Abu Dhabi Future Energy Company PJSC – Masdar, the UAE’s clean energy powerhouse, and PLN Nusantara Power (PLN NP) have signed an agreement to develop Phase II of the Cirata floating photovoltaic (FPV) power plant in Indonesia by up to 500 megawatt (MW), in a major expansion to Southeast Asia’s largest FPV plant.
The initial 145 MW phase of the innovative floating FPV project, located in the Cirata reservoir in West Java, is expected to come online later in 2023. Following a recent regulatory development from the Ministry of Public Works and Housing, Indonesia now allows up to 20% of water coverage for renewable energy uses. This will open up the Cirata expansion to a further 500 MW, in addition to the 145 MW expected to be operational in 2023.
Indonesia is a key market in Southeast Asia for Masdar, with an expanding portfolio of interests. Masdar developed the region’s largest floating solar facility, the 145 MW Cirata floating solar PV plant (Cirata Phase I), in a joint venture with PT PJB, now PLN NP. In February 2023, Masdar entered the geothermal energy sector through a strategic investment in Pertamina Geothermal Energy (PGE). Masdar also opened an office in Jakarta in 2021 to strengthen links with key regional players.
Indonesia has plans to increase its renewable energy mix and has pledged to reach net-zero emissions by 2060 or sooner. The Southeast Asian nation has committed to a 29% reduction in greenhouse gas (GHG) emissions by 2030, or a 41% reduction with international support.