News, Monday, Nov 28, 2022 | Jamadi Al Awwal 4, 1444
ACWA Power expands Indonesian portfolio thanks to partnership with state electricity firm
RIYADH: Saudi energy firm ACWA Power will work with Indonesia’s state-owned
electricity provider to develop battery storage for renewable energy facilities
and green hydrogen development in the Asian country.
The firm has announced it signed a Memorandum of Understanding with PT
Perusahaan Listrik Negara — known as PLN — at the B20/G20 Summit in Bali and
coincided with the state visit of thw Kingdom’s Crown Prince Mohammed Bin Salman
According to the terms of the MoU, ACWA Power and PLN will jointly investigate
several avenues of partnership, including a project study for pump storage for a
600-800MW hydroelectricity facility; investigating the possibility of a 4GW
battery energy storage system and the development of a green hydrogen/ammonia
facility that is powered by hydroelectricity.
Paddy Padmanathan, CEO and vice chairman of ACWA Power, said: “As a nation that
is fast tracking economic growth, Indonesia is focussed on advancing sustainable
development through strategic partnerships.
“With the signing of this extensive renewable energy and green hydrogen MoU with
PT Perusahaan Listrik Negara, we are delighted to extend our collaboration and
strengthen our presence in the country.
“We look forward to partnering with the government in ensuring that its
renewable energy goals are realized.”
Indonesia’s National General Energy Plan states that 23 percent of the country’s
power should be generated via renewable energy sources by 2025.
PLN is Indonesia’s sole buyer of electricity produced by independent power
projects, including power produced from renewable energy projects.
As of last year, the enterprise owns or operates nearly two-thirds of
Indonesia’s power generation industry, which is approximately 65.5GW of
Darmawan Prasodjo, president director and CEO of PLN, said: “Dealing with
climate change is not only a challenge to preserve the environment, but also a
“In the future, there will be many PLN agendas in the energy transition that
require the collaboration of all parties. ACWA Power and PLN have built a very
strong, long-term and productive partnership.”
The agreement comes after ACWA Power and Indonesian energy firm Pertamina New &
Renewable Energy signed a joint development agreement on core utilities supplies
to Tuban Grass Root Refinery and Petrochemical Project in Java, eastern
This agreement was also signed on the sidelines of the G20 summit.