Enel Green Power is working to convert the country’s large untapped potential into renewable energy. Approximately 40% of the world’s geothermal energy reserves is in Indonesia.
Indonesia and geothermal
Indonesia is Southeast Asia’s biggest economy and is one of the world’s main emerging markets. It has vast potential for developing renewables that, until now, have remained mostly untouched, especially geothermal. The country boasts 130 active volcanoes and an estimated 24 GW, which is equivalent to 40% of the world’s reserves.
In 2016, Enel Green Power in consortium with Indonesia’s PT Optima Nusantara Energi, which specializes in developing geothermal projects, won the rights to explore and realize a 55 MW project in Way Ratai, in Lampung province.
Construction of the geothermal plant, which hinges on the findings of our exploration, is scheduled for 2024. An estimated 430 GWh will be generated annually and will be sold to the state utility, PLN, through a thirty-year Power Purchase Agreement. This is an initial step towards expanding Enel Green Power’s business in the region and to contributing to Indonesia’s ambitious energy plan, which calls for a significant increase in the role of renewables in the national energy portfolio.