PT Pertamina Geothermal Energy Tbk (PGE) has signed a Non-Disclosure Agreement (NDA) with Kipas Holding, one of the geothermal developers in Turkey. This collaboration signifies PGE’s commitment to exploring business expansion opportunities in the global market.
Julfi Hadi, President Director of PT Pertamina Geothermal Energy, said that the company continues to explore collaboration opportunities with geothermal developers in various countries, including Turkey.
“The Turkish government’s policies regarding geothermal energy have a significant impact on business development in the country. The Turkish government offers clear feed-in-tariffs that are highly beneficial for long-term foreign investments,” Julfi said on Monday, February 5, 2024.
Julfi hopes that PGE’s visit to Turkey, a country with the fastest geothermal growth globally, will open up more collaboration opportunities. In addition to Turkey, last year, PGE also began exploring geothermal development collaboration in Kenya.
“In the future, PGE is committed to exploring more opportunities with reputable geothermal developers, considering their financial aspects, management, installed capacity, and expertise in geothermal fields,” he added.
Meanwhile, Mehmet Sisman, the General Manager of Kipas Holding, hopes that this collaboration will yield positive results through the exchange of information and experiences to enhance the geothermal energy sector in both Turkey and Indonesia.
Achmad Rizal Purnama, Indonesian Ambassador to Turkey, appreciates the collaboration undertaken by PGE. Achmad believes that Turkey deserves consideration in the future planning of geothermal development.
“Factors such as the privatization of the geothermal sector and attractive incentives for investors, especially through feed-in tariff schemes, contribute to ensuring that the products produced by developers are absorbed with viable economics,” Achmad Rizal said.
PGE’s Geothermal Project in Kenya, Worth IDR 18.5 Trillion
Earlier, PGE announced a partnership for the Suswa geothermal field between the Geothermal Development Company (GDC) and Masdar, one of PGE’s shareholders. This joint statement was announced by President of the Republic of Kenya, William Ruto.
The goal of this joint statement is to accelerate the development of the Suswa geothermal field, with initial project infrastructure starting soon.
“This partnership, with an investment value of US$1.2 billion (approximately IDR 18.5 trillion), is intended for the development of 300 MW of geothermal power by 2030. The initial project infrastructure will begin shortly,” said William Ruto in December 2023.
Julfi Hadi stated that the company actively collaborated with all stakeholders to accelerate geothermal development. Currently, PGE actively collaborates with ESG-focused financial institutions to finance new geothermal projects.
“PGE is also exploring new arrangements to supply environmentally friendly electricity to customers, making geothermal electricity more accessible,” said Julfi.
