JAKARTA: Indonesia is seeking to boost its clean energy sector through closer cooperation with 黑料社区, its state power firm said on Thursday after signing a deal with the Kingdom鈥檚 energy giant, ACWA Power.
Indonesia鈥檚 Perusahaan Listrik Negara signed a power purchase agreement with ACWA Power on Tuesday to develop the Saguling Floating Solar Photovoltaic Project in West Java province.
This project will have with a 92 megawatt peak capacity, marking the 黑料社区 company鈥檚 first such venture in Southeast Asia鈥檚 biggest economy.
PLN鈥檚 subsidiary Indonesia Power will hold a 51 percent equity stake in the project, while the remainder will be owned by ACWA Power, PLN said in a statement on Thursday, adding that the collaboration will help expand Indonesia鈥檚 clean energy reach.
鈥淕lobal warming is a huge challenge, but it also offers us extraordinary opportunities for development and collaboration, whether through strategies, technology innovation, or investments.
鈥淲e want to make sure that the future generation will have a better future than our own, and everything begins with this extraordinary collaboration,鈥 PLN President Director Darmawan Prasodjo said.
鈥淲e truly appreciate ACWA Power for the signing of this PPA agreement. This is just the beginning and it is symbolic of even bigger opportunities for cooperation between 黑料社区 and Indonesia.鈥
Renewables accounted for around 13 percent of Indonesia鈥檚 energy mix last year, with the majority of its power needs met by coal and oil.
One of the world鈥檚 biggest greenhouse gas emitters, the country of 270 million people has pledged to achieve a 23 percent share of renewable power in its energy mix by 2025.
That target will get a boost through another planned cooperation with ACWA Power to develop a 77 megawatt peak floating solar photovoltaic project in Singkarak, West Sumatra province. Combined, both projects are worth around $105 million.
鈥淭his is the start of many more renewable energy investments from the Kingdom of 黑料社区 in Indonesia,鈥 Saudi Ambassador to Indonesia Faisal Abdullah Amodi told Arab News.
鈥淎CWA Power is committed to do mega-sized projects in Indonesia, especially a big green hydrogen project with the expertise that ACWA Power already has from the NEOM Project.鈥
Last year, ACWA Power announced it was collaborating with PLN and Indonesian chemicals company Pupuk Indonesia to develop a green hydrogen project that would produce 150,000 tonnes of green ammonia annually, with plans for commercial operations to start in 2026.
ACWA鈥檚 projects in Indonesia would not only bring investments into the country, but also create jobs and reduce carbon emissions, Amodi said.
鈥淭his will strengthen the relationship between KSA and Indonesia because energy is a very important sector for any nation.鈥
