Hekinan will receive ammonia fuel for its thermal power plant following a memorandum of understanding.
A strategic agreement
Hekinan will benefit from the agreement between Nippon Yusen Kahushiki (NYK), Mitsui OSK Line (MOL) and JERA, which will supply the thermal power plant withammonia fuel. Commercial operation will begin in the late 2020s. Under its “JERA Zero CO2 Emission for 2050” goal, the group wants to promote the adoption of greener fuels.
JERA is looking for a thermal energy that does not emit CO2 during the production of electricity. Larger transport vessels are thus needed to supply ammonia at low cost. The MOUs allow for this: they provide for the transport of ammonia in large quantities and safe transport systems.
The agreement between the three partners specifies the development of ammonia transport to domestic thermal power plants and receiving stations. In addition, a system for transporting and receiving combustible ammonia is to be built. In addition, the agreement provides for the installation and operation of propulsion engines using ammonia as ship fuel.
Rules of operation
Finally, the different parties agree to develop rules for the reception of this ammonia. Since February 2022, the group has been conducting an international tender process for the purchase of ammonia fuel. The implementation of a fuel ammonia transportation method will create a supply chain for the Hekinan Thermal Power Plant.
The development of high-volume ammonia transporters is taking place at the same time as the supply chain is being built. This represents a significant contribution by JERA to the decarbonization of the industry. However, the JERA Group will in any case continue to contribute to the decarbonization of the industry.
The company intends to expand the trade flow of ammonia in cooperation with partners such as NYK and MOL. The company will also be able to cooperate with national public services. The latter want to ensure a safe and stable supply of ammonia fuel.
