Indonesia's Minister of Energy and Mineral Resources Bahlil Lahadalia announced that investment in the development and operation of new and renewable energy (NRE) power plants and projects across 15 provinces has reached Rp25 trillion (US$1.4 billion).
"Today, we are officiating NRE power plants in 15 provinces, with a total capacity of 379.7 megawatts (MW) and a total investment of approximately Rp25 trillion," he revealed during the inauguration ceremony at the Blawan Ijen Unit 1 PLTP in Bondowoso, East Java, on Thursday.
He explained that the Blawan Ijen Unit 1 PLTP, in collaboration with PT Medco Cahaya Geothermal, will add 45 MW and 25 MW, respectively, in the second and third development stages.
The Ijen PLTP officially began commercial operations (COD) on February 9, 2025, with an initial capacity of 34.5 MW out of a planned total of 110 MW, the minister stated.
As the first geothermal power plant in East Java, the electricity generated is supplied to the Java electricity grid through a power purchase agreement (PJBTL) signed on February 27, 2013, and amended in November 2019, at a rate of US$8.58/kWh plus an additional US$0.3/kWh for component E (transmission).
Related news: Indonesia to add 69.5GW in electricity capacity through power plants
Lahadalia noted that the project is supported by 83 transmission towers and a 150 kV transmission network, which will improve the stability of the Java-Bali electricity system and supply electricity to approximately 85 thousand households.
The total potential non-tax revenue (PNBP) per year from the Ijen PLTP, operating normally at a capacity of 34 MW, is around Rp15 billion (US$893 thousand) per year.
However, if the plant reaches a total capacity of 100 MW, the potential annual PNBP would increase to Rp39 billion (US$2.3 million), the minister added.
On the same occasion, the government also officiated the operation of the PLTP that has reached COD, broke ground on new PLTP construction, added solar power (PLTS) capacity, and announced a 30 thousand-barrel increase in oil production at the Cepu Block.
Related news: Necessity sparks renewable power innovation in Bali village
Translator: Arnidhya Nur, Resinta Sulistiyandari
Editor: Rahmad Nasution
Copyright © ANTARA 2025
