Geothermal Plant Investment Supports Clean Energy
Jakarta, March 17, 2023 - The geothermal power plant project has the potential to become a mainstay in the energy transition from fossil energy to New and Renewable Energy (NRE). Member of the National Energy Council (DEN), Satya Yudha, explained this geothermal industry does require a long time in the exploration and production process. However, the results can help life in the future.
"The global urgency in developing clean and green energy makes geothermal energy the key to achieving the target of developing a green economy through green energy and green industry, as well as support for Indonesia towards Net Zero Emissions (NZE) 2060," said Member of the National Energy Council (DEN), Satya Yudha, Thursday (16/3).
Satya Yudha gave an example, geothermal energy utilization that is used to turn into electrical energy. Based on data from the Ministry of Energy and Mineral Resources (EMR), throughout 2022, electricity consumption per capita in Indonesia reached 1,173-kilowatt hours (KWh), an increase of 4.45% compared to 2021 of 1,123 kWh.
Then, the New Renewable Energy (NRE) mix in the national energy mix until 2022 was recorded at 14.11%, up 13.65% from the realization in 2021. The installed capacity of power plants in Indonesia reached 81.2 gigawatts (GW) in 2022, with PLTG/GU/MG of 21.6 GW, then NRE power plants of 12.5 GW (6.6 GW of PLTA, 2.3 GW of PLTP, and 3 GW of bioenergy).
As it is known, Indonesia has the 2nd largest geothermal installed capacity in the world and has utilized 2,175.7MWe or 9% for Geothermal Power Plants (PLTP). This number is expected to overtake the United States, which is ranked first in the world. The potential for electricity generated by geothermal can reach 24GW, so it does not add to the government's burden in electricity production because the price is competitive.
One of the geothermal exploration and production companies, PT Pertamina Geothermal Energy Tbk (PGEO), takes part in the management of 13 Geothermal Working Areas (WKP) or 82% (of the total installed geothermal capacity in Indonesia) and operates in six areas. 672MW is operated by PGEO and 1,205 MW is managed through a Joint Operation Contract (JOC).
"PGEO's production capacity will be increased to 1,272MW in 2027 as one of the IPO fund utilization. Until now, PGE has supplied 2.08 million homes in Indonesia," said Corporate Secretary of PGEO, Muhammad Baron, Thursday (16/3).
As a subsidiary of the Pertamina Group, PGEO has a strong track record of maintaining effective and consistent geothermal power plant operations.
PGEO's expertise in reservoir management and steam supply sustainability coupled with partnerships with reputable and renowned business partners ensures high operating standards. Moreover, PGEO excels in O&M through management systems and digital technology implementation.
"Consistent work with independent experts makes continuous competency development for all O&M personnel," said Baron.