Indonesia aims to build a 100GW solar plant as part of plans to accelerate the development of new and renewable energy to strengthen the country's energy security.
Indonesia's president Prabowo Subianto has identified the development of large-scale solar power plants and the electric motor conversion programme — which promotes the switch to electric vehicles, especially for motorcyles — as short-term acceleration priorities, the energy ministry (ESDM) said on 12 March.
In line with this, Prabowo has ordered the construction of a 100GW solar plant, to "implement the electrification of renewable energy from solar power in the shortest possible time," he said. No further details such as costs or timelines were provided.
"We already have the intention of achieving energy self-sufficiency, which we are confident will be achieved within four years," said Prabowo, adding "with this acceleration, we are confident that this energy problem can be resolved."
Prabowo had previously announced a plan for 100GW of solar power, consisting of 80GW of decentralised solar systems equipped with battery storage.
Energy supply concerns
The announcement comes on the back of rising concerns about the disruption of energy supplies in the wake of the US-Iran war, which has effectively halted shipping through the Mideast Gulf and the strait of Hormuz ꟷ the waterway through which 14mn b/d of crude and 6mn b/d of refined products transited before the conflict began.
Many countries are facing a more severe energy crisis than Indonesia, and Indonesia has abundant alternative energy sources, Prabowo said. "We have abundant palm oil, sufficient cassava, and we can get fuel from corn and sugar cane. Our brothers and sisters have vast geothermal resources. If I'm not mistaken, these are the two largest reserves in the world that have not yet been fully exploited," he said.
National fuel supply is currently secure, energy minister Bahlil Lahadalia said on 11 March, as production and distribution continue to meet public demand in accordance with government-set operational stock standards.
But Indonesia's domestic fuel storage tank capacity is currently limited. "Our capacity is no more than 25 days," Bahlil said, adding that available stocks are sufficient for 23 days. But this does not necessarily mean the supply will run out within 23 days, and simply reflects the stock capacity held in the storage tank at any given time, he emphasised.
He stressed that ongoing refinery output and continued import volumes would ensure a steady flow of supply.
Indonesia is also not solely dependent on the Mideast Gulf for fuel, he added. The country gets most of its volumes from domestic refinery production as well as imports from Singapore and Malaysia.
In the long term, the government aims to raise storage capacity. Plans include the construction of new storage infrastructure that can hold at least three months' worth of fuel.
