Action Mounting in Indonesia’s Geothermal Market

Taken from the Geothermal Energy Association’s GeoEnergyWire, 

Earlier this month the United States and Indonesia agreed to increase collaborations and explore opportunities in geothermal energy. Leaders from both nations held a workshop to this end that focused on international best practices for geothermal development and exploration.

The figure shown here is taken from the Geothermal Energy Association’s annual industry report. Geothermal projects under development around the world are given in terms of number of developing megawatts, and number of projects, across the 22 top-developing countries for geothermal worldwide (as of February 2015). For Indonesia, there is an extraordinary amount of developing capacity. Some of this is considered to be the result of the backlog of projects in the country by such issues as prolonged PPA negotiations, delayed permits related to the usage of conservation or protected areas and resistance from local residents.

With both government and industry looking to overcome such obstacles, and with input from experienced markets such as the U.S., the government led by Indonesian President Joko Widodo (Jokowi) appears to be continuing the forward momentum. Jokowi has stated the government may form a new state-owned company to manage geothermal power, and has also commented that government will follow up on the licensing of 15 domestic and foreign investors to manage geothermal resources. Additionally, a task force dedicated to accelerating renewables is prioritizing the geothermal site in Bedugul to be activated by next year.

The government recently announced six geothermal projects for Indonesia:

  • Ulubelu II geothermal power plant in Lampung (Sumatra), which will have two new units (III and IV) of 55 MW each, located next to the 110 MW Ulubelu I geothermal facility. Pertamina Geothermal Energy aims to complete these units by August 2016 and June 2017, respectively.
  • Lahendong unit V in Minahasa- Sulawesi, 2×20 MW.
  • Kamojang unit V plant near Bandung- West Java, 35 MW.
  • Karaha unit I in Tasikmalaya- West Java, 30 MW.
  • Lumut Balai unit I and II in South Sumatra, 55 MW.
  • Kerinci unit I in Jambi (Sumatra), 55 MW.


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Leslie is located in Washington DC at the Office of the Geothermal Energy Association and serves on the Renewable Energy World North America Conference and Expo committee.

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