Ikonomy – Vietnam’s Indigenous Hydrogen Technology for Sustainable Blue Economy Development in Vietnam and the ASEAN Region

Photo of Mr. Nguyen Nguyen Quang, Chairman and Founder of Ikonomy 

Based on the presentation by Dr. Duong Mien Ka, Vice Chairman of the Board and Co-Founder of Ikonomy,
at the Workshop on Hydrogen Gas Injection Technology into Internal Combustion Engines to Reduce Fuel Consumption and Emissions
organized by the Vietnam-ASEAN Hydrogen Club (VAHC) and University of Economics and Finance (UEF) on September 16, 2025, in Ho Chi Minh City.

Executive Summary

IKONOMY introduced a solution for hydrogen injection into internal combustion engines, aiming to reduce diesel fuel consumption by more than 10% and cut emissions for fishing vessels. The system applies a distributed energy model: micro wind turbines + solar panels installed on the vessel roof generate electricity to power a micro-electrolyzer producing H₂ on board. The H₂ is then injected into the combustion chamber or air intake system to improve combustion, resulting in significant fuel savings.

IKONOMY is not only selling equipment (E-MARINE series) but has also developed three ecosystem pillars:

• Hardware (equipment)

• IoT to connect the supply chain & manage operational data

• IKT digital token for payments, CO₂ credit exchange, and DeFi

Together, these create a “green-to-finance” ecosystem bridging green energy and green finance.

Speech by Mr. Nguyen Nguyen Quang,

Chairman and Founder of Ikonomy, at the Workshop

1. Technology & System Architecture

Key Components:

• Onboard Renewable Sources: solar panels on the bow/roof and micro wind turbines — harnessing solar and wind energy at sea to provide power locally.

• Energy Storage & Management: batteries or supercapacitors to stabilize power supply for electrolysis despite renewable intermittency. (The pitchdeck outlines a distributed energy model; details of the storage unit are not specified.)

• Micro-Electrolyzer: converts electricity into hydrogen directly on board. The pitchdeck illustrates a “1 set – 1 kW” model per vessel as the market baseline.

• Hydrogen Storage & Injection Module: directs H₂ to a controlled injection unit into the intake manifold or cylinder chamber, governed by ECU-like algorithms to optimize injection ratio — ensuring safety, avoiding backfire, and maintaining engine performance.

• IoT & Control Layer: collects data on fuel consumption, H₂ production/usage, system safety status, predictive maintenance alerts, and reports to the platform; also links to IKT token for service payments and carbon trading.

Technical Remarks:

• The pitchdeck specifies “1 set 1 kW per vessel” — an appropriate scale for distributed hydrogen production.

• A 1 kW electrolyzer is small-scale and produces a modest amount of H₂ per day; actual yield depends on available renewable power (sunlight hours/wind speed), storage capacity, and operating strategy (running electrolyzer only with surplus power).

• Injecting H₂ into a running diesel engine utilizes hydrogen’s combustion enhancement effect: even a small amount of H₂ accelerates combustion, requiring less diesel for the same power output — making a >10% fuel saving technically feasible with relatively low H₂ flow.

Dr. Duong Mien Ka presenting at the Workshop

2. Illustrative Data — Fuel Efficiency & CO₂ Reduction (Sample Calculations)

Below is an illustrative scenario based on public assumptions and your reported trial results (>10% savings).

Assumptions:

• Operating days per year: 250 days/year (conservative).

• Average diesel consumption (small/small-medium fishing boats): 30 L/day, 60 L/day, 120 L/day.

• Observed fuel saving rate: 10% (base case) and 15% (optimistic case).

• Diesel emission factor: 2.68 kg CO₂/L.

• Onboard electrolyzer power: 1 kW per vessel (per pitchdeck).

Results (Detailed Calculations):

• Example vessel (60 L/day, 250 days/year):

  • 10% reduction → 6.0 L/day → 1,500 L/year saved.

  • CO₂ reduction = 1,500 × 2.68 = 4,020 kg CO₂/year (~4.02 tCO₂/year).

• Other cases (10% reduction):

  • 30 L/day → 750 L/year → 2.01 tCO₂/year.

  • 120 L/day → 3,000 L/year → 8.04 tCO₂/year.

Potential H₂ production from 1 kW electrolyzer (continuous 24h scenario):

• Energy input: 1 kW × 24 h = 24 kWh/day.

• Electrolysis efficiency: 50 kWh/kg H₂ → 24 ÷ 50 ≈ 0.48 kg H₂/day.

• Energy content: 0.48 kg × 33.33 kWh/kg ≈ 16 kWh/day.

• Diesel equivalent (≈9.7 kWh/L): ≈ 1.65 L diesel/day.

Thus, a 1 kW unit produces H₂ equivalent to ~1.6 L of diesel/day (if run 24h) — yet >10% fuel savings are observed in practice thanks to the combustion enhancement effect, not purely energy substitution.

Fleet-Scale Scenario:

• Pilot with 20 vessels:

  • Each vessel saves 1,500 L/year → 30,000 L/year total.

  • CO₂ reduction ≈ 80.4 tCO₂/year.

• Scale to 10,000 vessels:

  • CO₂ reduction ≈ 40,200 tCO₂/year.

3. Economics — Revenue Model & Market Scenarios

IKONOMY’s pitchdeck emphasizes “Think Big – Start Niche – Scale Quickly” with a business model combining device sales, O&M services, data/IoT platform subscriptions, and financial instruments (IKT token + carbon credit trading).

Illustrative Revenue Scenario:

• Unit CAPEX: USD 3,000 per vessel (including electrolyzer, inverter, IoT kit, injection module, installation).

• O&M: USD 200 per vessel per year.

• 100 vessels: Device revenue = USD 300,000; annual O&M revenue = USD 20,000.

• 10,000 vessels: Device revenue = USD 30 million; annual O&M revenue = USD 2 million.

Token & Carbon Model (IKT):

• IKT acts as an internal payment token (device purchase, O&M, insurance) and as a carbon credit trading unit.

• With IoT-backed transparent data (fuel baseline + H₂ logs), verified carbon credits can be issued, generating additional income for vessel owners.

• Compliance with carbon credit verification standards and token regulations (AML/KYC) is essential to maintain credibility and avoid “greenwashing.”

4. Strategic Advantages & Wider Impacts

• Suitable for small/traditional fishing boats: compact, modular devices using onboard renewables — enabling low-carbon modernization while preserving traditional wooden shipbuilding.

• Boost to seafood exports: reduced emissions and blockchain-based traceability provide competitive advantage in EU/Japan/Korea markets with strict carbon and traceability requirements.

• Diversified economic model: combining device sales + O&M + IoT data + token + carbon credit revenue creates a comprehensive green-to-finance ecosystem.

5. Technical Limitations, Risks & Mitigation

1. Variable Renewable Supply: solar/wind on fishing boats is intermittent.

   • Mitigation: adequate battery sizing, electrolyzer control logic, optional shore-charging when docked.

2. Hydrogen Safety on Board: H₂ is flammable and prone to leakage.

   • Mitigation: marine-grade materials, H₂ sensors, automatic shutdown, safety valves, proper crew training.

3. Engine Integration Risks: improper injection may cause backfire or engine wear.

   • Mitigation: ECU algorithm tuning, pressure/temp sensors, long-term endurance testing, local mechanic training.

4. O&M & Supply Chain Challenges: marine corrosion and spare parts logistics.

   • Mitigation: build regional service network, local spare parts inventory, partnerships with boatyards.

5. Token & Financial Risks: crypto volatility, regulatory compliance.

   • Mitigation: fiat-backed payment option, clear utility token structure, compliance with AML/KYC rules.

6. Policy Recommendations & Co-Funding Proposal

• National Pilot Program:

  • Deploy 20 vessels in Xuyen Moc & Binh Dinh, collect 12–18 months of data.

  • Estimated cost: ~USD 129,000 for 20 vessels (equipment, installation, R&D, monitoring).

  • Deliverables: validated fuel/emission savings, standardized installation/O&M procedures.

• Financial Incentives & Tax Support:

  • Low-interest financing for local manufacturers and fishermen, tax incentives for local assembly and green tech adoption.

• Legal & Certification Framework:

  • Safety standards for onboard hydrogen systems, verification framework for carbon credit issuance.

• R&D–Industry–Training Collaboration:

  • Link Ikonomy with universities (e.g., Ho Chi Minh City University of Industry) for independent testing, simulation, and technology transfer.

7. Suggested R&D Roadmap

• Phase 0 – Pilot (6–18 months):

  • Install 20 vessels, collect real-world data, validate savings & safety.

• Phase 1 – Standardization & Scale-Up (18–36 months):

  • Optimize control boards, upgrade storage system, develop training centers.

• Phase 2 – ASEAN Commercialization (36–60 months):

  • Local assembly, regional expansion, blockchain integration for traceability & carbon credit trading.

8. Final Remarks & Strategic Advice

Evidence from the pitchdeck and local trials shows IKONOMY offers a practical, modular solution for small fishing vessels, using distributed renewable energy to generate onboard hydrogen and achieving >10% fuel savings in real-world tests.

Strengths: practical technology, multi-revenue business model, scalable to ASEAN.
Risks: hydrogen safety, renewable intermittency, token/CO₂ regulatory compliance, O&M logistics.

Next Priorities:

1. Standardize test reports (baseline fuel data, weather, load conditions).

2. Conduct independently monitored pilot to certify emission reductions (basis for carbon credit issuance).

3. Prepare a formal funding proposal for government support (budget, KPIs, scaling plan).

4. Complete safety and certification requirements to enable seafood export compliance to EU/Japan/Korea markets.

Annex – Summary of Key Calculations

• Single vessel (60 L/day, 250 days): 1,500 L/year saved → 4.02 tCO₂/year reduced.

• 1 kW electrolyzer (24h theoretical): ~0.48 kg H₂/day → ~1.65 L diesel equivalent/day.

• 20-vessel pilot: saves 30,000 L/year → ~80.4 tCO₂/year reduced.

• Example revenue model: 10,000 vessels × USD 3,000/unit = USD 30M device revenue; annual O&M = USD 2M.