State power utility PT PLN signed power purchased agreement (PPA) with Saudi Arabia energy company ACWA Power on Tuesday, August 13, 2024, to develop floating solar power plant Saguling in West Java with the capacity of 92 MWp.
Saudi Arabia Ambassador to Indonesia, Faisal bin Abdullah al Amudi, said the cooperation to develop renewable energy is a strategic level bilateral relationship
initiated by leaders of Indonesia and Saudi Arabia aimed at increasing the economy of both nations.
“The kingdom of Saudi Arabia, as you know, is the biggest economy in the Middle East and Indonesia is the biggest economy in Southeast Asia. The two countries have
huge potentials in investment, at this occasion, we invite investors to increase investment in Saudi Arabia and Indonesia,” Faisal bin Abdullah al Amudi said in
a statement on Thursday, August 15, 2024.
PLN President Darmawan Prasodjo said the cooperation is part of the efforts to support increasing renewable energy use in alignment with energy transition in Indonesia.
“Energy transition policy to renewable energy is ongoing and will be announced in COP29 in Azerbaijan with 75 percent of additional capacity from renewable energy,” Darmawan said.
He said PLN cannot inject huge investment needs by itself as energy transition needs global solution and collaboration.
“We want to make sure that the next generation has a better future in comparison with our generation. And all of this starts with this extraordinary collaboration,” Darmawan said.
He added that when it operates, the Saguling floating solar panel has the potential to reduce carbon emission for 120,000 tons per year.
Indonesia Power, sub-holding of PT PLN, controls 51 percent of the shares and 49 percent is controlled by ACWA Power.
Chief Executive Officer of ACWA Power, Marco Arcelli, said Indonesia is a country with abundant green energy potentials. As biggest private desalinization company in the world, ACWA Power reiterated its readiness to collaborate with PLN to develop green energy in Indonesia.
“In the countries with high density population, floating solar PV or floatovoltaics is the best solution for solar energy. Indonesia’s vast seascapes and abundant sunlight present great potential for this project. We look forward to working with our partner, PLN, to contribute to the country’s vision of increasing renewable energy capacity,” Marco said.
