Singapore and Indonesia Join Forces to Create Green Hydrogen Hub in Sumatra
Key Ideas
- Sembcorp Utilities and PT PLN Energi Primer have agreed on a green hydrogen production facility in Sumatra with a capacity of 100,000 metric tonnes per year.
- The joint development agreement aims to establish a regional green hydrogen hub connecting Sumatra, the Riau Islands, and Singapore.
- Green hydrogen is considered a promising low-emission alternative bunker fuel for ships.
- The move signifies a step towards sustainable energy solutions and closer collaboration in the Asia-Pacific region.
Singapore's Sembcorp Utilities and Indonesia's PT PLN Energi Primer have inked a deal to develop a green hydrogen production facility on Sumatra, Indonesia. This initiative stems from an earlier feasibility study agreement between the two companies. The planned facility is set to have an annual production capacity of 100,000 metric tonnes of green hydrogen. The primary objective of this joint venture, undertaken by Sembcorp and Persero subsidiaries, is to establish a regional green hydrogen hub that connects Sumatra, the Riau Islands, and Singapore. Green hydrogen, along with its blue counterpart, is gaining traction as a viable low-emission option, especially as an alternative bunker fuel for ships. This move represents a significant step towards sustainable energy practices in the maritime sector. The collaboration between Singapore and Indonesia showcases a commitment to driving the energy transition towards more environmentally friendly solutions in the Asia-Pacific region.