Pertamina NRE Aims For 6 GW Clean Energy Capacity By 2029, Invests US$6.2 Billion

Pertamina NRE, the renewable energy arm of Pertamina, aims to significantly expand its clean energy portfolio with a target to reach 6 GW of installed capacity by 2029. This ambitious goal underscores Pertamina’s commitment to bolstering its low-carbon business amidst global energy transitions.

Led by CEO John Anis, Pertamina NRE plans to achieve this target through developments in gas-to-power and renewable energy projects such as geothermal, solar power, and biogas. As of mid-2024, the company has already installed approximately 2.6 GW of power generation capacity across various platforms.

“In line with Pertamina’s dual strategy of strengthening conventional energy while advancing low-carbon initiatives, Pertamina NRE plays a pivotal role in driving our future business growth,” stated John Anis.

Beyond power generation, Pertamina NRE aims to sell 19.2 million tons of CO2 equivalent in carbon credits by 2029, building on its success as the first carbon credit seller in Indonesia’s IDX Carbon trading. The company also targets producing 7,000 tons of clean hydrogen annually and 840 thousand kiloliters of bioethanol. Additionally, it aims to contribute 51.4 GWh to the battery and electric vehicle ecosystem by 2029.

To fund these endeavors, Pertamina NRE has earmarked a substantial investment budget of US$6.2 billion for 2029, reflecting its commitment to expand its clean energy footprint significantly.

In 2023, Pertamina NRE demonstrated robust financial performance with a 6% revenue increase reaching US$411.5 million. Moreover, EBITDA and net profit surged by 11% and 24%, respectively, compared to the previous year.

“With the mandate to lead Pertamina Group’s energy transition efforts, Pertamina NRE remains focused on overcoming challenges and seizing opportunities in line with our strategic goals,” affirmed John Anis.

Operationally, Pertamina NRE excelled in 2023, achieving a 17% increase in electricity production to 5,452 GWh. The company’s power plants maintained high reliability, surpassing performance targets with an equivalent availability factor (EAF) of 97.20% and an equivalent forced outage rate (EFOR) well below tolerance limits.

Pertamina NRE’s achievements also extend to sustainability, with an impressive ESG rating of 13, placing it in the medium-risk category and ranking 3rd globally among independent power producers (IPPs).

Vice President of Corporate Communication at Pertamina, Fadjar Djoko Santoso, emphasized Pertamina’s commitment to accelerating the energy transition and achieving Indonesia’s Net Zero Emission 2060 target.

“As we continue to expand Pertamina NRE’s capabilities, we contribute not only to national energy security but also to achieving our ambitious sustainability goals,” noted Fadjar.

Pertamina NRE remains dedicated to integrating ESG principles across its operations, underscoring its pivotal role in Indonesia’s clean energy future and global environmental stewardship.