Press Release

MHI and Indonesia Power Jointly Investigate Co-Firing with Hydrogen, Biomass and Ammonia in Power Plants Across Indonesia

[Pictured from left to right] Osamu Ono (Chief Regional Officer, Asia Pacific & India/MHI), Rachmad Handoko (Director/Indonesia Power) and Darmawan Prasodjo (President Director/PLN) at signing ceremony
[Pictured from left to right] Osamu Ono (Chief Regional Officer, Asia Pacific & India/MHI), Rachmad Handoko (Director/Indonesia Power) and Darmawan Prasodjo (President Director/PLN) at signing ceremony

Tokyo, November 2, 2022 - Mitsubishi Heavy Industries, Ltd. (MHI), and PT. PLN Indonesia Power, a sub-holding of Indonesia's state-owned electricity provider PT. PLN (Persero) (PLN), yesterday concluded a Memorandum of Understanding (MoU) to commence three feasibility studies on co-firing less carbon intensive fuels at power plants owned and operated by Indonesia Power. The three studies will be conducted jointly by Indonesia Power and MHI with support from its power solutions brand, Mitsubishi Power, and will aid in the advancement of solutions to accelerate the decarbonization of energy systems in Indonesia.

The first study will examine the technical and economic feasibility of co-firing up to 100% biomass at the Suralaya coal-fired power plant (CFPP). The study will consider various aspects of the biomass supply chain, including handling, storage, transport and boiler modification.

The second study, which will also use Suralaya CFPP as the reference plant, will investigate co-firing of ammonia produced by existing ammonia plants in Indonesia. A particular area of focus will be the potential to establish a blue ammonia supply chain with production and transportation from the ammonia plant and ammonia co-firing technology to apply in existing boiler.

The third study will evaluate technical and economic feasibility of hydrogen co-firing in an M701F gas turbine at the Tanjung Priok gas turbine combined cycle (GTCC) facility. MHI completed construction of the plant's Unit 2 GTCC system in 2019 as part of PLN's plans to build an 880 MW plant under the Jawa-2 Project.

The MoU was inked at an Energy Transition Day event organized by Indonesia's PLN Group on November 1, 2022. The event included discussions of initiatives and recommendations to achieve Indonesia's commitment of reaching net zero emissions by 2060, with over 250 industry professionals, government representatives and business leaders in attendance.

Osamu Ono, Senior Vice President, Chief Regional Officer, Asia Pacific & India, MHI, said: "For over 50 years, MHI and its power solutions brand Mitsubishi Power have helped evolve Indonesia's energy landscape, playing major roles in significant energy projects across the country. This new agreement with Indonesia Power will not only enhance the reliability and efficiency of existing facilities, including the Tanjung Priok plant we helped build, but also explore innovative solutions imperative to achieving urgent environmental sustainability goals while delivering on the country's critical energy needs."

Edwin Nugraha Putra, President Director, PT PLN Indonesia Power, said: "We are pleased to deepen our partnership with MHI to enable greater adoption of renewable energy and cleaner fuels, thus helping to achieve a sustainable energy transition in Indonesia. This new agreement underscores our commitment to support the continued development and decarbonization of the country's energy sector."

This new MoU builds on strong existing cooperation between MHI and PLN in Indonesia. Since 1971, MHI's power solutions brand Mitsubishi Power has been supporting PLN and Indonesia Power with solutions for power plants across the country, including the Tanjung Priok, Suralaya and Grati power plants. More recently, in March this year, MHI and PLN, together with Institut Teknologi Bandung, prepared a joint proposal on biomass co-firing adoption at Indonesia's thermal power plants and presented their findings to the national government.

Through this MoU and other ongoing initiatives, MHI, with support from Mitsubishi Power, will work to help the country achieve its Net Zero Emission 2060 target.