PT PLN (Persero) has solidified five strategic partnerships to advance Indonesia’s energy transition during the 29th Conference of the Parties (COP29) held in Baku, Azerbaijan. These collaborations focus on funding, technology, and human resource development to accelerate the development of clean energy infrastructure in Indonesia, paving the way for sustainable energy self-sufficiency.
The partnerships were formalized through the signing of a Memorandum of Understanding (MoU) and Grant Agreement under the theme, “Leading the Charge: Strategic Partnerships to Catalyze Decarbonization.” PLN’s international partners include the United Kingdom Export Finance (UKEF), Kreditanstalt für Wiederaufbau (KfW), Sembcorp Utilities Pte Ltd, Transportasi Gas Indonesia (TGI), and the Global Energy Alliance for People and Planet (GEAPP).
Hashim Djojohadikusumo, Special Envoy of the Indonesian President at COP29, emphasized Indonesia’s strong commitment to tackling climate change under President Prabowo Subianto’s leadership.
“Global climate change demands a global solution. No country can address it alone. The only path forward is collaboration,” Hashim stated on Monday, November 18, 2024.
Hashim also highlighted Indonesia’s new energy transition strategy, which targets adding 75% of the required capacity, or approximately 75 gigawatts (GW), from renewable energy power plants over the next 15 years. This strategy aligns with the government’s vision of providing clean, affordable energy through efficiency initiatives.
“We are grateful to our international partners for their efforts in helping Indonesia combat climate change. President Prabowo has mandated alleviating poverty alongside achieving 8% economic growth, with energy transition as a key pillar,” he added.
PLN’s Commitment to Green Energy
PLN CEO Darmawan Prasodjo reiterated PLN’s dedication to spearheading Indonesia’s energy transition while supporting national economic growth targets. He noted that PLN continues to expand its global collaboration network to ensure the success of sustainable energy projects.
“Through these partnerships, PLN aims to strengthen Indonesia’s capacity to manage and develop green energy infrastructure,” Darmawan explained.
Key Collaboration Highlights
- Partnership with UKEF and KfW
PLN has partnered with UKEF and KfW, a German development bank, to finance energy transition projects and conduct social and environmental sustainability studies. This includes the development of clean energy initiatives such as Pumped Storage Hydropower Plants (PLTA) and transmission networks to integrate renewable energy sources. PLN and KfW also signed a Grant Agreement for Environmental and Social Impact Assessment (ESIA) studies for clean energy projects.
“These projects aim to stabilize electricity supply, reduce reliance on fossil fuels during peak loads, and ensure sustainable implementation,” said Darmawan. - Green Hydrogen Transportation Project
PLN Energi Primer Indonesia (PLN EPI), alongside Transportasi Gas Indonesia (TGI) and Sembcorp Utilities Pte Ltd, signed a Joint Development Framework Agreement (JDFA) to explore green hydrogen transportation from Sumatra to Singapore. The project will utilize TGI’s pipeline infrastructure, boosting cross-border energy trade and Indonesia’s green hydrogen production capacity.
“This initiative demonstrates PLN’s commitment to advancing the regional hydrogen ecosystem, diversifying green energy resources, and reducing emissions,” Darmawan noted. - Renewable Energy Access for Remote Areas
In collaboration with GEAPP, PLN launched the Renewable Energy Access for Last Mile program. This initiative focuses on increasing renewable energy access and reducing diesel reliance in Indonesia’s remote islands.
“This partnership aims to address energy access challenges in isolated areas, ensuring equitable and sustainable energy for all,” Darmawan said.
Darmawan reaffirmed PLN’s proactive approach, emphasizing the importance of partnerships in achieving Indonesia’s energy transition goals.
“We cannot achieve the energy transition alone. Together, through unity and collaboration, we can overcome challenges, reduce emissions, create jobs, alleviate poverty, and play a crucial role in protecting our planet,” he concluded.
