ACWA POWER SIGNS DEAL TO DEVELOP THE LARGEST GREEN HYDROGEN PROJECT IN INDONESIA

Saudi-listed ACWA Power, the world’s largest private water desalination company, leader in energy transition and first mover into green hydrogen, is set to develop the largest green hydrogen facility in Indonesia with PT Perusahaan Listrik Negara (PLN), Indonesia’s state-owned electricity provider and PT Pupuk Indonesia, a state-owned fertiliser and chemical producer.

The announcement was made on the sidelines of the 28th United Nations Climate Change Conference (COP28) underway in Dubai. ACWA Power CEO Marco Arcelli signed the agreement with PLN’s CEO Darmawan Prasodjo and Rahmad Pribadi - CEO of Pupuk Indonesia Holding Company.

The Garuda Hidrogen Hijau (GH2) Project, which is expected to start commercial operations in 2026, will run on 600MW of solar and wind power, and will produce 150,000 tonnes of green ammonia per year. The cost of the project is estimated to be upwards of $1 billion.

The bidding process for engineering procurement and construction (EPC) for the Garuda Hidrogen Hijau project is expected to start in the first quarter of 2024, with financial close planned for the end of 2025.

The company is also growing its presence in Indonesia after it was awarded the contracts to develop two floating offshore solar photovoltaic (PV) plants in October 2022.