Taiwan-based electronics manufacturing company Delta Electronics has signed a long-term collaboration agreement, which includes technology transfer and licensing, with Ceres Power Limited, a subsidiary of UK-based developer of clean energy technology Ceres Power Holdings, to access Ceres’ hydrogen energy stack technology portfolio for approximately £43 million ($54.52 million).
Through this partnership, Delta said the company expects to integrate Ceres’ energy stack technology with its own power electronics and thermal management technologies to develop solid oxide fuel cell (SOFC) and solid oxide electrolysis cell (SOEC) systems for hydrogen energy applications, with production expected to start by the end of 2026, with strong ambition for future scale-up. These SOFC and SOEC systems are expected to enhance the capabilities of Delta’s green solutions for a myriad of sectors, such as chemicals, energy, transportation, steel and more.
Ping Cheng, Delta’s CEO, stated: “Hydrogen has high heating value and zero CO2 emission potential characteristics, and thus, will play a crucial role in the global transition towards net-zero. Moreover, hydrogen SOFC systems boast reliability and high efficiency in electricity generation, making them ideal for micro-grid applications, distributed power systems, mission-critical facilities such as data centers, semiconductor production lines and other advanced manufacturing.”
“SOEC systems will also play a key role in the chemical, utilities and steel industries as they are adopting green hydrogen to replace fossil fuels in their manufacturing processes and operations. By leveraging Ceres’ expertise in solid oxide stack technology and our industry-leading technologies in power and thermal management, Delta will enrich its infrastructure solutions portfolio by delivering high-efficiency SOFC and SOEC systems for our customers worldwide, hence, further contributing to global carbon reduction targets.”
Phil Caldwell, CEO of Ceres, added: “It’s great to announce a new partnership today with Delta, a company with worldwide expertise in mass manufacturing, power electronics and system integration. We believe Delta can deliver efficient clean hydrogen solutions for its customers utilizing both our SOFC and SOEC technologies. Green hydrogen has a key role to play in delivering a more secure and sustainable future energy system and today we take this first step towards what promises to be a strong collaboration with Delta to accelerate the industry globally.”
In addition to licensing key energy stack technologies, Delta revealed the company will also establish a “Net-zero Science Laboratory” at its Tainan manufacturing complex to develop zero-carbon technologies, including hydrogen energy, and to enrich its own R&D capabilities in related application fields.
From 2024 to 2026, Delta said it expects to carry out product development and production line integration at its Tainan plant with Ceres’ engineering service support, adding that production for the aforementioned technology is expected to start by the end of 2026.
Furthermore, Delta expects to further integrate its smart energy solutions, including microgrid applications and energy management platforms, with those hydrogen energy systems to provide a more comprehensive and flexible low-carbon infrastructure offerings to its customers.
According to Delta, Ceres’ stack technology is the core for both SOFC and SOEC. In the application of SOFC, it can generate electricity, water and heat by reacting oxygen with hydrogen or methane, Delta said, noting that as SOFC can be built near places with electricity demands, it can avoid power transmission loss and other unexpected unstable factors during the transmission and distribution process, hence, it is highly suitable for facilities that require stable power.
SOEC technology produces hydrogen up to 25% more efficiently than incumbent low-temperature technologies particularly when thermally integrated with industrial processes, Delta pointed out, adding that with electricity coming from renewable sources, the technology can produce green hydrogen, which would be optimal for the decarbonization of various industries. Moreover, green hydrogen is also one of the key ingredients in producing carbon-neutral e-fuels, which are alternative energy sources for ICE vehicles, ships and aircrafts under the net-zero transition, Delta said.