Indonesia's Hydrogen Dilemma: Solutions for PLN's Surplus Gas Supply
Key Ideas
- PLN, Indonesia's state electricity firm, faces an oversupply of hydrogen, producing 203 tonnes annually but only using 37% for electricity generation.
- To address the surplus, PLN plans to sell the remaining hydrogen at a lower price than gasoline, promoting its use in hydrogen-powered vehicles.
- The initiative aims to provide a cheaper alternative to gasoline, with the potential to boost the adoption of hydrogen as a fuel source in the country.
- Hydrogen from PLN's excess supply eliminates the need for additional infrastructure investment, making it a cost-effective and environmentally friendly option.
The Indonesian government is exploring ways to absorb the excess supply of hydrogen generated by the state electricity firm PLN to support the country's energy transition. PLN produces 203 tonnes of hydrogen annually, with only 37% utilized in electricity generation. The surplus 128 tonnes could be a resource for hydrogen-powered vehicles, offering a cheaper alternative to gasoline at Rp 550 per kilometer. This move could potentially drive the shift towards sustainable transportation options. At the Global Hydrogen Ecosystem Summit & Exhibition in Jakarta, PLN's president director highlighted the cost advantages of using surplus hydrogen, emphasizing its competitiveness compared to traditional fuels. By leveraging this surplus gas, PLN aims to address both the environmental concerns and the economic viability of hydrogen as a fuel. The initiative not only presents a business opportunity for PLN but also aligns with Indonesia's green energy goals. Embracing hydrogen as a fuel source could contribute significantly to reducing carbon emissions and promoting a more sustainable energy landscape in the country.