Saturday, December 21, 2024
Indonesia Business Post Media Group aims to promote Indonesia’s business transparency and investment opportunities to global companies and investors. We provide information on business intelligence and opportunities within Indonesian political changing-driven international business context.
Indonesia urgently needs inter-island electricity transmission to harness renewable energy sources like solar and hydropower. Septian Hario Seto, Executive Secretary of the National Economic Council, estimates the cost of these networks at $20 billion (Rp321 trillion). Due to limited reliance on international aid, the government plans to prioritize State Budget (APBN) funding, with potential support from private sector auctions. Key challenges include Indonesia’s geographical complexity and uneven distribution of renewable energy sources. Over the next decade, the country requires Rp1,200 trillion in investments to develop over 50,000 kilometers of transmission networks, including 10,000 kilometers of high-voltage circuits.

PT PGN LNG Indonesia joins the North Papua gasification project to supply LNG to seven power plants (168 MW) for 20 years, supporting Net Zero 2060. Through the Papua Bersama Consortium, the project boosts energy reliability, sustainability, and regional development.

Minister of Investment Rosan Perkasa Roeslani met major Chinese EV ecosystem players, including BYD, CNGR, and CATL, during a visit to China on December 16-17, 2024, to boost investment in Indonesia. BYD plans to build Southeast Asia’s largest automotive factory in Subang, increasing production to 150,000 units annually by 2026 and creating over 18,000 jobs. CNGR is developing a green industrial zone in Southeast Sulawesi to centralize advanced materials production. CATL’s partnership with Indonesian firms aims to establish a full EV battery industry chain. The government pledged infrastructure, licensing, and incentive support to accelerate these projects.

ASRI partners with Vietnam’s Xanh SM to launch electric taxis at key malls, supporting sustainable mobility. The initiative aligns with ASRI’s 2025 eco-friendly vision, promoting public awareness and integrating sustainability into its property developments.

SCG supports Indonesia’s green economy with projects like a net-zero smart forest city in IKN by 2045 and the Kadin Net Zero Hub, aiding SMEs in decarbonization via training and Science-Based Targets. Highlighted at the SCG ESG Symposium, the initiatives stress collaboration among public, private, and civil sectors for sustainable development and economic growth.

The Indonesian Defense University, in collaboration with Wilo, held a guest lecture on pump systems on December 18, 2024. Wilo discussed modern pump technology’s principles, energy efficiency, and IoT integration. The event aimed to foster academic-industry collaboration, with Wilo donating a pump for research, enhancing defense and infrastructure innovation.

Image: @antaranews.com

Coal and electric vehicle company PT TBS Energi Utama Tbk (TOBA) – which 10% of shares are owned by Coordinating Minister for Maritime Affairs and Investment Luhut Panjaitan – has allocated between US$ 50 million and US$ 60 million of capital expenditure (Capex) for the year 2023. The Capex would be allocated for the development of the new EVs and the renewable energy with its subsidiaries.

Image: @Bayan resource

PT Bayan Resources Tbk. (BYAN) has absorbed capital expenditure (Capex) of US$ 166.2 million on the construction of a coal transport road, overland conveyor and a barge loading facility in Muara Pahu, East Kalimantan. The company seeks to increase its 2023 coal production targets to over 45 million tons, an increase compared to 2022 which was below 40 million tons.

Image: @Tribunnews

Investment Minister/Head of the Investment Coordinating Board (BKPM) Bahlil Lahadalia announced that investment realization from January to September 2022 has reached IDR 892.4 trillion – or 74.4% of the target – both foreign and direct investments. He was upbeat that his ministry could reach a targeted investment of IDR 1,200 trillion for the year 2022.

Image: @ajaib.co.id

PT Galva Technologies Tbk (GLVA) has planned to allocate IDR 80 billion of Capex for 2023 to strengthen the company’s recurring income through managed services business model.

PT Hero Global Investment (HGII), a holding company focused on the renewable energy industry in Indonesia, is set to form a strategic partnership with Shikoku Electric Power Company, Inc. (Yonden), a Tokyo Stock Exchange-listed company. […]
Greenpeace Indonesia has raised concerns over the President Prabowo Subianto administration’s commitment to addressing climate and environmental issues, citing its lack of concrete action despite public statements at international forums. […]
PT PGN LNG Indonesia, as part of Pertamina’s Gas Subholding, has joined the development of a gasification project in North Papua, intended to strengthen the gas supply chain through the development of LNG infrastructure for power plants in the region. […]
The government must accelerate the process of converting kerosene to 3 kg Liquefied Petroleum Gas (LPG) for people in East Nusa Tenggara (NTT) province, in particular West Flores regency, for the sake of sustainable livelihood of the people and the government’s green energy target, an […]

New opportunities

Inter-island electricity connections through transmission are urgently needed to supply energy, with the government striving to maximize the potential of solar power to hydro power. As of now, Indonesia needs US$20 billion (Rp321 trillion) to build a transmission line connecting the islands. […]
PT Kilang Pertamian Internasional (KPI) is collaborating with PT Gapura Mas Lestari (GML), a used cooking oil exporting company, to meet the raw material needs in the production of bioavtur or sustainable aviation fuel (SAF). […]
PT Daikin Industries Indonesia (DIID), a part of the global Daikin network, has completed the construction of its new air conditioner (AC) manufacturing plant at the Greenland International Industrial Center (GIIC) in Cikarang, West Java on Thursday, December 12, 2024. […]
The Indonesian Defense University, in collaboration with German pumps and pump systems manufacturer Wilo, held a guest lecture themed “Pump Systems Working Principles and Practical Applications” on Wednesday, December 18, 2024. […]
The Tanzanian government delegation met with the Ministry of Energy and Mineral Resources (ESDM) to discuss Pertamina’s investment plan in Tanzania and learn about processing Liquefied Natural Gas (LNG) with Indonesia. […]
Indonesia and Norway have launched the fourth phase of their result-based contribution (RBC) partnership, committing US$60 million (Rp952 billion) based on emission reductions achieved during the 2019-2020 period. […]
The Association of Indonesian Oil and Gas Companies (Aspermigas) assesses that the energy self-sufficiency target set by President Prabowo Subianto will be difficult to achieve if illegal drilling is still rampant. […]
President Joko Widodo said Indonesia aims to cut its fiscal deficit to less than 3% of its gross domestic product next year for the first time since 2019. […]
Indonesian government officials should remain vigilant against the potential threat to the state ideology, the nation’s peace and harmony, despite the decline in online radicalization following the defeat of the Islamic State of Iraq and Syria in the Middle East and worldwide. In an era […]
The program, dubbed the “Partnership for Global Infrastructure and Investment” (PGII), aims to mobilize $600 billion by 2027 in investments for infrastructure in developing countries with an emphasis on sustainable and secure development. Neither President Biden nor the White House fact sheet explicitly mentioned China […]
Governor of Bank Indonesia (BI) Perry Warjiyo gave the latest signal regarding the benchmark interest rate which is currently at its lowest level of 3.50 percent. According to Perry, the national economic condition is still conducive enough to continue the BI rate policy going forward. […]
Ex-terror convict Abu Bakar Ba’asyir, known as the spiritual leader of shadowy militant group Jemaah Islamiyah that aims to establish an Islamic state in Indonesia, did the unthinkable on Wednesday as he participated in the Independence Day ceremony at his boarding school in the Central […]