Swedish solar technology company Midsummer AB has signed a binding investment and industrialization framework agreement with Indonesian technology company PT Metalogika Rekayasa Sistem to establish a solar panel manufacturing joint venture in Indonesia.
The proposed joint venture will develop a manufacturing platform for lightweight, flexible and thin-film solar cells and photovoltaic modules. The facility is planned to begin operations with an annual production capacity of 20 MW. After commissioning and operational testing, the partners will assess the possibility of expanding the facility to 200 MW per year.
The companies also see potential for the manufacturing platform to eventually reach gigawatt-scale production. Any future expansion will depend on market demand, operational performance and additional investment decisions.
Under the agreement, Midsummer will provide the manufacturing equipment and associated operational services. This will include its proprietary DUO production system, which will be used for manufacturing the thin-film solar products. Midsummer is expected to hold a minority ownership position in the newly established joint venture.
Metalogika will take responsibility for local execution and provide the operational base for the project in Indonesia. The Indonesian company will also support the development of a local industrial ecosystem around the manufacturing facility.
The initial production is primarily intended to serve Indonesia’s domestic solar market. The companies expect the project to contribute to the country’s clean energy development and support efforts to strengthen domestic energy independence. In the longer term, the joint venture plans to explore supplying solar products to other Southeast Asian markets and potentially markets beyond the region.
The framework agreement also provides a structure for the companies to address Indonesia’s local investment requirements and import policies before manufacturing equipment is brought into the country. This is expected to support the next stages of project development.
The partners will now work on incorporating the joint venture, obtaining required government approvals and incentives, and finalizing the investment structure. They will also work to secure project financing and conclude definitive equipment supply agreements.
The planned Indonesian facility represents Midsummer’s expansion of its thin-film solar manufacturing technology into a new regional market, while Metalogika will support the project’s local industrial and operational development.
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