PLN Strengthens Global Collaboration To Accelerate Indonesia’s Energy Transition

PT PLN (Persero) continues to advance its global collaborations to accelerate the energy transition by expanding the development of new and renewable energy (EBT) -based power plants in Indonesia. This commitment was reinforced at the Green Energy Buyers Dialogue event, organized by the Coordinating Ministry for Maritime Affairs and Investment in Jakarta.

The Green Energy Buyers Dialogue brought together key stakeholders in the Just Energy Transition Partnership (JETP), including representatives from the Indonesian government, the International Partners Group (IPG), the Glasgow Financial Alliance for Net Zero (GFANZ), international and domestic private banks, and business leaders.

Rachmat Kaimuddin, Deputy for Infrastructure and Transportation Coordination of the Coordinating Ministry for Maritime Affairs and Investment, emphasized the urgency of the energy transition to mitigate global climate change. He highlighted that the climate crisis poses a serious threat to Indonesia’s 280 million citizens.

“The urgency of this situation necessitates change, and the solution to the climate problem lies in the energy transition. We must move from fossil fuels to non-fossil, zero-carbon energy sources without sacrificing economic growth,” said Rachmat.

Alexia Latortue, Assistant Secretary of the Treasury for International Markets at the US Department of the Treasury and IPG representative, noted that the energy transition positively impacts both the environment and the economy. She emphasized that a green transition attracts investment and creates new jobs.

“It is clear that a green transition will attract new investment to the country. Many companies here today have their own net-zero commitments and targets. Countries that can offer green energy sources will have a competitive advantage,” Alexia said.

During the event, PLN presented its green energy ecosystem development plan, seeking feedback and participation from stakeholders to support Indonesia’s energy transition.

PLN President Director Darmawan Prasodjo reiterated PLN’s commitment to leading Indonesia’s energy transition, fully supporting government initiatives. PLN has already developed renewable energy power plants totaling 8,786 megawatts (MW) by 2023, including hydro (5,777 MW), geothermal (2,519 MW), and other sources such as solar, wind, and biomass.

PLN, in collaboration with the government, aims to increase the clean energy mix through RUPTL and RUKN, targeting 75% renewable energy and 25% gas by 2040. Darmawan outlined an ambitious plan to add 21 Gigawatts (GW) from gas, 28 GW from solar and wind, 31 GW from hydro and geothermal, and 2.4 GW from other new energy sources by 2040.

To achieve these targets, PLN has launched the Accelerated Renewable Energy Development (ARED) scenario, which includes building a Green-Enabling Transmission Line to distribute EBT sources in remote areas.

“The challenges in implementing the energy transition are immense, spanning technical, policy, commercial, and funding aspects. Therefore, strong global collaboration is essential, as PLN cannot address climate change alone; it is a global issue that requires collective action,” concluded Darmawan.