Pertamina Launches Green Hydrogen Pilot Plant in Ulubelu, Boosting Job Creation and Investment

In a significant stride toward sustainable energy, Pertamina, through its subsidiary PT Pertamina Geothermal Energy (PGE), has unveiled plans for a green hydrogen pilot plant in Ulubelu, Lampung. This initiative is not merely a venture into clean energy; it promises to absorb hundreds of local workers while generating positive socio-economic impacts through job creation and investment opportunities. According to Fadjar Djoko Santoso, Vice President of Corporate Communication at Pertamina, the project aligns with the company’s commitment to energy transition and is projected to support Indonesia's net zero emissions target by 2060.

The pilot plant is designed to leverage geothermal energy, which, when compared to the traditional production of grey hydrogen—derived from steam methane reforming—offers a significantly lower carbon footprint. While grey hydrogen emits approximately 12-14 kg of CO2 per kg of hydrogen produced, the green hydrogen from this facility will produce only about 2 kg of CO2 per kg. Such a reduction underscores the importance of the Ulubelu project in the broader context of national energy decarbonization efforts.

Furthermore, this initiative represents a critical step in fostering local economic development. The involvement of local labor during the construction phase is a strategic move by Pertamina to ensure that the benefits of the green hydrogen project are felt directly by the community. Fadjar emphasized that the pilot plant not only opens new avenues for clean energy but also acts as a catalyst for local economic growth.

With a capital expenditure of $3 million allocated for the project, Pertamina is focusing on acquiring advanced anion exchange membrane electrolyzer technology, alongside essential infrastructure development and collaborations with green energy technology vendors. The groundbreaking ceremony is scheduled for September 9, 2025, marking the beginning of a project that aims to enhance local skill sets and foster a new, environmentally-friendly economic ecosystem.

Julfi Hadi, CEO of PT Pertamina Geothermal Energy, reiterated that this pilot project is a strategic move towards expanding beyond traditional electricity generation. It aims to create a comprehensive green hydrogen ecosystem encompassing production, distribution, and utilization, thereby facilitating the transition to a low-carbon industry. Additionally, the project serves as an innovative model that can be replicated in other geothermal regions, further promoting off-grid solutions for transport and low-carbon industries.

Looking ahead, Pertamina's development roadmap includes the downstream production of green ammonia and green methanol, solidifying its commitment to a sustainable energy future. With the Ulubelu pilot plant, Pertamina is not just advancing clean energy technology; it is also prioritizing community engagement and empowerment as integral components of its transformative journey toward a greener Indonesia.