ASIATODAY.ID, JAKARTA — Indonesia is positioning itself as a future regional green hydrogen hub, with state-owned PT PLN Energi Primer Indonesia (PLN EPI) accelerating the development of an integrated low-carbon hydrogen ecosystem through new international partnerships targeting heavy industry, cleaner power generation, and sustainable aviation fuel (e-SAF).
The strategy gained fresh momentum during the Global Hydrogen Ecosystem Summit & Exhibition (GHES) 2026 in Jakarta, where PLN EPI signed a Memorandum of Understanding (MoU) with Singapore-based eFuels SEA Pte. Ltd. to explore cross-border green hydrogen supply chains and the development of synthetic fuels.
The agreement underscores Indonesia’s ambition to move beyond being a supplier of renewable resources and become a regional producer of value-added clean energy, as governments and industries across Asia accelerate investments to meet climate goals while strengthening long-term energy security.
“Hydrogen is becoming one of the strategic energy commodities of the future. Our role is not only to ensure supply but also to build a business ecosystem that enables hydrogen to be utilized more broadly across the energy and industrial sectors,” said Anita Puspita Sari, Vice President for Biomass Strategy and Business Development at PLN EPI.
PLN EPI is developing a fully integrated hydrogen value chain covering production, storage, logistics, commercialization, and strategic partnerships. Through Hydrogen Gas Purchase Agreements (HGPA) and joint operating schemes, the company aims to become a key supplier of low-carbon hydrogen for fertilizer and ammonia producers, oil refineries, petrochemical complexes, steel manufacturers, metal processing industries, and chemical producers.
The company is also targeting one of the fastest-growing segments of the clean energy market through the development of electro-Sustainable Aviation Fuel (e-SAF). The technology combines green hydrogen with captured carbon dioxide to produce synthetic aviation fuel that could help airlines reduce emissions as international decarbonization regulations become increasingly stringent.
Strategic Partnership with Singapore
The MoU with eFuels SEA Pte. Ltd. covers joint studies on feedstock availability, production technologies, commercial frameworks, logistics, and future market opportunities for green hydrogen and synthetic fuels between Indonesia and Singapore.
The collaboration reflects growing cross-border efforts in Southeast Asia to establish regional hydrogen supply chains capable of supporting industrial decarbonization, sustainable aviation, and future clean-energy trade.
PLN EPI Corporate Secretary Mamit Setiawan said international partnerships are essential for accelerating technology transfer, improving commercial viability, attracting investment, and expanding access to regional and global markets.
He added that Indonesia’s abundant renewable energy and biomass resources provide a strong foundation for producing biohydrogen, biogas, biochar, and sustainable aviation fuel while supporting the country’s circular economy and green industrial transformation.
Surplus Hydrogen Creates Commercial Opportunity
Indonesia’s hydrogen ambitions are backed by an existing production base.
PLN President Director Darmawan Prasojo said the utility already produces around 203 tonnes of clean hydrogen annually through electrolysis systems used in power plant cooling operations.
Only about 75 tonnes are consumed internally, leaving roughly 128 tonnes available for future commercial applications.
Rather than expanding production, PLN is focusing on creating downstream demand capable of utilizing the existing surplus.
The utility has partnered with state-owned energy company Pertamina to establish a Hydrogen Refueling Station (HRS) in Jakarta, while discussions are underway with automotive manufacturers from Japan, Germany, and China regarding the future deployment of hydrogen-powered buses and other fuel-cell vehicles.
Hydrogen is also expected to play an increasingly important role in replacing diesel-fired electricity generation in remote regions, strengthening renewable energy integration and supporting long-duration energy storage.
Positioning Indonesia in Asia’s Hydrogen Economy
Although Indonesia’s hydrogen industry remains at an early stage, policymakers increasingly view hydrogen as a strategic complement to battery-electric technologies, particularly for sectors that are difficult to decarbonize, including heavy industry, shipping, aviation, and long-distance transportation.
During GHES 2026, Energy and Mineral Resources Minister Bahlil Lahadalia described hydrogen as one of Indonesia’s future strategic energy sources capable of strengthening national energy security, supporting downstream industrial development, and enhancing economic competitiveness.
For PLN EPI, the objective extends beyond producing clean fuel. The company is seeking to build an integrated ecosystem that connects Indonesia’s abundant renewable resources with advanced technologies, international investment, and regional demand.
As countries including Japan, South Korea, Singapore, and Australia accelerate hydrogen development, Indonesia is seeking to leverage its natural resource base and strategic geographic location to become a competitive supplier of low-carbon hydrogen and its derivatives across the Asia-Pacific region.
If supported by continued investment, infrastructure development, technological innovation, and stronger market demand, Indonesia’s green hydrogen strategy could unlock a new chapter in the country’s energy transition—decarbonizing key industries, supporting sustainable aviation, creating high-value green jobs, and positioning Southeast Asia’s largest economy as an increasingly influential player in the emerging global hydrogen economy. (AT Network)
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