"In the last 10 years, the accumulated investment in geothermal power plant (PLTP) construction has risen eightfold. Hence, as of 2024, the geothermal investment value is estimated at US$8.7 billion in total," he remarked in Jakarta on Wednesday.
Speaking during the opening of the 10th Indonesia International Geothermal Convention and Exhibition, Lahadalia underscored that Indonesia stores 24 gigawatts of geothermal potential, accounting for about 40 percent of the global geothermal reserves.
Meanwhile, the total capacity of Indonesia's PLTPs has reached 2.6 gigawatts or the second-largest in the world, he added.
The minister further noted that the construction of PLTPs had created about 900 thousand job opportunities and contributed some Rp16 trillion (around US$1 billion) to the national economy.
Moreover, PLTP development has helped Indonesia reduce carbon emissions by 17.4 million tons annually, he added.
Lahadalia also stated that currently, Indonesia's total power plant capacity has hit 93 gigawatts, with new and renewable energy (NRE) contributing 15 percent to the overall figure.
He stated that the government had targeted increasing the NRE composition in the national energy mix to 23 percent by next year.
The minister, however, highlighted that the lack of electricity network in some regions had been impeding the target realization.
"For example, Riau has NRE sources, but the region is yet to be equipped with the electricity network needed to connect the energy. That is the obstacle," he pointed out.
Furthermore, he emphasized that geothermal could act as a vital instrument for increasing the NRE portion in the national energy mix while noting that the government had consistently pushed for the optimization of Indonesia's vast geothermal potential.
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Translator: Maria C, Tegar Nurfitra
Editor: Azis Kurmala
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