Strategic Business Development for Green Hydrogen at PT PLN: SWOT, TOWS Analysis and Recommendations

Abstract

Abstract - A critical component of the decarbonisation of energy-intensive sectors, including heavy industry, transport, and power generation, is the transition to renewable hydrogen. Due to its extensive renewable energy infrastructure and government support, PT PLN (Persero), the largest state-owned electricity utility in Indonesia, is well-positioned to capitalise on the potential of green hydrogen. In spite of this, there are still substantial obstacles, such as regulatory uncertainties, high production costs, and inadequate infrastructure. Through SWOT (Strengths, Weaknesses, Opportunities, Threats) and TOWS (Threats, Opportunities, Weaknesses, Strengths) analyses, this paper investigates the strategic business development of green hydrogen at PT PLN. The objective of the research is to offer strategic recommendations for business growth and to provide a comprehensive understanding of the internal and external factors that influence PT PLN's ability to lead in the green hydrogen market. Primary data were obtained through semi-structured interviews with executives, policymakers, and industry experts from PT PLN. The secondary data consisted of academic literature, government policies, and market reports. According to the findings, PT PLN can capitalise on its renewable energy infrastructure, government support, and market opportunities to surmount obstacles. Fostering favourable regulatory environments, expanding renewable energy capacity, and developing hydrogen storage infrastructure are among the strategic recommendations. The implementation of these strategies will allow PT PLN to enhance its competitive advantage and contribute to Indonesia's energy transition objectives.

Keywords - Green Hydrogen, PT PLN, Decarbonization, Renewable Energy, Energy Transition, SWOT Analysis.