Government outlines hydrogen adoption plan through 2060
The Indonesian Ministry of Energy and Mineral Resources (ESDM) has developed a detailed roadmap to incorporate hydrogen as a primary energy source by 2060.
The adoption of hydrogen is set to begin in 2025, with expected consumption between 125,594 and 245,462 tons. Albeit, experts from the Ministry of Energy say hydrogen usage in the transportation sector is scheduled to start by 2030, with an initial potential consumption of 612 tons.
Tony Susandy, Coordinator of Engineering and Environment at the ESDM, said that hydrogen will be integrated into various sectors such as manufacturing, transportation, power generation, and gas networks.
Despite this timeline, hydrogen-powered vehicles are already being introduced in Indonesia. For example, the Hyundai Nexo, a fuel cell electric vehicle (FCEV), is available locally. The Nexo’s hydrogen tank can store up to 6.3 kilograms, providing a range of 611 kilometers.
"By 2060, the hydrogen demand could be equivalent to 178.9 million Hyundai Nexos, covering a total distance of 109.3 million kilometers," Tony said on Thursday, May 16, 2024.
He projected that hydrogen consumption in the transportation sector will hit 123,879 tons by 2045, increasing nearly tenfold to 1.12 million tons by 2060.
Hydrogen will initially be adopted by the manufacturing and gas network sectors in 2025. The manufacturing sector will use 120,076 tons, targeting industries that are difficult to decarbonize, such as cement, iron and steel, and chemicals.
By 2045, hydrogen consumption in manufacturing is expected to exceed 1 million tons, reaching 1.54 million tons and further rising to 3.91 million tons by 2060.
The gas network sector’s adoption of hydrogen is predicted to be slower, with demand projected to reach 225,064 tons by 2060.
The power generation sector is expected to be the last to adopt hydrogen, beginning in 2045 with 141,690 tons. However, by 2060, power generation is forecasted to be the largest consumer of hydrogen, with usage reaching 4.58 million tons.
A National Hydrogen Strategy study highlights Indonesia's potential for green hydrogen production, estimating a capacity of 185,101 Gigawatt hours (GWh) by 2060.
The highest potential lies in Nusa Tenggara at 16,572 GWh, followed by South Sumatra at 14,384 GWh, and Riau at 14,402 GWh.
"Indonesia has significant potential for hydrogen demand across various sectors, including electricity, transportation, industry, refining, and city gas," concluded the ESDM ministry report.
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