Hydrogen Central

Pupuk Indonesia Engages PLN And ACWA Power to Develop Environmentally Friendly Hydrogen and Green Ammonia

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Pupuk Indonesia engages PLN and ACWA Power to develop environmentally friendly hydrogen and green ammonia.

PT PLN (Persero) collaborates with ACWA Power and PT Pupuk Indonesia (Persero) for the development of the hydrogen business. In this case, the three companies drafted a Joint Development Study Agreement (JDSA) for the development of green hydrogen as a raw material for ammonia in Gresik, East Java.

Deputy Minister of State-Owned Enterprises (BUMN) I Pahala N. Mansury revealed that the government is very serious in developing green industry clusters. Thus, the government hopes that the agreement between PLN, ACWA Power and Pupuk Indonesia to conduct a joint green hydrogen development study will be a concrete step in the development of new renewable energy (EBT) in the country.

Pahala in the Courtesy Meeting between PLN, ACWA Power and Pupuk Indonesia in Jakarta said:

This collaboration is carried out in order to develop clean energy in Indonesia through the development of green ammonia using the existing Petrokimia Gresik facility.

“We hope that this joint study will encourage Indonesia to become a pioneer in the development of green energy solutions and achieve the net zero emission target in 2060 and can inspire partnerships between Indonesia and international institutions in the future.”

“I think Indonesia has a lot of potential to become an important player in the hydrogen business in the Southeast Asian market. As stated by President Joko Widodo, the results of this joint study are expected to be realized soon,” he added.

PLN President Director Darmawan Prasodjo also agreed with this. In the last two weeks, said Darmawan, PLN has held intensive discussions with ACWA Power regarding technical challenges and investment in this cooperation. He is optimistic that the collaboration of these three companies will strengthen the green energy business ecosystem in the country.

Darmawan Prasodjo, PLN President Director said:

This collaboration has gone very well.

“So that we managed to map all possibilities from a commercial and technical perspective, “said Darmawan.

ACWA Power CEO Marco Arcelli said the collaboration between the three companies has been very good. Thus, the joint study can be carried out by the end of 2023 and is expected to be completed in 2025.

“We see a strong commitment from the government, PLN, Pupuk Indonesia, and all elements in Indonesia to carry out the energy transition. So, the most important thing now is how we maintain this momentum to achieve common goals,” he said.

President Director of Pupuk Indonesia Achmad Bakir Pasaman added, his party is very grateful to the government for fully supporting the collaboration of these three companies. Intensive escort from the government makes joint studies on the development of green hydrogen and green ammonia can be carried out as planned.

Achmad Bakir President Director of Pupuk Indonesia said:

Pupuk Indonesia is ready to contribute optimally to realizing this integrated green hydrogen and green ammonia project.

“We want this project will not only develop the energy business ecosystem, but also boost the national economy,” Bakir concluded.

Green hydrogen or green hydrogen itself is hydrogen obtained from clean sources without carbon emissions. Green hydrogen is used as raw material for green ammonia which can be used as fuel for power plants, transportation, and making fertilizer.

PLN, ACWA Power, Pupuk Indonesia Kerja Sama Kembangkan Green Hydrogen dan Green Ammonia Terintegrasi, July 13, 2023

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