Jakarta — PT Pertamina Geothermal Energy Tbk (PGE) (IDX: PGEO) completed the first synchronisation of its Lumut Balai Unit 2 geothermal power plant in Muara Enim, South Sumatra, marking a key milestone in the project’s progress toward full commercial operation, the company said on Sunday, June 16.
The synchronisation, conducted on Saturday, June 14, connected the plant to the national electricity grid at an initial capacity of 10% of its planned 55-megawatt (MW) output. This step marks the first time the unit’s power has been distributed to PLN’s grid, paving the way for full commercial operation (COD), which is targeted for the end of June 2025.
“This is a critical milestone showing that the project is on track. It demonstrates our strong project management and reflects PGE’s ongoing commitment to support Indonesia’s clean energy transition,” said PGE’s Director of Operations, Ahmad Yani.
The new unit will double the geothermal capacity of the Lumut Balai area to 110 MW. Once fully operational, Unit 2 is expected to produce approximately 481 gigawatt-hours (GWh) of electricity annually—enough to power over 252,000 homes, support 396 Jakarta–Bandung high-speed train trips, fully charge around 23,700 electric vehicles, or supply energy to 2–5 hyperscale data centres.
The company stated that the addition of this clean energy source could reduce carbon emissions by up to 280,000 tons of CO₂ annually, thereby contributing to Indonesia’s goal of achieving a 23% renewable energy mix by 2025 and its broader net-zero emissions target by 2060.
With synchronisation achieved, PGE will begin generating revenue from electricity sales to PLN, marking the project’s direct contribution to the company’s financial performance.
Achmad Sri Fadli, Project Manager for Lumut Balai Unit 2, noted that the synchronisation followed a series of rigorous technical tests to ensure safety and compliance with national standards.
“This is more than just connecting a power unit to the grid—it’s about verifying that the system operates safely and efficiently, according to all regulatory and technical standards,” he said.
PGE currently operates 672.5 MW of installed geothermal capacity across six sites and aims to expand this to 1 GW within the next two years and to 1.7 GW by 2034. Other key projects under development include the Hululais Units 1 & 2 (110 MW) and a series of cogeneration projects totalling 230 MW.
The company has also identified an additional 3 GW of geothermal potential across 10 work areas it manages independently, reinforcing PGE’s role in strengthening Indonesia’s energy security and sustainability.
“We hope Lumut Balai Unit 2 can enter full commercial operations soon and become a catalyst for Indonesia’s green energy goals,” Fadli concluded. (nsh)
Banner photo: Lumut Balai Unit 2 geothermal power plant. Muara Enim Regency, South Sumatra. (Source: PGE)
