TNB Genco, IHI, Petronas sign MoU on carbon-free ammonia study

TNB Genco managing director Datuk Nor Azman Mufti

KUALA LUMPUR: TNB Power Generation Sdn Bhd (TNB Genco), a wholly-owned subsidiary of Tenaga Nasional Bhd (TNB), has signed a tripartite memorandum of understanding (MOU) with Japan-based IHI Corporation and Petroliam Nasional Bhd’s (Petronas) gas and new energy division for a feasibility study on the low carbon hydrogen and low carbon ammonia supply chain in Malaysia.

TNB said the MOU, which was signed on Oct 6, 2021, includes a feasibility study on ammonia co-combustion in coal-fired power generation systems as part of initiatives to decarbonise the country’s power sector.

"The tripartite agreement may lead to IHI providing Malaysia with coal-fired boilers and performing technical and economic assessments in the development of ammonia combustion technology.

"Petronas will leverage its experience as an international energy producer to support renewable energy and low carbon hydrogen policy research,” TNB said in a statement today.

It added that TNB Genco, which owns 52.79 per cent of Malaysia’s power generation market share, will support the application of ammonia co-firing technology at its coal-fired power plants.

According to TNB, the study, which is expected to be completed this month, involves assessment on carbon capture and storage (CCS) technology, as well as blue and green ammonia co-firing in coal-fired power plants.

"The scope of the study covers exploring the technology of co-firing ammonia at coal power plants in Malaysia and evaluating the technology, as well as economics across the entire ammonia supply chain.

"That includes the green ammonia production from renewable energy sources and blue ammonia from natural gas,” it said.

Ammonia is commonly used as fertiliser and is a chemical raw material with the potential to be used as carbon-free fuel, while ammonia co-firing could significantly reduce carbon dioxide (CO2) emissions in coal-fired power plants.

TNB Genco managing director Datuk Nor Azman Mufti said low carbon fuel like ammonia has the potential to reduce the company’s dependency on coal.

"As TNB is moving towards greener sources of energy under our sustainability pathway, the utilisation of ammonia could help in efforts to cut our emissions intensity by 35 per cent, and 50 per cent of our coal generation capacity by 2035,” he said.

The MOU would be a stepping stone for TNB Genco’s efforts in search of decarbonisation opportunities in tandem with TNB’s sustainability pathway and in support of the government’s initiative to reach the target of 45 per cent greenhouse gas (GHG) intensity reduction in 2030, he said. - Bernama