MHI Signs MOU with Taiwan Power Company for Ammonia Co-Firing at the Linkou Thermal Power Plant -- Four-Company Coalition Involving Mitsubishi Corporation and Mitsubishi Corporation Machinery --

Tokyo, November 17, 2022 – Mitsubishi Heavy Industries, Ltd. (MHI) has reached an agreement with the Taiwanese state-owned firm Taiwan Power Company (TPC) to conduct a study on introducing ammonia co-firing at the Linkou Thermal Power Plant in Linkou District, New Taipei, Taiwan. A Memorandum of Understanding (MOU) was signed with officials from TPC and other companies on November 16. The aim is to reduce coal consumption in line with TPC’s project to achieve its energy supply composition targets, in response to the global trend toward reducing CO₂ emissions and a shift in Taiwan’s energy policy.

The MOU signing ceremony held in Taiwan was attended by TPC President Yao-Ting Wang, with MHI represented by Senior Executive Fellow Toshiyuki Hashi, Head of Energy Transition & Power Headquarters of Energy Systems. The MOU was concluded between MHI, along with Mitsubishi Corporation and Mitsubishi Corporation Machinery, Inc., a subsidiary of Mitsubishi Corp. that provides an engineering, procurement, and construction (EPC) business, and TPC. The Linkou Power Plant is located approximately 20km west of central Taipei. It comprises three supercritical coal-fired boilers and steam turbines supplied by MHI, with total output capacity of 2,400 megawatts (MW).

The first phase of the project through 2025 will be to conduct a basic study for 5% ammonia co-firing. MHI and Mitsubishi Corporation Machinery will consider and supply ammonia burners and other equipment and systems necessary for ammonia co-firing. Mitsubishi Corporation will conduct a study on building a supply chain to secure a stable supply of clean fuel ammonia. The second phase of the project from 2026 will be to use one of the units at the Linkou Power Plant for verification, with the aim of 5% ammonia co-firing in 2028 to 2030, raising the co-firing ratio to 20% and implementing the system for the plant’s other units.

Taiwan is facing the challenge of ensuring a stable power supply against a backdrop of robust demand, while also under intense pressure to reduce environmental loads and achieve decarbonization for its thermal power generation facilities that use coal and gas as fuel. In March 2022, Taiwan published the “Pathway to Net-Zero Emissions in 2050,” citing energy transition as an important strategy for establishing a zero-carbon energy system. Mixed firing of coal and ammonia is one of the potential decarbonization technologies expected to provide a significant effect in Taiwan.

MHI, with support from its power solutions brand, Mitsubishi Power, has supplied TPC with many thermal power generation facilities, and continues to provide after-sales service and various solutions that contribute to the stable operation of this equipment. The conclusion of this MOU is the result of the trust established based on this track record, and the long-standing positive relationship between the two companies.

TPC President Yao-Ting Wang expressed his expectations for the project, saying: “It is our hope that through this MOU, TPC will strengthen its technological capabilities and accumulate experience, that the data gathered in the course of the verification testing will be used to provide feedback to MHI and Mitsubishi Corporation Group that contributes to MHI’s further technological advancement, and that this project will be beginning of a greater cooperative relationship with MHI and Mitsubishi Corporation Group.”

MHI’s Toshiyuki Hashi said: “MHI has been contributing to the power industry in Taiwan for around 50 years. Our joint studies on ammonia co-firing can contribute to the continued development of Taiwan and Japan. We are confident that we can strongly drive the energy transition combining our innovative technology with TPC’s deep knowledge of power plant operations.”

Going forward, in addition to this MOU and other areas of cooperation with TPC, MHI will strive to offer the solutions for decarbonization and greater efficiency required by Taiwan’s power industry overall, including independent power producers (IPPs), as well as make a concerted effort to successfully complete this verification project, and contribute to a stable energy supply for Taiwan and reduced environmental loads.