State electricity company PT PLN and PT HDF Energy Indonesia (HDF Energy) on Thursday, September 5, 2024, inked an agreement that will explore the opportunities to develop a robust hydrogen ecosystem in Indonesia.
The collaboration marks a significant step in the ongoing cooperation between the two companies in advancing hydrogen technology, focusing on leveraging HDF Energy’s innovative “Renewstable” power plants, which integrate intermittent renewable energy sources with battery storage and hydrogen technology.
The initial development of these power plants will be centered in Eastern Indonesia, potentially expanding the use of hydrogen across various sectors, including maritime and industrial activities.
PLN has been proactive in initiating hydrogen pilot projects and studies across Indonesia, including establishing hydrogen production facilities and refuelling stations. The company has also signed multiple agreements aimed at diversifying its business and exploring alternative fuels to support its decarbonization agenda.
The Ministry of Energy and Mineral Resoiurces (ESDM), through Directorate General of New, Renewable Energy and Energy Conservation (EBTKE), issued the National Hydrogen Strategy in late 2023, signalling a strong governmental push for the development of hydrogen across several sectors, including power generation, transportation, and industry.
The National Hydrogen Strategy underscores Indonesia’s commitment to transitioning towards low-carbon hydrogen, with a staged approach towards green hydrogen. The ESDM minitry is currently finalizing the country’s Hydrogen Roadmap, which will define the timeline and key milestones for hydrogen deployment.
Renewstable power plants
HDF Energy, a France-based global player in the hydrogen industry, specializes in developing large-scale hydrogen infrastructure and advanced multi-megawatt fuel cell technology. This partnership with PLN accelerates the deployment of Renewstable multi-MW hydrogen power plants which generate green, stable, and baseload power by integrating intermittent renewable energy sources with substantial on-site energy storage in the form of green hydrogen.
Renewstable plants stand as the green alternative to traditional diesel fuel power plants, utilizing only solar or wind energy and water to produce stable electricity, thereby eliminating greenhouse emissions and noise.
HDF Energy is currently developing 23 projects in Eastern Indonesia, representing a potential investment of US$1.5 billion, with support from development institutions, including the US’s Development Finance Corporation (DFC).
Director General of New, Renewable Energy and Energy Conservation, Eniya Listiani Dewi, has on many occasions expressed her support to all stakeholders, highlighting the need of cooperation among stakeholders to jointly develop the hydrogen ecosystem in Indonesia.
Darmawan Prasodjo, President Director of PT PLN, said that the company is committed to supporting the reduction in greenhouse gas emissions by among others through the development of hydrogen, enabled by the partnership.
“Currently, PLN is not only providing electricity, but also committed to pioneering the use of renewable and sustainable energy. We are glad to collaborate with some partners, such as HDF Energy,” Darmawan said in a statement on Friday, September 6, 2024.
Similarly, Mathieu Geze, HDF Energy’s Director for Asia and President Director of PT HDF Energy Indonesia, said that the company is excited to reaffirm its commitment to a Net Zero Emission future with this MoU.
“Through our collaboration with PLN, we aim to put Indonesia at the forefront of green hydrogen projects in the Asia Pacific region,” Geze said.