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Tuas Power partners EDF and ITOCHU to establish green hydrogen supply chain

- Parties collaborate on feasibility study proposing Ammonia as carrier -Contribution to Singapore’s goal towards a less carbon-intensive power gener

Tuas Power signed a memorandum of understanding with EDF and ITOCHU on 25 October 2022 at the Singapore International Energy Week (SIEW) to collaborate on establishing the supply chain required to import green hydrogen into Singapore with Ammonia as the carrier. Each consortium partner will contribute its global strength and technical expertise through a feasibility study that seeks to understand and quantify the demand and pricing level for the entire supply chain.

The Singapore government in February this year raised its climate ambition to achieve net-zero emissions by 2050 and announced it would raise carbon tax progressively from 2024. “Removing carbon emissions at the source is clearly the most feasible way for Tuas Power to generate electricity with vastly reduced levels of emissions. Green hydrogen is currently our best option as a serious partial replacement for natural gas. In our bid to source for green hydrogen for self-consumption, we are also considering the setup of a distribution hub for industrial customers,” said Mr. Michael Wong, Chief Operating Officer of Tuas Power.

Leveraging on the strength of partners, EDF, a global leader in low-carbon technologies and ITOCHU, a conglomerate trading and investment firm, Tuas Power hopes to pioneer the framework for the potential arrival of green hydrogen for distribution in Singapore.

“This partnership with ITOCHU and Tuas Power is in line with EDF Group’s Hydrogen Plan that aims to develop 3GW of electrolytic hydrogen projects worldwide by 2030. The EDF Group has been involved in hydrogen research for many years and will draw on its R&D expertise, and global engineering skills and marketing experience to support this development in identifying the most cost competitive ammonia import into Singapore and Japan.” said Mr. Thomas Bueno, CEO EDF International APAC

“ITOCHU has been globally engaged in trading and investment in various industries such as textile, metals, energy and chemicals, information and communication and so on. We have been working to bring ammonia to Singapore for future bunkering purposes. For this partnership with EDF and Tuas Power, ITOCHU will verify the feasibility of green hydrogen and ammonia production, and end-to-end shipment logistics depending on the port of export/import and explore offtake opportunities in the Asia Pacific countries and Japan”, said Mr. Hisashi Matsuo, manager in charge of infrastructure business, ITOCHU Tokyo.

The consortium will use the feasibility study as a platform to accelerate the production and consumption of green hydrogen. By remaining neutral to the sources of import and export, the EDF-ITOCHU-Tuas Power consortium will have flexibility to explore diverse options to support the decarbonization of Singapore and beyond.

Source: EDF