October 4, 2026 - PT PLN Energi Primer Indonesia (PLN EPI) is preparing to develop ammonia cofiring as a potential low-carbon fuel option for coal-fired power plants, with a small-scale trial targeted at the Labuan Power Plant in 2027.

The company began studying ammonia supply options in 2026 and plans to test a cofiring rate of up to 3 percent next year. The pilot project will assess technical performance, economic feasibility and supply-chain readiness before the technology is considered for wider application.

The initiative forms part of PLN EPI’s hydrogen and ammonia development roadmap, which is scheduled to progress in stages through 2030. The company plans to establish the necessary technological and supply-chain foundations before moving toward commercial implementation.

PLN EPI Biomass Director Hokkop Situngkir said ammonia could expand the range of lower-carbon fuel options available for existing power plants. However, he emphasized that its implementation requires comprehensive assessments covering both technology and supply availability.

“We are conducting studies on ammonia, including supply and technology. We need to start with a pilot project to assess both the technical and economic aspects,” Hokkop said during a panel discussion titled “Fuel Switching and Co-firing: The Way Forward for Emissions Reduction in Thermal” at Electricity Connect 2026.

The panel also featured Frank Thiel, Managing Director of Quezon Power Philippines Ltd. Co.; Krittika Vathanavisuth, Head of the Project Management Section at the Electricity Generating Authority of Thailand; and Daryawan, Head of Business Development & Relation at PT Indo Raya Tenaga.

Under PLN EPI’s roadmap, the first stage is an ammonia supply study in 2026, with Pupuk Kujang Cikampek among the potential initial sources being assessed.

The next stage will involve a small-scale trial at the Labuan Power Plant in 2027, with a maximum cofiring rate of 3 percent. The results will provide data for technical evaluation and an economic feasibility study in 2028.

PLN EPI then plans to develop ammonia supply-chain integration in 2029, followed by a feasibility study for ammonia cofiring at around 3–5 percent or potentially higher in 2030.

Hokkop said a gradual approach is necessary because ammonia cofiring presents challenges that differ from conventional fuels. In addition to determining whether existing power plants can accommodate ammonia mixtures, the cost of ammonia will be an important factor in determining the technology’s feasibility.

“At present, the price remains a challenge. That is why we need to conduct a pilot first, learn from the results and then assess how the technology and economics develop,” he said.

Supply availability is another consideration. Ammonia already has significant demand, particularly from the fertilizer industry. The development of new demand from the power sector therefore needs to take into account supply requirements across different industries, as well as infrastructure and logistics readiness.

“If we talk to ammonia producers in Indonesia, there are requirements from power plants as well as industry. We therefore need to look at how its utilization should be prioritized,” Hokkop said.

PLN EPI is also monitoring ammonia price developments and different production and procurement options. Supply volumes, competitive pricing, infrastructure and continuity will form part of the assessment before ammonia utilization can be expanded.

The panel also discussed the technical potential for higher ammonia cofiring rates in certain power plant configurations. One example was the 2 x 1,000 MW Jawa 9 and 10 coal-fired power plant.

Studies presented at the forum indicated that the plant’s specific technology configuration could potentially accommodate ammonia cofiring of up to 60 percent with certain modifications. Its Selective Catalytic Reduction (SCR) system was also identified as an important component for controlling nitrogen oxide (NOx) emissions, as ammonia combustion requires careful management of potential NOx formation.

PLN EPI stressed that the 60 percent figure applies to a specific power plant configuration studied in the forum and does not represent a company-wide implementation target for all coal-fired power plants.

The company will continue with a phased approach, beginning with a cofiring pilot of up to 3 percent to generate technical and economic data for subsequent development decisions.

Ammonia and hydrogen development is part of the PLN Group’s longer-term decarbonization roadmap toward Net Zero Emissions (NZE) by 2060.

During the energy transition, PLN EPI is considering several technology options, ranging from biomass cofiring and power plant efficiency improvements to the future use of hydrogen and ammonia.

Hokkop said low-carbon technology development must take into account Indonesia’s existing power system and operating generation assets while maintaining system reliability.

“Indonesia’s existing power plants are already operating. It is not possible to replace all of them immediately with renewable energy. Therefore, the transition must be carried out gradually,” he said.

For PLN EPI, the 2026–2030 period will serve as a foundation-building phase for ammonia cofiring, covering supply studies, pilot projects, technical and economic evaluations, and supply-chain integration.

The company expects these stages to provide a basis for determining an ammonia cofiring scale that is technically feasible, economically competitive and supported by a reliable supply chain as part of Indonesia’s broader energy transition toward NZE 2060. (*)