New Zealand grants NZD 15.64m to accelerate Indonesia’s geothermal energy industry

Jakarta – The New Zealand government announced the Indonesia-Aotearoa New Zealand (PINZ) Geothermal Energy Programme with a total planned grant of approximately NZD 15.64 million from 2023 to 2028. The programme prioritises access to technical knowledge to accelerate the advancement of the geothermal energy industry.

New Zealand Ambassador to Indonesia Kevin Burnett appreciated the rapid development of the geothermal industry in Indonesia, which has become a strong industry and has sufficient technical capacity as it is now, to be able to export to international markets.

“New Zealand is proud to be working bilaterally with Indonesia on a sustainable energy transition,” Burnett said, in a written release at a ceremony commemorating the success of Geothermal Energy Development in Indonesia (Geo-INZ) at the New Zealand Embassy in Jakarta.

New Zealand’s support includes improving technical capability and confidence in drilling programmes and encouraging opportunities for direct geothermal energy utilisation. Other efforts have been made to develop standards, reduce the risk of drilling exploration, and support wider industry engagement.

Indonesia launches initiative to attract investment

Director General of Renewable Energy at the Ministry of Energy and Mineral Resources (EMR), Yudo Dwinanda Priaadi, revealed that the Indonesian government has launched several initiatives to attract more private investment as geothermal projects will become the backbone of the nation as coal-fired power plants are phased out.

The five-year Indonesia-New Zealand geothermal support programme is coming to an end. Both countries agreed to extend the cooperation of geothermal support programmes in the country. During the five years, New Zealand has contributed NZD 10.6 million for geothermal technical assistance and capacity building for three partner institutions in Indonesia.

Geo-INZ’s support has been through Jacobs New Zealand with in-country support from Jacobs Indonesia on behalf of the New Zealand Agency for International Development, which bears its Maori name, Nga Hoe Tuputupu-mai-tawhiti.

“Renewable energy is a key focus of New Zealand’s development support to Indonesia, based on the longstanding collaboration and partnership in Renewable Energy between the two countries,” Yudo explained.

In addition to the Geo-INZ project, New Zealand and the Government of Indonesia have also collaborated on the NZSTIGS (New Zealand Support for Geothermal Sector Training in Indonesia) programme, which aims to develop course curricula and training programmes, work with Indonesian tutors, and provide skills training and capacity building to employees in the private and public sectors. (Hartatik)

Banner photo: Wayang Windu Geothermal Power Plant, Bandung, Pangalengan, West Java. Akhmad Dody Firmansyah/

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