South Australia’s USD 12.5 Million Project of Green Hydrogen Supply to Indonesia

March 2023

The South Australian Government is leading the way in the hydrogen trading market with a new USD 12.5 million initiative to generate low-cost green hydrogen from renewable resources and export it to Indonesia. Partially funded by Japan’s Ministry of the Environment and Japanese company Marubeni, the project features a five-megawatt battery energy storage system (BESS) and a 150kW proton exchange membrane electrolyzer.

SA Water owns the project site near Bolivar, north of Adelaide. The facility allows Marubeni to grow its future capacity, depending on hydrogen demand. The project would produce low-cost green hydrogen from renewable resources and enable hydrogen to be delivered in a metal hydride container from South Australia to Indonesia. It would also contribute to grid stability through the installed BESS at Bolivar. The demonstration facility is expected to be operational by August 2023, with shipment to Indonesia beginning in late 2023.

Hydrogen produced from low- or zero-emission sources has the potential to decarbonize the energy and industrial sectors significantly. In this regard, hydrogen is one of several technology solutions available to assist Indonesia in meeting its climate commitments. Furthermore, Indonesia’s rich renewable resources, such as solar, hydropower, wind, biomass, geothermal, and tidal, might enable the country to become a global clean hydrogen powerhouse.

Pertamina Geothermal Energy (PGE), Indonesia’s state-owned geothermal developer, is collaborating with Tokyo Electric Power Company Holdings Inc. (TEPCO), a Japanese electricity utility holding company, to research and create optimal operating technology for cost-effective green hydrogen production and transportation. The project combines PGE’s geothermal power plant technology with TEPCO’s hydrogen production technology and is funded by Japan’s national research and development organization, the New Energy and Industrial Technology Development Organization (NEDO).

ACWA Power, a Saudi power generation company, has signed an MoU with Pupuk Indonesia, a state-owned chemical manufacturing company, to develop a giga-scale green hydrogen project in Indonesia. As part of this project, ACWA Power is partnering with PLN to develop a green hydrogen/ammonia plant powered by hydroelectricity. This initiative is part of ACWA Power’s larger giga-scale green hydrogen project in Indonesia.

(Source: Energy Magazine; Think Geoenergy; and Hydrogen Central)

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