Hydrogen-based ammonia now being burned with coal at Japanese power plant

The decision has faced criticism as an expensive and environmentally detrimental option that is perceived to merely prolong the operation of heavily polluting coal-fired power plants. JERA, Japan's largest electricity producer, has initiated the co-firing of ammonia at its Hekinan coal-fired power plant in Japan, marking the commencement of the world's inaugural commercial demonstration project employing this technology.

Ammonia, produced using grey hydrogen derived from fossil gas, is currently being combusted alongside coal in unit 4 of the 1GW power station, forming part of an emissions-reduction strategy that has been scrutinized by experts as being financially burdensome and potentially exacerbating environmental impacts compared to direct coal combustion. JERA, however, asserts its commitment to establishing ammonia substitution technology, aiming to provide a clean energy supply platform that integrates renewable energy with low-carbon thermal power, thereby contributing to the sustainable development of Asia and beyond.

Contrary to these assertions, research conducted by BloombergNEF (BNEF) in 2022 contradicts JERA's claims, highlighting that the company's plans for 50% co-firing of the most cost-effective green ammonia at coal plants in Japan would incur significantly higher costs compared to utilizing even the most expensive forms of renewable energy directly. Additionally, BNEF suggests that this approach would be more costly and environmentally harmful than operating unmitigated gas-fired power plants.

Utilizing renewable energy for green hydrogen production, as well as for powering the energy-intensive Haber-Bosch process for ammonia synthesis, results in a mere fraction of the original renewable energy content being utilized when co-firing at coal power stations, rendering it a financially prohibitive option.

Moreover, Transition Zero, a data analytics nonprofit organization, warns that ammonia co-firing could incentivize the continued operation of coal plants, potentially leading to increased emissions. The production and combustion of ammonia also pose environmental risks, including the release of nitrous oxide (N2O), a potent greenhouse gas.

Despite these concerns, JERA aims to establish ammonia utilization technology in thermal power generation, with plans to mainstream this approach by March 2025. The company intends to leverage insights gained from the project to develop high-ratio ammonia combustion technology and deploy it in thermal power plants globally.