Sembcorp and PT PLN join forces on hydrogen production and export

Singapore’s Sembcorp Utilities, a wholly-owned subsidiary of Sembcorp Industries, and Indonesian state-owned utility company PT PLN (Persero) have signed a joint development study agreement to explore the feasibility of green hydrogen production in Indonesia for export to Singapore.

According to Sembcorp, the facility could potentially produce up to 100,000 tons of green hydrogen per annum in Indonesia using locally sourced renewable energy, which will be exported via subsea pipeline to Singapore. This project is expected to be Indonesia’s first green hydrogen export to Singapore.

Wong Kim Yin, Group President and CEO, Sembcorp Industries, said: “Hydrogen and its derivatives remain one of the most promising substitutes for natural gas in power generation. Through this partnership with PT PLN (Persero), we endeavour to co-develop a viable low-carbon hydrogen supply chain in ASEAN that will diversify energy sources for both countries. This will support the decarbonization of Singapore’s power sector as the country progresses towards its 2050 net-zero target.”

Darmawan Prasodjo, President Director of PT PLN (Persero), noted: “PLN is fully committed to accelerating the energy transition towards greener energy to ensure a better future for the next generation. One of the concrete examples is through this partnership. We appreciate our partner, Sembcorp, and we are hoping for support from all parties to successfully implement future green energy projects in Indonesia and the Southeast Asian region.”

In regard to other hydrogen-related projects, in May 2023, Sembcorp Industries revealed plans to develop a new multi-utilities center, which was said to include a 600 MW hydrogen-ready power plant on Jurong Island.