Jakarta, INTI - Indonesia is aiming to become a key player in the global hydrogen ecosystem, supported by its vast renewable energy potential and ongoing industrial downstreaming agenda.
Deputy Minister of Energy and Mineral Resources Yuliot Tanjung stated that developing a hydrogen ecosystem is crucial to accelerating industrialization, expanding value-added processing, and maximizing the domestic use of renewable energy resources.
With national renewable energy potential estimated at around 3,600 gigawatts, Indonesia is seen as having a strong foundation to build a comprehensive hydrogen industry from upstream production to downstream applications.
“If we can develop renewable energy according to its potential and maximize it for industrial downstreaming, including building the hydrogen ecosystem, our opportunity to become a major global player will be enormous,” Yuliot said at the launch of the Global Hydrogen Ecosystem Summit (GHES) 2026 at the Directorate General of New, Renewable Energy and Energy Conservation Office in Jakarta on Tuesday, February 10, 2026.
He explained that hydrogen utilization is not limited to industrial feedstock and power generation but is also being developed as a fuel source.
Several countries have begun adopting hydrogen in the transportation sector, including for vehicles and long-distance shipping, with Japan already entering the mass industrial phase of hydrogen-powered vehicles.
Yuliot added that Indonesia’s strategic location along major global trade routes creates strong opportunities to supply hydrogen for international industrial and transportation needs.
Beyond energy and transport, hydrogen is also being explored for advanced technologies, including rocket development, highlighting the need for an integrated and collaborative hydrogen ecosystem.
Building a Collective Hydrogen Ecosystem
“This is an ecosystem that must be built collectively. With the plan for the Hydrogen Ecosystem Summit 2026, we can consolidate these opportunities,” he said.
Yuliot added that hydrogen development aligns closely with President Prabowo Subianto’s Asta Cita agenda, which emphasizes strengthening national energy independence and resilience. Energy security, he noted, is closely linked to food security and the sustainability of industrial downstreaming programs.
Currently, Indonesia’s hydrogen consumption stands at approximately 1.75 million tons per year and is still largely concentrated in the food security sector. Its use includes urea production at 88 percent, ammonia at 4 percent, and oil refining at around 2 percent. The government views global hydrogen utilization trends as a strategic opportunity to expand Indonesia’s role in the clean energy industry.
To support decarbonization targets and the Net Zero Emission 2060 commitment, hydrogen is being positioned both as an industrial feedstock and as a fuel capable of accelerating emissions reduction.
Hydrogen also plays a role in the downstream processing of low-calorie coal through gasification, producing hydrogen that is further processed into dimethyl ether (DME).
One highlighted project is the coal gasification initiative in Tanjung Enim, which has entered the groundbreaking phase. The project is designed to process around 6 million tons of coal annually and produce approximately 1.4 million tons of DME each year, while reducing LPG imports by nearly 1 million tons per year and saving an estimated IDR 9.7 trillion in foreign exchange annually.
On the renewable energy front, hydrogen produced from solar, wind, hydropower, and geothermal sources is being directed into higher value-added derivative products. These include green ammonia, green methanol, and synthetic fuels, all of which hold strong export potential and support domestic industrial demand.
The government is also encouraging cross-sector collaboration to strengthen the hydrogen ecosystem through technological development and increased investment. Key priorities include building domestic capital goods industries and expanding hydrogen user ecosystems across transportation and industrial supply chains.
The Global Hydrogen Ecosystem Summit 2026 is designed as a strategic platform to consolidate these efforts through conferences, business matchmaking sessions, hydrogen road tests, and hydrogen-powered vehicle trials.
The forum is expected to reinforce Indonesia’s role in the global energy transition and drive tangible progress toward a low-carbon economy.
Conclusion
Indonesia’s hydrogen development strategy combines national renewable energy potential, industrial downstreaming, and technological innovation to position the country as a global leader in clean energy. Through collaborative efforts, integrated ecosystems, and high-value derivative products, hydrogen is set to play a critical role in decarbonization, economic growth, and long-term energy security, advancing Indonesia’s transition to a sustainable, low-carbon future.
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