Tuesday, April 16, 2024

Pertamina explores renewable energy investment opportunities in Africa

Reading Time: 2 minutes
Imanuddin Razak

Journalist

Editor

Interview

Pertamina New Renewable Energy (NRE) has expressed its interest in investing in gas-based and renewable energy (RE) electricity provision in Africa. The plan was announced by Pertamina NRE CEO Dannif Danusaputro during his visit to South Africa on Friday, August 25th.

Pertamina is one of the state-owned enterprises (BUMN) that joined President Joko Widodo’s work visit to African countries, including Kenya, Tanzania, Mozambique, and South Africa, on August 20, 2023.

During this visit, Pertamina NRE, a subsidiary of Pertamina focusing on clean energy, identified various business prospects, including gas-based power generation and RE.

“We hope to collaborate on investments with local partners. On the downstream side, Pertamina NRE has the potential to utilize the natural gas produced for electricity generation,” Dannif stated in an official release on Wednesday, August 30, 2023.

Exploring solar energy

Dannif highlighted that they’ve identified a significant demand for electricity in Africa, particularly for solar energy. He noted that South Africa, in particular, has favorable regulations in place.

He mentioned that several African countries are the target of Pertamina NRE’s interest. Specifically, South Africa has a solar energy potential of up to 100 megawatts (MW).

Previously, Pertamina had signed a memorandum of understanding with GUMA, a local company specializing in investment and infrastructure development in Africa, for cooperation in Kenya, South Africa, and the Democratic Republic of the Congo.

This commitment involves cooperation in gas pipeline development, gas power plant development, and the establishment of electricity export facilities to South Africa, all of which will involve Pertamina NRE.

Strengthening national energy security

Vice President of Pertamina, Fadjar Djoko Santoso, stated that Pertamina is bringing several sub-holdings to explore collaboration potential in Africa. He hopes that this collaboration will strengthen national energy security while realizing the company’s role as a global energy corporation.

“We are open to all business collaboration opportunities that have a positive impact on Pertamina and the country,” he emphasized.

Fadjar also noted that, in addition to Gas and Steam Power Plants (PLTGU) and Solar Power Plants (PLTS), Africa also has geothermal energy resources that could be a potential investment destination for Pertamina NRE.

As a result, on Tuesday, August 22, 2023, Pertamina NRE subsidiary PT Pertamina Geothermal Energy Tbk. (PGE) signed a memorandum of understanding with Africa Geothermal International No 1 Limited (AGIL No 1) for geothermal development in the Longonot concession in Kenya. AGIL is a Kenyan company involved in geothermal development.

Imanuddin Razak

Journalist

 

Editor

 

Interview

SUBSCRIBE NOW
We will provide you with an invoice for your reimbursable expenses.

Free

New to Indonesian market? Read our free articles before subscribing to the premium plan. If you already run your business in Indonesia, make sure to subscribe to the premium subscription so you won’t miss any intelligence & business opportunities.

Premium

$550 USD/Year

or

$45 USD/Month

Cancelation: you can cancel your subscription at any time, by sending us an email inquiry@ibp-media.com

Add keywords to your market watch and receive notification:
Schedule a free consultation with us:

We’ll contact you for confirmation.

FURTHER READING

The Upstream Oil and Gas Regulatory Task Force (SKK Migas) has confirmed that the shortfall in oil and gas lifting throughout the first quarter of 2024 was due to floods and low gas demand from downstream industries. 
PT Pertamina Hulu Energi (PHE) is refining the development scenarios for the GQX oil prospect, which is part of the Offshore North West Java (ONWJ) Block. 
World crude oil prices have risen following Israel’s attack on Iran and subsequent Iran’s counterattack on Israel, with the Brent crude futures being pushed to trade above US$90 after closing 1.1 percent higher on April 10, 2024, while the West Texas Intermediate (WTI) prices approached US$86.
Indonesian telecommunications company, XL Axiata, has asked the government to reduce the Frequency Usage Fees (BHP) to expedite the implementation of 5G networks, a crucial agenda in advancing technology in the country.
PT Bukit Makmur Mandiri Utama (BUMA) has set up a contract with Blackwater Operations Pty Ltd, a subsidiary of Whitehaven Coal Mining Limited, to provide pre-strip mining services at Blackwater mine, a metallurgical coal mine in Australia.
PT Freeport Indonesia (PTFI) aims for its new copper smelter in the Java Integrated Industrial and Port Estate (JIIPE), Manyar, Gresik, East Java, to commence operations in early June 2024.