ACWA Power 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 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 US$1bn.
ACWA Power chief executive Marco Arcelli signed the agreement with PLN’s chief executive Darmawan Prasodjo and Rahmad Pribadi, chief executive of Pupuk Indonesia Holding Company.
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.
ACWA Power is expanding its green hydrogen portfolio; work is well underway at the 1.2 million tonne-per-year NEOM Green Hydrogen Project in Saudi Arabia and planned for completion in late 2026, and the company broke ground on a second project in Uzbekistan, in November 2023.