Jakarta - Indonesia's PT Pembangkit Jawa Bali Investasi (PJBI) inked a power purchase agreement with Abu Dhabi-based renewable energy company Masdar to construct a US$-129 million floating Solar Power Plant (PLTS) at Cirata Dam, West Java.
The agreement for building the PLTS, claimed to be the largest solar plant in Southeast Asia, was signed by Chief Executive Officer of Masdar Mohamed Jameel Al Ramahi, President Director of state-owned electricity company PT PLN (Persero) Zulkifli Zaini, and President Director of Indonesia’s electricity investment firm PT PJBI Gunawan Yudi Hariyanto in Abu Dhabi on Sunday (Jan 12).
The inking of the agreement was witnessed by Head of the Investment Coordinating Board (BKPM) Bahlil Lahadalia, State Enterprises Minister Erick Thohir, Deputy State Enterprises Minister Budi G. Sadikin, and Trade Minister Agus Suparmanto.
"The project’s investor is Masdar. It is the largest company in renewable energy in the Gulf," Director of Promotion of the BKPM Imam Soejoedi noted in a statement in Jakarta on Monday.
He cited the BKPM head as saying that the government will expedite the licensing process, particularly in the renewable energy sector.
Investment in the project is expected to total Rp1.8 trillion, and the solar power plant will become the largest in the ASEAN, with a capacity of 145 MW, larger than the 132.5-MW capacity Cadiz Solar Power Plant in the Philippines.
BKPM Head Bahlil Lahadalia affirmed that renewable energy had solely contributed some 10 percent to the energy mix.
Indonesia has outlined a target for renewable energy to account for 23 percent of the country’s energy mix by 2025, with PLTS contributing 5 MW of the existing national power capacity.
Some 16 cooperation agreements were signed between Indonesia and the United Arab Emirates (UAE) comprising five cooperation pacts with two governments and 11 cooperation agreements with business operators in some countries. (ANTARA)