Government targets 708 GW of renewables generation installed capacity

Jakarta – The Indonesian government is targeting an installed generating capacity of 708 GW of new renewable energy (NRE) by 2030, Minister of Energy and Mineral Resources (EMR) Arifin Tasrif said at a COP28 event in Dubai, United Arab Emirates.

He said the potential of renewable energy in Indonesia reached 3,687 gigawatts (GW). Of this potential, Indonesia targets to monetise as much as 708 GW. “Investment needs from the electricity sector alone require around 1,000 billion US dollars until 2060,” Tasrif said.

PT Perusahaan Listrik Negara (Persero) noted that until 2030, the PLN needs USD 97 billion to increase the installed capacity of renewable-based power plants. Meanwhile, until 2040, PLN needs an additional investment of at least USD 157 billion.

PLN President Director Darmawan Prasodjo explained that the funds are needed to run PLN’s Accelerated Renewable Energy Development (ARED) program. He said the program includes the construction of transmission networks and the development of NRE plants. The ARED scheme will aggressively increase PLN’s generating capacity by 75 per cent from renewable energy and 25 per cent from gas.

Prasodjo said Indonesia needs to develop this infrastructure “because it is important to maintain balance in the PLN system once intermittent renewable electricity comes in. This also allows us to increase the system capacity to accommodate up to 28 GW of NRE electricity from wind and solar power.”

Carbon capture

In addition to NRE development, the government is developing Carbon Capture, Utilization, and Storage (CCUS) technology. Pertamina CEO Nicke Widyawati said there are 400 gigatons (GT) of CCS potential and CCS/CCUS business capacity of 60 million tons per year (MTPA) in Indonesia.

“As an SOE in the oil and gas sector that is required to meet Indonesia’s energy needs, but at the same time carry out a decarbonisation program. Pertamina sees CCUS as an effort to increase the amount of our oil and gas while supporting the NZE target,” she said.

Pertamina is developing a CCUS project in Jatibarang District, Indramayu Regency, West Java, with a carbon storage potential of 146 thousand tons. Pertamina is also developing the CCS project as a platform that supports the production of ammonia and low-carbon hydrogen.

Carbon dioxide (CO2) from ammonia plants and refineries will be removed from hydrogen plants, with high-concentration technology, and combustion units, with low concentration. Furthermore, the CO2 will be compressed and transported to the area around the plant, and then the CO2 injection or CCS process occurs.

The development of NRE and CCUS is an effort by the Indonesian government to achieve the Net Zero Emission (NZE) target by 2060. (Hartatik)

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