Gas power plants fills in the transition period from fossil energy to NRE

Minister of Energy and Mineral Resources (ESDM) Arifin Tasrif together with the board of directors of MedcoEnergi and Fokompimda took a group photo after inaugurating the operation of the Riau Gas Steam Power Plant (PLTGU). (Source: MedcoEnergi Doc)

Jakarta – Gas power plants that are more environmentally friendly will be able to increase national electricity capacity, before renewable energy power plants are included in the national electricity system, officials said Sunday (15/5).

Minister of Energy and Mineral Resources (ESDM) Arifin Tasrif, after inaugurating the Riau Gas Steam Power Plant (PLTGU) said that Indonesia is committed to reach its net zero emission (NZE) target by 2060. The Riau PLTGU has a capacity of 275 megawatts (MW) in the Tenayan Industrial Estate, Pekanbaru, Riau.

“We hope that in this transition period, or before clean renewable energy plants are operational, we can first utilise gas. Emissions released from this PLTGU are lower than those that use coal by approximately half,” Tasrif said in a written release.

He said that Indonesia has a fairly large clean renewable energy source with a potential of reaching thousands of gigawatts and is currently only utilising a fraction of it.

Tasrif said the cost of electricity production in Sumatra is now getting cheaper. The selling price of the Riau PLTGU electricity is 6.49 US cents per kWh or lower than the local cost of supply (BPP).

PLTGU Riau is owned and operated by PT Medco Ratch Power Riau (MRPR), a joint venture between PT Medco Power Indonesia and Ratch Group. PT MRPR has been operating the Riau PLTGU commercially since February 2022. (Hartatik)

Banner photo: Gas turbine electrical power plant during sunset and twilight time. (Bannafarsai_Stock/shutterstock.com)

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