plans regarding ammonia?
Busan City plans to establish safety standards for ammonia in collaboration with relevant agencies, using these as the basis for national standards and global market expansion.

Busan City plans to collaborate with agencies such as the Ministry of Oceans and Fisheries and the Ministry of Trade, Industry and Energy to establish detailed safety standards for ammonia. These safety standards will position the Busan demonstration project as a national standard and serve as a foundation for its expansion into the global market. Through this, Busan is expected to grow into a global hub city in the eco-friendly marine energy sector and contribute to the establishment of a carbon-neutral industrial ecosystem.


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