Indonesia’s 3.5 GW solar megaproject set sights on green hydrogen

Australian independent power producer ReNu Energy has signed a deal with the developers of a proposed 3.5 GW solar-plus-storage facility in Indonesia to explore the potential large-scale production of green hydrogen for supply into Southeast Asia and beyond.

From pv magazine Australia

Australia-based ReNu Energy and its wholly owned subsidiary Countrywide Hydrogen have signed a memorandum of understanding (MoU) with Anantara Energy, a partnership between Singapore-based independent power producer Quantum Power Asia and German PV developer ib vogt, to investigate the feasibility of developing a large-scale green hydrogen production facility in Indonesia. The plan features a 10 MW electrolyzer supported by at least 100 MW of solar.

Under the terms of the non-binding agreement Countrywide and Anantara will jointly study the feasibility of establishing a solar-powered green hydrogen production facility in Indonesia’s Riau archipelago, south of Singapore.

Anantara Director Simon Bell said he expects green hydrogen and ammonia produced from renewable energy will play a key role in a future net-zero economy for Indonesia and the region more broadly. This is in addition to the demand he believes will emerge from Europe as a key export market for Indonesia.

“We have agreed to collaborate with Countrywide Hydrogen to jointly conduct and fund a concept study and a detailed techno-commercial feasibility study for the set up of a green hydrogen production facility, and the viability of investing in the development of commercial arrangements for clean hydrogen in Indonesia,” he said.

The planned concept and feasibility studies will explore an initial 10 MW electrolyzer capable of producing approximately 1,650 tonnes of green hydrogen per year. If supported by the feasibility study, Anantara will develop, fund, and operate at least 100 MW of solar to provide clean energy to the facility.

ReNu Executive Director Geoffrey Drucker (right) puts pens to paper on an MoU alongside Launceston Airport CEO Shane O’Hare.

ReNu Executive Director and Countrywide Managing Director Geoffrey Drucker said it is expected the solar-powered facility would supply green hydrogen to offtakers in Indonesia. Once local demand is met, supply can then be directed for export to other countries in Asia and potentially Europe.

“Green hydrogen will play a major role in a future net-zero economy for Indonesia and Asia more broadly, creating emission-free power generation, transportation for mining, and industrial processes,” Drucker said. “We plan to meet the needs of a competitive market, and this production facility will continuously expand to reach a broader ASEAN market through an agreed energy export scheme.

Subject to a positive outcome of the studies, it is expected the financial close for the green hydrogen manufacturing facility could occur in 2024 with green hydrogen production to commence in 2025.

Anantara has already committed to invest up to almost $6 billion to develop a 3.5 GW solar and storage facility in Riau. The joint venture has secured more than 600 hectares of land and is in the process of obtaining permitting rights as well as financing commitments for developing a 3.5 GW solar plant with up to 12 GWh of energy storage capacity.

The PV plant is expected to generate an estimated 4 TWh of clean energy annually for the purpose of providing baseload clean energy to the local population and industry. Anantara also intends to export clean energy to Singapore via an undersea cable.

The agreement with Anantara comes after Countrywide last week signed a term sheet with Australian superannuation fund HESTA for an investment of up to $67.1 million in the company’s green hydrogen projects and just hours after the company announced it would work with the operators of Launceston Airport in Tasmania to investigate the development of a multi-purpose solar-powered green hydrogen project at the airport.

This post appeared first on PV Magazine.

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