Germany and Indonesia Enhance Renewable Energy Partnership with New MoU

Lisa Tinschert, Director of Energy Programs at GIZ Indonesia/ASEAN, expressed pride in the collaboration, emphasizing that energy transition is crucial for achieving global climate targets and ensuring sustainable energy supplies. “We are committed to accelerating the integration of renewable energy into Indonesia’s power system and supporting projects that provide long-term benefits to Indonesian communities,” she added.

Burkhard Hinz, Director of KfW in Indonesia, highlighted KfW’s longstanding support for Indonesia’s energy sector. “KfW remains dedicated to assisting PLN and the Indonesian government in decarbonizing and modernizing the energy sector, contributing to the Just Energy Transition Partnership (JETP) targets agreed upon with the International Partner Group,” Hinz noted.

The technical collaboration between PLN and GIZ has led to significant achievements, such as the techno-economic study for electricity planning in Selayar, which supported the development of the Hybrid Solar Power Plant (PLTS) in Selayar, operational since 2022. This project has saved operational costs amounting to 16.5 billion rupiah annually and has trained over 350 PLN staff in environmentally friendly electricity system operations.

Looking forward, KfW and PLN are committed to further enhancing their clean energy collaboration through financial support, studies, and capacity development programs like the Energy Transition Acceleration Program and Just Energy Transition Partnership. The updated MoU between GIZ and PLN for the next five years underscores the ongoing commitment to sustainable clean energy development in Indonesia.

The event was attended by key figures including Jisman P. Hutajulu, Director General of Electricity at the Ministry of Energy and Mineral Resources, and Taufiq Hidayat Putra, Director of Electricity, Telecommunications, and Informatics at Bappenas, who emphasized the importance of this collaboration for achieving a cleaner and more sustainable energy future for Indonesia.