Doosan Group said Thursday it has established “Doosan H2 Innovation” to consolidate the group’s hydrogen research and development efforts currently dispersed across different affiliates.

According to South Korea’s No. 15 conglomerate, the newly established company will take a central role of the group’s development of solid oxide fuel cells, or SOFCs.

SOFCs are third-generation fuel cells that can offer longer life spans and greater efficiency than conventional models. SOFCs also have a competitive edge in price, as they use nickel as a catalyst instead of platinum to generate electricity.

Doosan H2 Innovation will develop SOFCs based on Doosan Fuel Cell America’s key technologies in phosphoric acid fuel cells, or PAFCs.

“Serving as a bridge between Doosan Fuel Cell America and Doosan Fuel Cell in Korea, Doosan H2 Innovation will allow the group to make swift investment decisions at the early stages of R&D projects,” a group official said.

While Doosan H2 Innovation leads R&D efforts, Doosan Fuel Cell will be in charge of the production and sales of SOFCs. Doosan Fuel Cell aims to establish a production line of SOFCs starting 2024.

Typical SOFCs require temperatures over 750 degrees Celsius to operate. Doosan’s goal is to develop a SOFCs that are operational below 620 degrees Celsius.

Fuel cells are basically batteries that generate heat and electricity through an electrochemical reaction between hydrogen and oxygen, with pure water as the only byproduct.