Indonesia is said to be the largest user of energy in the Asean region
Masdar has inked a power purchase agreement (PPA) for its Cirata floating solar photovoltaic (PV) plant with Indonesian state electricity company Perusahaan Listrik Negara (PLN). The 145MW PV plant will be built on a 225-hectare plot of the 6,200-hectare Cirata Reservoir, in the West Java region.
According to a statement, the PV plant will be Masdar’s first floating solar PV project, and is being developed with PT Pembangkitan Jawa-Bali, a subsidiary of PLN. The deal aligns with Indonesia’s goal to have 23% of its energy come from renewable sources by 2025, rising to 31% by 2030.
Dr Sultan bin Ahmad Al Jaber, UAE Minister of State and chairman of Masdar and Zulkifli Zaini, president and director, PLN, formally exchanged documents during a ceremony at the Presidential Palace in Abu Dhabi. HH Sheikh Mohamed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces and Joko Widodo, President of Indonesia, were present at the ceremony.
“This agreement between Masdar and PLN marks a significant milestone in Indonesia’s sustainable energy journey. Leveraging innovative solutions such as this floating solar PV project will be critical to the nation achieving its renewable targets and to support its sustainable growth. Masdar will continue to support the development of renewable energy solutions in the Southeast Asia market, where we see tremendous potential, given the region’s rapid economic growth,” said Dr Al Jaber.
The project is also said to be Masdar’s first venture into the Southeast Asian market. The deal is said to build on the UAE’s strong relationship with Indonesia.
“The Cirata floating PV project is a monumental renewable energy project for Indonesia, and the biggest floating PV in South East Asia. It will improve the capability of the Jawa-Bali power system and also increase the renewable energy mix in Indonesia. The potential of similar projects is endless and we anticipate construction should begin soon, aiming for commercial operation in 2022,” remarked Zaini.