Antara News is reporting that Hashim Djojohadikusumo, Special Envoy of the President of the Republic of Indonesia, has signed a EUR 1.2 billion MoU in green funding for the power sector from Germany’s Kreditanstalt für Wiederaufbau (KfW) at the Conference of the Parties (COP29) in Baku, Azerbaijan, on Wednesday (13/11/24,) which will be used for the development of various green power infrastructures to support Indonesia’s sustainable energy self-sufficiency.
The signing of a Memorandum of Understanding (MoU) was between PT PLN (Persero) and KfW for the development of clean energy projects, specifically a Pumped Storage Hydropower Plant and a transmission network connecting to green power plants.
Hashim emphasized that the government is committed to accelerating the energy transition. By fostering collaborations at the global level, the shift towards renewable energy is expected to support energy self-sufficiency and drive national economic growth, says Antara News.
“We have developed a new strategy over the next five years to achieve a minimum of 8 percent sustainable economic growth,” Hashim said, adding that the development of clean energy sources is crucial for enhancing industrial competitiveness. Over the next 15 years, Indonesia’s renewable energy generation capacity is targeted to increase by 75 percent from the total addition of 100 gigawatts (GW) in electricity capacity.
“We will be a major country fulfilling our responsibility to protect the environment’s future. We deeply appreciate the established international cooperation as a joint effort toward reaching the Net Zero Emissions (NZE) target,” Hashim explained.
PLN President Director Darmawan Prasodjo expressed full support for the government’s initiatives in advancing the energy transition. Various collaborations and initiatives have been implemented by PLN to ensure the success of sustainable electricity projects, says Antara News.
Darmawan noted that KfW’s involvement in PLN’s green projects is expected to attract more international partners to collaborate. This will create a synergy of sustainable strategic, technical, and investment collaboration in global climate action.
“This collaboration signifies PLN’s proactive steps in expanding international partnerships to enhance national energy self-sufficiency in line with global climate actions,” Darmawan said.
According to Antara News, KfW Group’s Sustainability Officer, Jurgen Kern, explained that KfW’s support for Indonesia represents Germany’s commitment to international cooperation for green transformation, highlighting that PLN is at the center of Indonesia’s energy transition. PLN is strongly committed to greening the energy sector while ensuring reliable energy access.
“Therefore, we believe that Indonesia and Germany can continue strengthening their partnership in the energy sector, especially in clean energy projects like geothermal, hydropower, and transmission. Achieving the NZE target requires solid collaboration and partnership,” Jurgen said.
Source: Antara News
Stock image by kp yamu Jayanath from Pixabay
