PT Medco Energi Internasional (MEDC) will pursue development in domestic solar panel development for a lucrative clean energy export to Singapore.
Hilmi Panigoro, President Director of MEDC said that Medco would cooperate with two domestic companies, PT Adaro Clean Energy Indonesia and PT TBS Energi Utama (TOBA) as well as a Chinese company in developing the solar panel industry in Indonesia. However, it is unknown which Chinese company or companies are working in collaboration on this project.
“Medco and Adaro, TBS Energi Utama are working with a Chinese company to build a solar panel industry in Indonesia,” he said, July 12, 2023.
Sending power to Singapore
The results of the production of a solar power plant (PLTS) located on Pulau Bulan, Batam will be exported to Singapore to meet the country’s energy needs.
“For the first phase, 100 MW will be exported and the hope is that it can be realized in 2024,” said Hilmi.
The development of the solar panel industry is in line with President Joko ‘Jokowi’ Widodo’s directives to develop domestic green energy generators and allow electricity exports to foreign countries.
Hilmi said the solar electricity export plan would be carried out soon after completion in 2024 to meet the demands of Singapore’s clean energy needs.
In relation to the power export plan, Medco Energi has obtained a purchase commitment from the Energy Market Authority (EMA) in Singapore to supply electricity there.
Energy Market Authority (EMA), is a government agency statutory board focusing on electricity and gas supplies under the Ministry of Trade and Industry of Singapore.
“Directions from the government may export electricity, but the procurement of solar photovoltaic panels is attempted domestically,” he said, on July 12, 2023.
Luhut Binsar Pandjaitan, Coordinating Minister for Maritime Affairs and Investment, said the entire investment could reach US$ 50 billion. Singapore’s interest in clean energy from Indonesia is also driving domestic solar panel industrialization.
Singapore needs clean energy
Singapore currently requires a lot of clean energy to fulfill its plans to become a low carbon nation, the country’s energy needs reached 4 GW in a span of time until 2035.
“That’s why cooperation with neighboring countries and the region is important because Singapore needs a low-carbon energy supply of up to 4 GW in 2035. For the first phase, we will import 100 MW of electricity from Bulan Island, Indonesia,” he said.
Gan Kim Yong, Minister of Trade and Industry of Singapore, has planned to become a low carbon country. For this reason, Singapore will divert from the use of fossil energy to renewable energy.
