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PLN Announces Commitment To Green Electricity For Indonesia’s Industrial Sector With New GEAS Initiative

PT PLN (Persero) has announced its readiness to supply green electricity to Indonesia’s industrial sector through its Green Energy as a Service (GEAS) initiative. This commitment to providing clean electricity from renewable energy (EBT)-based power plants was highlighted during the “Green Energy Buyers Dialogue” event, which brought together key stakeholders from the Just Energy Transition Partnership (JETP) in Jakarta.


The event included representatives from the Indonesian Government, the International Partners Group (IPG), the Glasgow Financial Alliance for Net Zero (GFANZ), international and domestic private banks, and various business actors. PLN President Director Darmawan Prasodjo emphasized the company’s dedication to supporting the global shift towards zero emissions, aligning with Indonesia’s Net Zero Emissions (NZE) target for 2060.


“In line with the industrial sector’s high commitment to decarbonization in Indonesia, PLN offers green electricity through the Renewable Energy Certificate (REC) as an internationally recognized GEAS product. Each REC certificate verifies that the electricity used per megawatt hour (MWh) comes from EBT or non-fossil power plants,” explained Darmawan.


To ensure the availability of green electricity, PLN is increasing the capacity of renewable energy generators across the country. By 2023, PLN’s renewable energy generation capacity has reached 8,786 megawatts (MW), with hydro-based generators (PLTA/PLTMH) contributing 5,777 MW, geothermal-based generators (PLTP) 2,519 MW, and the remainder from solar (PLTS), wind (PLTB), and biomass sources.


Additionally, PLN, in collaboration with the Government, is finalizing plans to increase the EBT mix in the National Electricity General Plan (RUKN) and the latest Electricity Addition Business Plan (RUPTL). The goal is to support future generating capacity with EBT. Darmawan stated, “From today until 2040, we aim to add 21 Gigawatts (GW) from gas-fired power plants, 28 GW from solar and wind power, 31 GW from hydro and geothermal power, and 2.4 GW from new energy sources.”


One of PLN’s REC customers, PT Hindo (H&M Group Indonesia), represented by Stakeholder Engagement and Sustainability Manager Anya Sapphira, praised PLN’s green electricity service for meeting H&M’s sustainability needs. “We need regulatory and infrastructural support related to EBT as H&M is committed to addressing climate change. Emissions in the supply chain are critical for us, working with 58 independent factories in Indonesia and involving over 90,000 workers,” explained Anya.


Paul Butarbutar, Head of the JETP Secretariat, reiterated JETP’s full support for the development of Indonesia’s EBT ecosystem. He noted that JETP, along with IPG, is prepared to fund green projects developed by PLN. “We have identified priority projects with our colleagues from IPG and PLN. We welcome industry, associations, or developers who seek funding for their projects,” said Paul.


Andrew Jeffries, Director of the Southeast Asia Energy Division at the Asian Development Bank (ADB), commended PLN’s efforts to increase the use of renewable energy, aligning with the global energy transition agenda. He expressed hope that PLN’s initiatives would not only supply clean electricity to the industry but also boost the economy. “We have a long history of collaboration with PLN in the energy sector. We are committed to supporting Indonesia and other developing countries in achieving economic growth, eradicating poverty, and improving the welfare of all Indonesians,” concluded Andrew.

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