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ACWA Power Signs Deal Worth More Than $1 Billion to Develop the Largest Green Hydrogen Project in Indonesia

Last Updated on 07th December 2023

ACWA Power will develop the largest green hydrogen facility in Indonesia in collaboration with PT Perusahaan Listrik Negara (PLN), Indonesia’s state-owned electricity provider, and PT Pupuk Indonesia, a state-owned fertilizer and chemical producer. The cost of the project is estimated to be more than $1 billion. The announcement was made during the 28th United Nations Climate Change Conference (COP28), underway in Dubai.


ACWA Power Signing Agreement With Indonesian Government For the Green Hydrogen Project


The Garuda Hidrogen Hijau (GH2) Project will commence its commercial operations by 2026. The facility will run on 600 MW of solar and wind power. Furthermore, the green hydrogen production facility will produce 150,000 metric tons of green ammonia per year.


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The engineering procurement and construction (EPC) bidding process for the Garuda Hidrogen Hijau project is anticipated to commence in the initial quarter of 2024, culminating in the financial close on December 31, 2025. 


ACWA Power is actively advancing its green hydrogen portfolio. Construction has commenced on the NEOM Green Hydrogen Project in Saudi Arabia, which is anticipated to be completed by late 2026 and will produce 1.2 million metric tonnes of green hydrogen. Additionally, in November 2023, the organization initiated construction on a second green hydrogen project in Uzbekistan. 


President and Director of Pupuk Indonesia, Rahmad Pribadi, stated, "This collaboration is extraordinary. This effort is not only for the benefit of a better environmental future but also to encourage better economic growth in Indonesia in the future.”


Read More: COP 28 Updates


Indonesia's Green Hydrogen Initiatives

Green Hydrogen


Indonesia is rapidly emerging as a leader in the development of green hydrogen initiatives, driven by its abundant renewable energy resources and commitment to a clean energy transition. Indonesia launched the National Hydrogen Roadmap in 2021. The roadmap sets ambitious goals for green hydrogen development, aiming to reduce emissions by 29% by 2030 and achieve net-zero emissions by 2060. To achieve this, Indonesia is developing many green hydrogen projects, such as:


Inauguration of 21 Green Hydrogen Plants

In January 2023, state-owned electricity company PLN inaugurated 21 green hydrogen plants across Indonesia, the most in Southeast Asia.


The first green hydrogen plant in Jakarta

October 2023 saw the opening of the country's first green hydrogen plant, located within the Muara Karang Steam Gas Power Plant in Jakarta, Indonesia.

AGI Green Hydrogen Production Plant

This 35,000-tonne capacity plant is planned in collaboration with AGI and aims to position Indonesia as a global hydrogen hub.


About ACWA Power

ACWA Power is a Saudi Arabian developer, investor, and operator of power generation and water desalination plants worldwide. It has emerged as a prominent player in the global green hydrogen market, with ambitious projects underway and a strong commitment to the clean energy transition. Acwa is currently developing green hydrogen projects across different parts of the world, such as:



Follow More: Green Hydrogen News


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