Norway’s cleantech company TECO 2030 and Japan’s electrical engineering and software company Yokogawa Electric Corporation have signed a strategic partnership and investment agreement regarding the development of technology for utilizing hydrogen fuel cells in industrial applications.
Under the agreement, Yokogawa Electric has invested in TECO 2030 by way of acquiring treasury shares, and the two companies will collaborate on optimizing hydrogen fuel cell technology and exploring business opportunities for distributed power sources in maritime transportation and other industrial sectors.
According to TECO 2030, hydrogen fuel cells use an electrochemical process that combines hydrogen and oxygen to produce electrical energy and water, and are utilized as power sources in fuel cell vehicles (FCV) and stationary power supply devices.
Green hydrogen and ammonia are considered promising energy carriers for the storage and transportation of renewable energy that has been produced as electricity. Therefore, fuel cells powered by green hydrogen, or hydrogen produced through green ammonia-to-hydrogen cracking technology, are more energy efficient than conventional combustion engines and don’t generate nitrogen oxide (NOx), so can be used as zero-emission energy sources in a range of applications, TECO 2030 said.
The company noted that technology maturity and a dramatic increase in demand for hydrogen-powered marine vessels are driving the expansion of the fuel cell market, and the resulting reduction in manufacturing costs is expected to in turn accelerate use in the automotive and industrial sectors as well.
To remind, TECO 2030 develops and manufactures hydrogen fuel cells, and has opened in Narvik, Norway, a gigafactory for the production of hydrogen proton exchange membrane (PEM) fuel cells and energy modules, which consist of multiple cells and auxiliary operating equipment.
Production of hydrogen fuel cells is already underway, and module production is expected to start within the next few months, TECO 2030 said, adding that the production capacity will be built up over time, targeting an output capacity of 400 MW in 2025 and 1.6 GW in 2030.
TECO 2030’s hydrogen fuel cells employ technologies developed together with its technology partner AVL.
Regarding Yokogawa Electric, TECO 2030 said the Japanese company brings to the partnership decades of experience in developing core measurement, control and information technologies for the energy, chemical and other process industries, adding that both companies see opportunities for applying this knowhow to develop technology for optimizing the operation of fuel cells, and will also explore their use as distributed energy resources in industries that have high decarbonization needs.
Tore Enger, Group CEO of TECO 2030, commented: “I am very excited to have Yokogawa on board as an investor and strategic partner for the ongoing development of TECO 2030’s complete fuel cell system. I am looking forward to working together toward the common goal of a zero-emission future.”
Tsuyoshi Abe, Yokogawa Electric Senior Vice President and Head of the Marketing Headquarters, stated: “Energy conversion systems are going to play an important role in the transition from the fossil fuel era to a renewable energy era. Yokogawa firmly believes that fuel cells are one of the pathways to net-zero emissions in the maritime and industrial sectors, and we are confirming this by embarking on a journey with TECO 2030 as a strategic partner for a sustainable future.”