The Role of Renewable Hydrogen in the Power Sector
Summary
This policy brief evaluates hydrogen-based power generation in Southeast Asia, arguing that while renewable hydrogen is useful for seasonal storage and peaking, the current trend of co-firing in coal and gas plants in countries like Indonesia, Thailand, and Viet Nam is cost-inefficient and risks prolonging fossil fuel reliance. It recommends prioritizing renewable energy and grid infrastructure to lower costs and boost global competitiveness.
Key insights
- Renewable hydrogen is identified as a tool for Southeast Asian power systems to address peaking demands and seasonal storage, with the recommendation that its application be limited to periods of scarcity when electricity's short-run value is at its peak.
- Indonesia, Thailand, and Viet Nam are exploring the use of ammonia and hydrogen co-firing in gas and coal plants to reduce emissions during baseload operations. However, this strategy is described as cost-inefficient, providing only limited emission reductions and creating a risk of extending the use of fossil fuels.
- Prioritizing the deployment of grid infrastructure and renewable energy can lower the costs of hydrogen and electricity, increase competitiveness in global green markets for ammonia and steel, and drive economic growth via investment and job creation.
Cite the original document
- APA
- NewClimate Institute (2025). The Role of Renewable Hydrogen in the Power Sector. http://www.newclimate.org/resources/publications/emerging-technologies-series-the-role-of-renewable-hydrogen-in-the-power
- Chicago
- NewClimate Institute. The Role of Renewable Hydrogen in the Power Sector. 2025. http://www.newclimate.org/resources/publications/emerging-technologies-series-the-role-of-renewable-hydrogen-in-the-power.
- Wikipedia
- {{cite report |author=NewClimate Institute |title=The Role of Renewable Hydrogen in the Power Sector |date=14 August 2025 |url=http://www.newclimate.org/resources/publications/emerging-technologies-series-the-role-of-renewable-hydrogen-in-the-power |access-date=17 August 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{newclimateinstitute2025role, author = {{NewClimate Institute}}, title = {{The Role of Renewable Hydrogen in the Power Sector}}, institution = {NewClimate Institute}, year = {2025}, month = aug, url = {http://www.newclimate.org/resources/publications/emerging-technologies-series-the-role-of-renewable-hydrogen-in-the-power}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }
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