PLN EPI Partners Sembcorp to Build Southeast Asia's Largest Green Hydrogen Project

Photo: (Doc. PLN EPI)

PT PLN Energi Primary Indonesia (PLN EPI) signed a Joint Development Agreement (JDA) with Sembcorp Industries (Sembcorp) for the development of green hydrogen production facilities in Sumatra, Indonesia.

Director of Corporate Planning and Business Development of PT PLN (Persero) Hartanto Wibowo said the development of green hydrogen is one of PLN's strategies in accelerating environmentally friendly projects.

"Green hydrogen is the key to future energy. The project signed today will be the first and largest for Southeast Asian hydrogen hubs. This is a form of real commitment in reshaping the energy landscape in the region," Hartanto said, Wednesday, October 23.

PLN EPI President Director Iwan Agung Firstantara explained that this project has a production capacity of up to 100,000 metric tons per year and will become the largest green hydrogen project in Southeast Asia, and play an important role in forming a regional green hydrogen center that connects Sumatra, Riau Islands, and Singapore.

The signing of the JDA took place in the Singapore International Energy Week (SIEW) 2024 series of events and is a continuation of the first phase of joint studies involving location selection, risk assessment, and technical scheme development. With this JDA, the project will continue to the next phase which includes detailed engineering and commercial planning.

"This collaboration reflects PLN EPI's commitment to supporting the sustainable energy transition. This green hydrogen project not only strengthens Indonesia's position as a leader in the energy transition in ASEAN, but also opens up great opportunities to develop clean energy infrastructure that can meet domestic and export needs," said Iwan.

This project is in line with Singapore's national hydrogen strategy which focuses on sustainable energy solutions and reducing carbon emissions, as well as in line with Indonesia's initiative to build solid hydrogen infrastructure. Green hydrogen produced from this project will play an important role in industrial decarbonization efforts, not only in Indonesia, but also throughout Southeast Asia.

"We are very enthusiastic about working with Sembcorp in developing this project. This is a real step to ensure that Indonesia not only acts as a conventional energy provider, but also becomes a key player in clean energy at the regional level." said Iwan.

Singapore and Southeast Asia CEO Sembcorp Industries Koh Chiap Khiong said the deal marks an important step in developing a sustainable hydrogen ecosystem for Southeast Asia.

"We have carried out significant progress in collaboration with PLN. This project marks an important stage towards the development of the hydrogen ecosystem. This allows the connection between Sumatra, Riau Islands and Singapore for a strong hydrogen hub," said Koh Chiap Khiong.

Koh Chiap Khiong added that Sembcorp and PLN are committed to making this program a success to encourage diversification of Southeast Asia's energy sources and energy security.

President Director of PT PLN Energi Primary Indonesia (PLN EPI) Iwan Agung Firstantara signed the JDA for the Development of Green Hydrogen Production Facilities in Sumatra with the Head of Renewable for Singapore and Indonesia, Sembcorp Jen Tan.