Prabowo Pushes for 100 GW Solar Capacity and Shift Away from Diesel Power in Indonesia
Jakarta – President Prabowo Subianto is accelerating Indonesia’s energy transition with ambitious plans to develop 100 gigawatts (GW) of solar power capacity within the next two years and phase out diesel-powered power plants. These initiatives aim to bolster national energy security, reduce reliance on imported fossil fuels and lower electricity costs.
Accelerated Solar Power Development
President Prabowo has instructed a special task force on renewable energy and energy conservation to fast-track the large-scale solar program. “We will carry out very rapid development of solar power. The plan is to build 100 gigawatts, which we target to complete within the next two years,” Prabowo stated during a cabinet meeting according to the Jakarta Globe.
The expansion is projected to require approximately 100,000 hectares of land, with around 67,000 hectares already identified in West Java. The government is too exploring the use of land owned by Perhutani, the state forestry company, which controls roughly 800,000 hectares across Java as reported by the Jakarta Globe.
Phasing Out Diesel Power Plants
Alongside the solar expansion, President Prabowo has ordered an acceleration in the conversion of diesel-powered power plants (PLTD) to solar power plants (PLTS) due to high global oil prices as reported by Antara News. Currently, Indonesia has 13 GW of diesel power capacity that the government intends to decommission.
Coordinating Minister for Economic Affairs Airlangga Hartarto stated that the policy must be promptly assessed and implemented according to Antara News. Indonesia’s sovereign wealth fund, Danantara, has been assigned to handle the technical and financial aspects of this conversion as reported by Petromindo.
Electrification of Transportation
President Prabowo also envisions a future where all vehicles in Indonesia are electric, reserving gasoline for luxury vehicles. He suggested that owners of vehicles like Lamborghinis and Ferraris would continue to use petrol and pay the prevailing world price as reported by the Jakarta Globe. The government plans to convert motorbikes, cars, and trucks to electric power, potentially reducing transportation costs for the majority of Indonesians by up to 80%.
The government is also planning to reinstate a subsidy program for electric motorbike conversions, making the process more affordable. Converting a petrol motorbike to electric currently costs between IDR 5-6 million according to the Jakarta Globe.
Energy Transition Acceleration Task Force
To oversee these initiatives, the government has established an Energy Transition Acceleration Task Force led by Energy and Mineral Resources (ESDM) Minister Bahlil Lahadalia as reported by Antara News. This task force will focus on developing solar power plants, including installations for schools and villages, as well as off-grid systems for remote areas according to Petromindo.