Bali, Indonesia: ACWA Power, a leading Saudi developer, investor, and operator of power generation, water desalination and green hydrogen plants worldwide, and PERTAMINA New & Renewable Energy (PERTAMINA NRE), have signed a joint development agreement (JDA) to develop the core utilities supply for the Tuban Grass Root Refinery and Petrochemical Project.
The agreement was signed by Dannif Danusaputro, CEO of PNRE and Paddy Padmanathan, Vice Chairman and Chief Executive Officer of ACWA Power, at the B20 Summit. The ceremony was witnessed by Indonesian Minister of Energy and Mineral Resources Arifin Tasrif, Indonesian Chairman of Chamber of Commerce and Industry Arsjad Rasjid, Chair of B20 Indonesia Shinta Kamdani, and CEO & President Director of Pertamina Nicke Widyawati.
A refinery capable of producing aromatics and ethylene, the Tuban facility is located in Java, eastern Indonesia. The scope of the JDA comprises development of a 575 MW power generation facility, a steam generation component with a capacity of 3,288 tonnes per hour; and a water desalination plant with a total capacity of 363,480 m3/day.
“With climate change implementation strategies at the top of the global consciousness, an integrated approach that can enable decarbonisation in a responsible and reliable manner is key to mitigating the impact of carbon-intensive industries,” said Paddy Padmanathan, Vice Chairman and Chief Executive Officer, ACWA Power .“As a company that this driving the transition, we are proud and privileged to be collaborating with such a visionary company as PERTAMINA NRE, leveraging our extensive expertise in delivering renewable energy and desalinated water at scale, and now green hydrogen as well, to deliver successful outcomes,” he added.
Developing low-carbon solutions is PERTAMINA NRE's core business focus, along with renewable energy development, and building future businesses. As a subsidiary of the state owned PERTAMINA group which has committed to a net zero emissions target by 2060, PERTAMINA NRE is at the front of building green businesses and developing decarbonisation initiatives in the Republic of Indonesia.
“This is a strategic collaboration where we will take part in supporting Tuban GRR&P project that will play a key role in building national energy security. It is very exciting that we are going to support Tuban GRR&P project by providing low carbon solutions,” said Dannif Danusaputro, CEO, PERTAMINA NRE. “Having a reputable strategic partner is very crucial in terms of technology transfer and risk sharing. We believe this collaboration will create significant value.”
The Tuban GRR&P has been identified by the Indonesian government as a project of national strategic importance that will enable national energy security and advance the domestic petrochemical industry.
ACWA Power's power and water desalination plant for the Tuban GRR&P is expected to be operational by Q1 2027.
About ACWA Power
ACWA Power (TADAWUL:2082) is a developer, investor and operator of power generation, desalinated water and green hydrogen production plants. Registered and established in 2004 in Riyadh, Saudi Arabia; ACWA Power employs over 3,900 people and is currently present in 13 countries in the Middle East, Africa, Central Asia and Southeast Asia. ACWA Power's portfolio comprises 67 assets in operation, advanced development, or construction with an investment value of SAR 249.2 billion, with capacity to generate 42.7 GW of power and produce 6.2 million m3/day of desalinated water per day, delivered on a bulk basis to address the needs of state utilities and industries on long term, off-taker contracts under utility services outsourcing and Public-Private-Partnership models.
ACWA Power's mission is to deliver electricity and desalinated water reliably and responsibly at a low cost, thereby contributing effectively to the sustainable, social and economic development of communities.
About PERTAMINA NRE
PERTAMINA New & Renewable Energy (PERTAMINA NRE) is a subsidiary of PT PERTAMINA (Persero), Indonesia's largest energy company, comprised of four business entities: PT PERTAMINA Geothermal Energy (subsidiary), PT Jawa Satu Power (affiliate), PT Jawa Satu Regas (affiliate), and PT Industri Baterai Indonesia. Its business focuses on clean energy development. It is highly committed to support Indonesia's net zero emission 2060 through energy transition and to implement ESG.