PLN EPI Together With Pupuk Indonesia Develop Green Hydrogen
PT PLN Energi Primary Indonesia (PLN EPI) has entered into a Green Hydrogen Purchase Agreement with PT Pupuk Indonesia (Persero), PT PLN Indonesia Power, and ACWA Power in accelerating the domestic green energy transition program.
The agreement is considered a strategic step in the development of hydrogen for the main raw materials in the production of green ammonia, in line with the Indonesian government's target to achieve net zero emissions by 2060.
Director of Gas & BBM of PLN Energi Primary Indonesia Rakhmad Dewanto in a statement, in Jakarta, Thursday, explained that PLN is committed to accelerating the development of renewable energy, including green hydrogen, to achieve the Net Zero Emission target by 2060.
The signing of the Head of Terms (HoT) of the green hydrogen purchase agreement was carried out in a series of Indonesia International Sustainability Forum (ISF) 2024 events, the largest sustainability conference in Indonesia on Sunday 8 September.
Rakhmad said PLN currently produces 203 tons of green hydrogen per year from 22 hydrogen installations supported by Renewable Energy Certificate and geothermal sources.
"This step is in line with our efforts to strengthen a wider green hydrogen ecosystem, including by starting the construction of green hydrogen facilities and green ammonia plants in East Java by 2025-2026," said Rakhmad, quoted from Antara, Thursday, September 12.
The project is projected to produce 15 KTPA green hydrogen per year, which will then be used for a wide range of industrial applications, including environmentally friendly fertilizers. This development also plays an important role in industrial decarbonization, where the resulting green ammonia can significantly reduce carbon emissions.
"This is an important step for PLN in building a sustainable green hydrogen ecosystem, and we will continue to provide clean electricity and green hydrogen for future industrial needs," said Rakhmad as well.
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He also emphasized that the green hydrogen and green ammonia produced will play a key role in supporting the cleaner industrial sector in Indonesia, especially in efforts to decarbonize.
The strategic step of PLN EPI is part of the 10-year roadmap of the Ministry of SOEs to become the pioneer of a green economy in Indonesia.
Cooperation with international partners such as ACWA Power is expected to accelerate the adoption of green energy in various sectors and strengthen Indonesia's position in climate change mitigation at the global level.