Jan.17 2025
As decarbonization efforts accelerate and a true hydrogen society draws near, demand for green hydrogen production plants powered by renewable energy has been increasing. However, challenges remain to fully implement green hydrogen on a broad scale. These include stabilizing production to account for fluctuating renewable energy supplies and reducing production costs.
AGC's fluoropolymer ion exchange membranes -- the FORBLUE™ S-SERIES -- play a crucial role in addressing these issues. The company has been pouring investment into mass production of these materials in preparation for the coming hydrogen society.
So Horiuchi
Global Business Director Performance Membrane Business Development Group
FORBLUE Division Chemicals Company
Toshiaki Sawada
Group Leader Water Electrolysis Group Functional Membrane Materials Development Office
New Product Development Division Chemicals Company
Yasushi Yamaki
Business Development Senior Manager Performance Membrane Business Development Group
FORBLUE Division Chemicals Company
With the full-scale adoption of hydrogen energy becoming a reality, companies are racing to develop parts, products, technologies and facilities for green hydrogen, which is produced without emitting CO₂.
Green hydrogen is made by using electricity generated from renewables such as solar energy and wind power to split water.
While green hydrogen will play a major role in a carbon-free society, its adoption has been limited by high production costs and unstable power supplies, the latter of which stems from the fluctuating nature of renewable energy.
So Horiuchi
Global Business Director
Performance Membrane Business Development Group
FORBLUE Division
Chemicals Company
Moreover, early efforts to adopt hydrogen energy were primarily driven by politics aimed at achieving a carbon-free society, rather than by immediate market demands for large-scale hydrogen production and consumption. Hence, the industry initially had to focus on identifying specific users while simultaneously building supply chains.
But recently, the energy landscape has shifted. “In the past few years, the importance of hydrogen as an energy source has grown as the global energy supply-demand structure evolves,” says So Horiuchi of the FORBLUE Division of AGC Chemicals Company. According to Horiuchi, the U.S., Europe and others have raised their hydrogen production targets and introduced incentives such as tax breaks to promote hydrogen. These measures have spurred worldwide initiatives for the production, transportation, storage and utilization of hydrogen. At the same time, constant innovation and infrastructure development have paved the way for reducing the costs of renewables. This has fueled expectations that a "hydrogen society" -- serving as the main pillar of carbon neutrality -- could become a reality by 2030.
AGC’s FORBLUE™ S-SERIES is a line of fluoropolymer ion exchange membranes for use in water electrolysis systems, specifically in polymer electrolyte membrane (PEM) water electrolyzers for green hydrogen production.
The ion exchange membrane is the heart of these systems, not only enabling hydrogen generation by transporting protons (H+) with low resistance, but also separating the generated hydrogen and oxygen gases to ensure safe operation.
PEM water electrolyzers use ion exchange membranes to split water(H₂O) into hydrogen (H₂) and oxygen (O₂).
The most common method of water electrolysis is alkaline water electrolysis, which uses liquid electrolytes such as potassium hydroxide (KOH) and sodium hydroxide (NaOH). This is a mature technology, and has a long history of industrial use. However, the broader adoption of alkaline water electrolysis presents challenges such as the need for large facilities to produce at scale; the low separation efficiency of hydrogen and oxygen gases, which makes operation under fluctuating load and pressure difficult; and the need for a high-concentration alkaline solution as the electrolyte.
PEM water electrolysis processes are based on relatively new technology and exhibit high responsiveness to power fluctuations, making them ideal for use with often unstable renewable energy sources. Additionally, they are relatively easy to control, allowing for safe and efficient downsizing when needed . This facilitates the integration of PEM water electrolyzers with distributed renewable energy facilities, providing even non-experts in chemical processes with the ability to generate hydrogen power.
Through the use of modular units, PEM water electrolyzers are also easily scalable to grow with demand -- an optimal solution for a hydrogen society.
Green hydrogen tech remains in its nascent stage, with the construction of infrastructure for its production, transportation, storage and utilization yet to begin in earnest. While PEM water electrolysis shows promise for myriad needs, it will require the technology that can produce hydrogen at a lower cost and the establishment of mass-production facilities.
The metric for evaluating the total cost of hydrogen production is called LCOH (levelized cost of hydrogen), which aggregates all costs related to hydrogen production, including materials and transportation, as well as the implementation and operation of water electrolysis systems. For green hydrogen produced via PEM water electrolysis, over 50% of LCOH is attributed to energy costs.
Toshiaki Sawada
Group Leader
Water Electrolysis Group
Functional Membrane Materials Development Office
New Product Development Division
Chemicals Company
To further reduce LCOH, the cost of renewable power must drop and electrolysis efficiency must be raised. “We need to reduce the resistance of the ion exchange membrane in the water electrolysis system to achieve more effective electrolysis,” says Toshiaki Sawada, group leader for Functional Membrane Materials Development Office at the New Product Development Division of AGC Chemicals Company. “While applying thinner membrane can lower resistance, it compromises the membrane's ability to effectively separate hydrogen from oxygen. The challenge is to balance the conflicting goals of reducing the membrane’s resistance while maintaining its separation function to ensure safety. Achieving this balance at a high level is where we showcase our expertise.”
In addition, ion exchange membranes require high durability. The operating environment contains OH radicals with strong oxidative properties, which potentially degrade the membrane in the long term . Long-lasting membranes reduce the frequency of replacements, thus lowering LCOH. From a cost-efficiency perspective, they must last for more than five years, and in some cases up to 10 years. The FORBLUE™ S-SERIES meets these requirements.
Yasushi Yamaki
Business Development Senior Manager
Performance Membrane Business Development Group
FORBLUE Division
Chemicals Company
It is also important to ensure the capability for the stable, large-scale supply of high-performance, high-quality ion exchange membranes.
“The demand for PEM water electrolyzers could expand to dozens of times its current level after 2030,” says Yasushi Yamaki, senior manager of the FORBLUE Division at AGC Chemicals Company, in charge of developing and implementing business strategies for the FORBLUE™ S-SERIES. “However, only a limited number of companies possess the capability to develop ion exchange membranes that meet high-level technological requirements while establishing production facilities to accommodate growing demand. We take pride in being one of the few companies capable of scaling up production while assuming responsibility for ensuring a stable supply.”
The FORBLUE™ S-SERIES is a fluoropolymer ion exchange membrane made from sulfonic acid polymers. It features low resistance, high selectivity for hydrogen ions and excellent durability, making it ideal for PEM water electrolyzers. "AGC can produce advanced ion exchange membranes like the FORBLUE™ S-SERIES thanks to three unique strengths that no other companies possess," says Yamaki.
First, the company has advanced capabilities for developing and mass-producing fluoropolymers. AGC is a leading manufacturer of fluoropolymers by production volume and surpasses competitors in expertise and technology in this field. Leveraging this expertise, the company is well positioned to expand the applications of fluoropolymers.
Second, AGC has a strong track record and technological expertise in the development and mass production of ion exchange membranes and their materials. For nearly 70 years, the company has consistently improved these specialized membranes. Today, it is the world's leading supplier of fluoropolymer dispersion (ionomer) for fuel cells*. The development of ion exchange membranes for water electrolysis requires functionality similar to the reverse reaction in fuel cells, enabling AGC to apply its extensive expertise in ion exchange membranes for this purpose.
* According to AGC research as of January 2023
Lastly, AGC itself uses electrochemical technologies and systems. The foundation of its chemicals business lies in the production of chlor-alkali products through the electrolysis of brine. This business has continuously grown since the 1920s, with AGC developing its own electrolytic cells and processes for mass production. These efforts have given AGC a deep understanding from the user’s perspective of the specifications required for ion exchange membranes needed to achieve advanced electrolysis.
As mentioned earlier, however, water electrolysis systems for green hydrogen production are still under development. As innovations occur at both the system and component levels, the requirements for ion exchange membranes are likely to change significantly.
Still, AGC’s competitive advantage remains. “We have established an integrated framework for the technological development and mass production of ion exchange membranes across the entire supply chain,” says Sawada. “This enables us to respond quickly and flexibly to changing market demands.”
The Japanese government hopes to achieve carbon neutrality by 2050, a goal requiring a massive expansion of green hydrogen production. Preparing for a full-fledged hydrogen society, AGC has invested 15 billion yen (approximately $100 million) in a large plant in Kitakyushu to mass produce the FORBLUE™ S-SERIES. Scheduled to begin operation in June 2026, the facility will be the primary production base, supported by another in Chiba. Together, they will comprise all of AGC's fluoropolymer ion exchange membrane production used in PEM water electrolyzers, setting a scale unmatched by any other chemical manufacturer.
“Anticipating significant growth in the hydrogen market, AGC is making proactive investments,” says Horiuchi. “We are also strengthening our global business structure, including expanding sales and evaluation functions in Europe, which is leading the vision for a hydrogen society. By ensuring a stable supply of ion exchange membranes -- the core component for green hydrogen production -- we aim to support the global adoption of hydrogen and contribute to realizing a hydrogen society.”
With these and other efforts, AGC is poised to play a pivotal role in energy utilization, contributing to the forthcoming hydrogen society.
Reprinted from editorial advertisement in Nikkei xTECH, December 2024
* Department names and titles are those at the time of the interview.
FORBLUE™ S-SERIES