RI-Germany Strengthen Renewable Energy Cooperation

Jakarta - Indonesia and Germany are strengthening cooperation in the electricity sector, especially in the development of renewable energy through the signing of a cooperation agreement between PT PLN and GIZ and KfW.

The signing of the cooperation text was carried out by PT PLN (Persero) Risk Management Director Suroso Isnandar, KfW Director in Indonesia Burkhard Hinz and GIZ Indonesia/ASEAN Energy Programme Director Lisa Tinschert on the sidelines of Indonesia Sustainable Energy Week (ISEW) 2024 in Jakarta, Wednesday (11/9/2024).

This was announced by PT PLN (Persero) Risk Management Director Suroso Isnandar in an official statement on Thursday (12/9).

Mr Isnandar said the collaboration was very valuable for PLN, as it supported efforts to accelerate the energy transition and decarbonisation of the electricity system.

"With this collaboration, we are confident that Indonesia can achieve its renewable energy targets while ensuring a reliable and affordable electricity supply. Let us work together to support the advancement of electricity from clean energy in Indonesia," he said.

Indonesia, he added, continues to accelerate the energy transition process to achieve its net-zero emissions target by 2060 or sooner.

Meanwhile, GIZ Indonesia/ASEAN Energy Programme Director Lisa Tinschert said the energy transition is key to achieving global climate targets and ensuring equitable and sustainable energy supply.

"We are proud to collaborate with PLN to accelerate greater integration of renewable energy into Indonesia's electricity system and support renewable energy projects that provide long-term benefits for the people of Indonesia," she said.

Meanwhile, KfW Director in Indonesia Burkhard Hinz said KfW continues to support PLN and the Government of Indonesia to decarbonise and modernise the energy sector in Indonesia and contribute to the achievement of the JETP targets agreed with the International Partner Group.

Since the start of deeper cooperation in the power sector in 2016, Indonesia and Germany through GIZ, KfW and PLN have worked together on various initiatives to support Indonesia's energy transition.

These include financing renewable energy projects, developing transmission and distribution networks, as well as technical capacity building and training for PLN staff.

Collaborative technical studies between PLN and GIZ have led to a number of achievements including a techno-economic study of electricity planning in Selayar that supported the realisation of PLN's Selayar Hybrid Solar Power Plant (PLTS) which was operational in 2022.

The hybrid plant saved PLN IDR 16.5 billion per year in operating costs. In addition, the collaboration has also trained more than 350 PLN staff in the operation and planning of greener electricity systems.

GIZ is one of the German federal government companies working with Indonesia to address the global climate crisis and other issues.


KfW is an international organisation from Germany that works with its partners in developing countries to identify projects/programmes that promote sustainable development.