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Indonesia to set up a $4 billion industry for polysilicon to boost the production of solar panels. Polysilicon is a key material used for making solar panels. The prices of polysilicon grew to a 10 year high last year.
Locally producing the material will drive solar firms of the country to make polysilicon. This will help in reducing the prices of the material too and will move towards green energy.
Indonesia plans to generate around 5.3 GWs capacity of solar energy by 2030. Many solar plants are under construction in the country which includes an $800 million plant in Batang, Central Java which will start its operation around July 2022. This plant will produce 40,000 tons of polysilicon.
The second plant is $3.2 billion which is located in North Kalimantan with a production capacity of 160,000 tons of polysilicon. With these plants, the country can have an excess supply which will allow a smooth installation of solar panels.
Recently, Masdar, one of the world’s leading renewable energy companies, announced the formation of a joint venture (JV) with PT Mitrabara Adiperdana Tbk (Mitrabara), a conglomerate focused on the energy sector, to target the fast-growing commercial & industrial (C&I) segment of the renewable energy market in Indonesia.