State-owned fertilizer holding firm PT Pupuk Indonesia is serious about developing green Ammonia in Indonesia to make the country a hub for the world Ammonia market, the company's Marketing Director Gusrizal said.
Several things need to be done in order to achieve the goal, Gusrizal said in a statement obtained here on Sunday.
The first and most important thing is to develop human resources, he stressed.
"To achieve optimal targets, of course, companies need to have reliable human resources. For this reason, strengthening human resources needs to be aligned with the development of the infrastructure, market, and commercial side," he said at the Pupuk Indonesia Clean Ammonia Forum (PICAF) event.
He hoped for support from the government by providing incentives since the development of clean ammonia would support the government's energy transition program toward Net Zero Emissions in 2060.
"We need support from the government. We have talked about subsidy incentives because this is a new product, so we need support from the government. This is the key to this success," Gusrizal said.
Meanwhile, General Manager of Methanol & Ammonia, Mitsui & Co Ltd Konichi Asano said, Indonesia is an attractive country for investors to develop clean ammonia as it already has a clear plan for ammonia industry development.
According to the road map of Pupuk Indonesia, green ammonia production is expected to reach 0.99 million tons in 2030. Meanwhile, blue ammonia and gray ammonia (raw material for fertilizer) production in the period are expected to reach 2.15 million tons and seven million tons respectively.
Production in 2040 is targeted to increase to 3.46 million tons for blue ammonia and remained stable at 0.99 million tons and seven million tons respectively for green ammonia and gray ammonia.
Clean ammonia production in 2050 is estimated to reach around seven million tons, comprising blue ammonia at 3.56 million tons, and green ammonia at 3.4 million tons.
"I think the demand for green and blue ammonia will increase especially in Asia and of course globally," he said.
Torben Norgaard, Chief Technology Officer & Fuels for Maersk Mc-Kinney Moller Center for Zero Carbon Shipping Denmark, said that the opportunity to capture the world Ammonia market is still large as long as there is an improvement in terms of supply chain value.
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Editor : Mahdani
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