Indonesian state-owned electricity company, the Perusahaan Listrik Negara (PLN), has cooperated with five leading international energy corporations for the development of a green ecosystem in Indonesia. Those 5 companies are PT Hitachi Sakti Energy Indonesia, Electricite de France SA (EDF), GE Vernova, The Danish Energy Agency, as well as the China Southern Power Grid International (HK) Co., Ltd.
Through this joint effort, PLN will receive support in implementing the energy transition to help Indonesia in achieving carbon neutrality or Net Zero Emissions by 2060. The President Director of PLN, Darmawan Prasodjo, emphasized the necessity for global energy communities to come together in addressing the climate change crisis. Thus, various challenges emerge in energy transition, ranging from technological innovation, investment, and policies, can be promptly addressed.
“With this collaboration, we won’t only be able to map out every existing challenge, but also to overcome each of them. Therefore, the significant mission of energy transition can be realized,” stated Darmawan, as quoted from the official announcement on last Thursday (Nov. 16).
This collaboration was established through the signing of Memorandum of Understanding (MoU) during the largest annual conference and exhibition in ASEAN for electricity and energy, the Enlit Asian 2023, at Indonesia Convention Exhibition (ICE) in BSD City, Indonesia. There were 12,000 attendees and more than 300 Independent Power Producers (IPP), renewable energy developers, manufacturers, distributors, EPC firms, and others. It also brings international perspective from US, Europe, and Australia in one platform to act towards a sustainable energy future.
PLN signed MoU with five international energy corporations on Nov. 16. (Photo: ICE)
The cooperation by PLN with these companies encompasses several aspects. PLN will explore a long-term partnership opportunity with HK Company especially for the development of high voltage direct current (HVDC), pumped storage, as well as the cross-island interconnected smart grid. Meanwhile, the MoU with EDF, GE Vernova, and The Danish Energy Agency will involve a joint study through information exchanges on various aspects to support Indonesia’s energy transition.
These collaborations mentioned are aligned with PLN’s identification of challenges related to the mismatch between the vast potential of isolated renewable energy sources (EBT) and the electricity demand centers in urban areas. “We have identified a mismatch between the significant potential of renewable energy sources and the electricity demand centers. And we’re currently in the process of designing the development of a green enabling transmission line to facilitate this,” added Darmawan.
In addition to the mismatch, the other challenge arises from fluctuating renewable electricity influenced by weather changes. Therefore, PLN is well-prepared to establish a smart grid equipped with flexible generation, smart transmission, smart distribution, and smart meters. Furthermore, PLN has designed the Accelerated Renewable Energy Development (ARED) in which through this initiative, the development of green enabling transmission lines and smart grids will continue to be promoted to strengthen the green electricity supply system in Indonesia.