Indonesia launched a 100-gigawatt-peak solar power program targeting greater energy independence while expanding clean power access and domestic industry, the Ministry of Energy and Mineral Resources said Tuesday.
The government launched the program in Gilimanuk, Bali, alongside three other projects in Central Java, the Riau Islands and Bangka Belitung, according to the ministry.
Energy and Mineral Resources Minister Bahlil Lahadalia said Indonesia can strengthen energy security by leveraging year-round sunshine and expanding domestic solar and battery storage industries.
The program could save the state budget more than 73 trillion Indonesian rupiah ($4.13 billion) annually by replacing higher-cost diesel and gas generation, while cutting national diesel use by up to 6 million kiloliters a year.
Bahlil said the program could create 5.52 million cumulative jobs, including 3.5 million in solar panel and battery storage industries and 2 million in construction, while reducing annual carbon emissions by 140.16 million tons.
The government initially launched 14 solar projects across six provinces with a combined capacity of about 5.3 GWp, including the 300-megawatt-peak Gilimanuk plant and the 134 MWp Gadjah Mungkur floating solar project.
The initial projects also include the 0.92 MWp Sembur Village plant and 0.078 MWp Pulau Rengit solar plant, with Sembur supporting fishermen through a 5-ton cold storage facility and a 4-ton ice maker.
The Rengit Island project increased electricity availability from about 12 hours to 24 hours daily and reduced the cost of supply by about 4,400 Indonesian rupiah per kWh, or 26%, the ministry said.
President Prabowo Subianto called for cooperation among ministries, state-owned enterprises and other parties to support the solar target, while emphasizing efficient management of state finances.
Prabowo said Indonesia aims to build 100 GW of capacity within three years.