PT PLN (Persero) continues to promote global collaborations to accelerate the energy transition by expanding the development of new and renewable energy (EBT) based power plants in Indonesia. This commitment was reinforced during the Green Energy Buyers Dialogue event hosted by the Coordinating Ministry for Maritime Investment in Jakarta.
The Green Energy Buyers Dialogue brought together key stakeholders from the Just Energy Transition Partnership (JETP), including representatives from the Indonesian Government, the International Partnership Group (IPG), the Glasgow Net Zero Finance Alliance (GFANZ), international and domestic private banks, and business leaders.
Ratimat Kaimuddin, Deputy Minister for Coordination of Infrastructure and Transport at the Coordinating Ministry for Maritime Investment, stressed that the energy transition is urgently needed to mitigate global climate change, which he said poses a serious threat to Indonesia’s 280 million people.
“The urgency of the situation calls for change and the solution to the climate problem lies in the energy transition. We need to move from fossil fuels to non-fossil, zero-carbon energy sources without sacrificing economic growth,” Rahamat said.
Alexia LaTourtue, Under Secretary for International Markets at the U.S. Department of the Treasury and Head of IPG, noted that the energy transition will have positive impacts on both the environment and the economy. She emphasized that a green transition will attract investment and create new jobs.
“It is clear that a green transition will attract new investment to the country. Many of the companies here today have their own net-zero commitments and targets. Countries that can offer green energy sources will have a competitive advantage,” Alexia said.
During the event, PLN presented its green energy ecosystem development plan and sought feedback and participation from stakeholders to support Indonesia’s energy transition.
PLN President Darmawan Prasojo fully supports the government’s efforts and reiterated PLN’s determination to lead Indonesia’s energy transition. PLN is already developing a total of 8,786 megawatts (MW) of renewable energy power plants by 2023, including hydropower (5,777 MW), geothermal (2,519 MW), and other sources such as solar, wind and biomass.
PLN is working with the government, through RUPTL and RUKN, to increase its clean energy mix, targeting 75% renewables and 25% gas by 2040. Darmawan outlined ambitious plans to add 21 gigawatts (GW) from gas, 28GW from solar and wind, 31GW from hydro and geothermal, and 2.4GW from other new energy sources by 2040.
To achieve these goals, PLN has launched the Accelerated Renewable Energy Development (ARED) scenario, which includes the construction of green-enabled transmission lines to distribute EBT power sources to remote areas.
“The challenges in implementing the energy transition are enormous across technical, policy, commercial and financial aspects. Therefore, PLN cannot tackle climate change alone, strong global cooperation is essential as it is a global issue that requires collective action,” Darmawan concluded.
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