Indonesia needs $15 bln investment to meet geothermal target by 2025

reuters.com International 2019-08-14 08:44:11

Indonesia may require an estimated $15 billion in investment to meet its target of reaching 7.2 gigawatts (GW) of geothermal power capacity by 2025 and is studying ways to reduce project costs, an energy ministry official said on August 13.


The capacity would be an increase from less than 2 GW of geothermal power currently, the Ministry of Energy and Mineral Resources's Director General of Renewable Energy F.X. Sutijastoto told reporters at a conference on geothermal energy.


Earlier at the conference, Indonesian Vice President Jusuf Kalla said during a speech that progress in geothermal power development in the past decade has been "very slow" and the dependency on coal power has caused air pollution around the capital Jakarta.


Coal currently makes up around 60% of the country's energy mix versus about 5% from geothermal power, according to data from state utility company PT Perusahaan Listrik Negara (PLN).


The energy ministry is drafting up plans to accelerate ongoing projects to meet the target, Sutijastoto said, including reviewing the possibility of the government reimbursing some part of the development costs.


"We will see, things such as infrastructure, may be possible to be reimbursed by the government," he said, referring to items such as roads or bridges built by the company to reach the geothermal power site.


PT Pertamina Geothermal Energy, a unit of state energy company PT Pertamina, is aiming to invest $2.7 billion in geothermal power through 2026, President Director Ali Mundakir told reporters at the conference.


The company aim to increase its geothermal capacity to 1.1 GW by 2026 from 672 megawatts currently.



(Writing by Tammy Yang  Editing by Harry Huo)
For any questions, please contact us by inquiry@fwenergy.com or +86-351-7219322.

Share this article
Connect with us

Editors Recommendations

1 Pre-holiday demand may lend limited support for Australian met coal 2019-12-12

Market players eyed a round of purchase boom from Chinese users for Australian coking coal a couple of weeks leading up to Chinese Lunar New Year holidays, but they also expected it would not give sub

2 S Korea Nov thermal coal imports dive to 5-mth trough 2019-12-12

South Korea imported 8.66 million tonnes of thermal coal (including bituminous and sub-bituminous coal) in November, diving down to a five-month trough since June this year, according to South Korean

3 China's Hebei declares orange smog alert from Dec 13, firms could cut output 2019-12-12

China's northern Hebei province, home to the country's top steelmaking cities, has issued an orange smog alert from December 13 as adverse weather conditions are set to increase pollution, state-backe

4 China Coal Daily Track (Dec 12) 2019-12-12

Thermal coal Production area Coal prices were largely unchanged at major production areas with still lack of upward strength due to tepid demand from downstream buyers. Apart from

5 Qinhuangdao thermal coal prices temporarily stabilize; trading improves 2019-12-12

Chinese domestic thermal coal prices stabilized at Qinhuangdao and other transfer ports in the Bohai Bay. Trading situation slightly improved after demand increased from cement plants, although power

6 Indonesian low-CV coal bounces back in China import market 2019-12-12

Prices of Indonesian low-calorific value thermal coal bounced back slightly in Chinese seaborne import market in midweek, a favorable sign that points to improved sentiment alongside a pause of declin

7 Chinese coal miners curb production amid safety checks 2019-12-12

Dozens of Chinese coal miners started to curtail or halt production, in response to safety inspections launched by local authorities near the end of the year. Shanxi in northern China car

8 India's coal power usage set to shrink for first time in 14 years 2019-12-12

Coal's use for power in India is set to shrink for the first time in at least 14 years as demand slows and cheaper and cleaner renewable sources of electricity erode the fossil fuel's share.

9 Overcapacity crisis looming in Chinese coal industry amid term contract mechanism 2019-12-11

With the back of abundant railway transport capacity that has been expanded since 2018, China's long-term coal contracts are well delivered this year. But it's perhaps the main culprit to the falling

10 China coal-fired power demand may drop rapidly after 2025, report 2019-12-11

China's demand for coal-fired electricity is forecast to further increase during the 14th Five-Year Plan period (2021-2025), but would drop rapidly after 2025 with growing supply of clean energy, said

Most Read Articles

1 Yangquan Coal, Henan Energy & Chemical ink cooperation agreement 2019-12-04

Yangquan Coal Industry (Group) Co., Ltd has signed an agreement with Henan Energy and Chemical Industry Group Co., Ltd on December 3 over the strategic energy cooperation in the future, the company sa

2 China thermal coal traders fret about downside pressure from contract talk 2019-12-03

Participants in Chinese spot thermal coal market fretted about downside pressure from possible steadiness or downward adjustment of 2020 annual base price of long-term contract, after spot prices have

3 Indonesian thermal coal prices marching higher in China amid active purchases 2019-12-05

Indonesian thermal coal prices have been climbing by $2/t since late November in Chinese seaborne import market, spurred by buying demand from Chinese buyers, which could possibly be the last time of

4 Indonesian thermal coal sales improve as Chinese buyers seek Jan, Feb shipments 2019-12-02

Sales of Indonesian thermal coal with January and February laycans to China improved last week, as several utilities sought to restock before or after the Spring Festival holidays, which falls on late

5 Russian energy giant looks to shed coal assets, reports say 2019-12-05

In a grudgingly climate-friendly gesture, IrkutskEnergo, a major Siberian energy company, is moving to shed its coal assets – a sign that even Russian power producers are feeling the West's nascent ba

6 Newcastle Nov coal exports to China tumble 32.5% MoM amid tighter Chinese curbs 2019-12-03

Newcastle port saw its coal exports from the two key terminals – Carrington and Kooragang – to China slumped by 32.5% month on month in November, as China tightened its import restriction on coal to k

7 China to merge coal-fired power assets at top utilities, slash capacity 2019-12-02

China plans to merge the coal-fired power assets of its top five utility firms, cutting their combined coal-fired power capacity by up to a third by the end of 2021, according to a document seen by Re

8 China coking coal prices diverge; Mongolian coal plummeting 2019-12-02

Coking coal prices continued diverging in Chinese main production areas late last week, with premium coking coal grades further firming up while blending coking coal facing high likelihood of downward

9 Glencore lowers 2019 coal output guidance to 140 mln T 2019-12-04

Diversified miner Glencore has reduced its 2019 production guidance by 5 million to 140 million, due to recent Colombian volume reductions as well as a safety stoppage in South Africa, showed an inves

10 China thermal coal participants sidelined, awaiting new direction 2019-12-02

The majority of participants in Chinese spot thermal coal market were on the sidelines late last week, waiting for a new direction as domestic 2020 long-term contract coal pricing approaches.

Scan to download sxcoal.com mobile APP

X