South Korea withdraws support for ammonia co-firing

South Korea has acted to de-emphasise low-carbon ammonia co-firing in coal plants from its power sector decarbonisation policy. The government has withdrawn a key implementation mechanism: coal–ammonia co-firing is excluded from support through the 2026 clean hydrogen power auction market. The decision was explicitly linked to the government’s objective of ending coal generation by 2040; the 11th Basic Plan for Electricity Supply and Demand, finalised in 2025, envisaged hydrogen and ammonia as part of the future generation mix, including ammonia blended with coal.
The new policy direction instead prioritises retirement and potential repurposing of coal assets, large-scale renewable deployment, grid investment, flexibility resources and electrification. South Korea’s April 2026 Energy Transition Plan sets out a pathway to retire its operating coal fleet by 2040 and target 100 GW of renewable capacity by 2030. Hydrogen and carbon management technologies remain relevant, particularly for ‘difficult-to-electrify’ industrial applications, but coal–ammonia blending no longer features as a flagship route for power-sector decarbonisation, reducing demand for green and blue ammonia in the medium term.