Pertamina Accelerates Indonesia’s Energy Transition with Geothermal Expansion
JAKARTA, RAKYAT NEWS – PT Pertamina (Persero) is accelerating Indonesia’s energy transition by expanding the use of clean energy sources, particularly geothermal power. As part of this effort, Pertamina aims to significantly increase the capacity of its geothermal power plants to help meet the country’s growing energy needs.
Geothermal energy is considered a key resource for achieving a sustainable energy transition, providing a stable and clean source of electricity for Indonesia’s national grid.
Eniya Listiani Dewi, Director-General of the New and Renewable Energy and Energy Conservation at the Ministry of Energy and Mineral Resources (ESDM), emphasized Indonesia’s commitment to achieving its Net Zero Emissions (NZE) targets. According to Eniya, Indonesia’s geothermal potential is enormous, with an estimated capacity of over 23 gigawatts (GW). However, the country has only utilized about 2.5 GW, or roughly 11%, of this potential so far. She stressed that harnessing geothermal energy could reduce carbon emissions by up to 22 million tons of CO2 by 2030.
The Indonesian government is focused on supporting the development of geothermal resources, with President Joko Widodo emphasizing their importance in national energy policy. Eniya pointed out that the government has simplified regulations and raised the internal rate of return (IRR) to make geothermal investments more attractive. International cooperation is also seen as crucial for Indonesia to become the global leader in geothermal energy production.
Julfi Hadi, CEO of PT Pertamina Geothermal Energy (PGEO), highlighted the importance of geothermal energy as a reliable baseload power source, essential for sustaining the country’s economic growth targets. With Indonesia aiming for an 8% annual economic growth, stable and clean electricity is vital to support key industries like manufacturing and downstream processing. Geothermal power, according to Julfi, is an ideal solution to meet these energy demands while reducing environmental impacts.
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