Sembcorp strengthens green vision with solar energy investment in IKN

  • Published on 05/12/2025 GMT+7

  • Reading time 2 minutes

  • Author: Julian Isaac

  • Editor: Imanuddin Razak

The development of Indonesia’s new capital city, Nusantara (IKN), as a sustainable forest city is advancing with a strong emphasis not only on rapid physical infrastructure, but also on a sustainable and clean energy foundation.

This commitment is reinforced with the signing of a strategic cooperation agreement between the IKN Authority and PT Nusantara Sembcorp Solar Energi (NSSE) on Thursday, November 27, 2025.

PT NSSE ‒ a joint venture between State energy company PLN Nusantara Renewables and Singapore-based SembCorp Utilities Pte. Ltd. ‒ will become the first provider of essential green energy services within the new capital region.

With a significant investment of Rp900 billion (US$54 million), the collaboration reflects concrete financial commitment toward IKN’s sustainability goals, showcasing synergy between Indonesia’s state-owned enterprises and global private sector players.

Under the agreement, PT NSSE will develop a 50-megawatt (MW) solar power plant in an area of IKN that receives optimal solar irradiation. The clean energy facility is projected to generate 92.8 GWh of electricity per year.

“This 50 MW solar power plant will serve as the backbone of IKN’s green electricity system, ensuring reliable energy supply from the early stages of the city’s development,” IKN Authority Head, Basuki Hadimuljono, said.

The initiative directly accelerates Indonesia’s transition to a low-carbon power system ‒ a crucial requirement for a modern, smart city. Basuki emphasized that clean energy infrastructure is a core element of IKN’s foundational philosophy.

“This cooperation demonstrates that our vision of building Nusantara as a sustainable forest city is more than a concept ‒ it is being realized through tangible programs and measurable investment,” he said.

Beyond powering the new capital, the solar project carries broader national importance, supporting Indonesia’s commitment to achieving net zero emissions by 2060.

The IKN Authority reiterates that every part of the city’s infrastructure will be planned and built with low-carbon principles. Positioned not only as a modern and intelligent capital, Nusantara is envisioned as a living laboratory and national model for clean energy transformation ‒ strengthening Indonesia’s reputation as a country dedicated to a sustainable future on the global stage.

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