Indonesia Fossil-Free Power Generation  

 

WHAT

In line with the 2015 Paris Agreement, Indonesia has set a target of Net Zero Emissions by 2060 or sooner with increased utilization of new renewable energy as the priority, with several potential focus areas, that stated in the Country Electricity General Provision Plan that could be highlighted as below:  

  • Variable renewable energy deployment of acceleration of 17,1 GW Solar Power and 7,2 GW wind by 5 times by 2030 which includes battery energy storage and power quality system.   
  • Baseload renewable energy on Geothermal and hydro power. Geothermal is expected to grow 10 times from 2 GW in 2025 while hydro is expected to grow 7 times from current 10 GW.   
  • Small medium nuclear reactor utilization in rural/ remote areas starting 2035 with 500 MW capacity and gradually increasing.   
  • Gas related power plants i.e. turbine or engine that is hydrogen ready including its grid technologies advancement to be doubled before 2040. In addition, biogas technologies from waste municipal and/or industrial scale.   
  • Conversion of coal fired power plants to biomass power plant and other technologies supporting the development energy forest (seeding, mapping, planting). The deployment of coal fired power plant might still increase to ensure affordable electricity up until 2030 and will gradually decrease.   
  • Deployment of hydrogen and ammonia technology in supporting the intermittency and renewable energy development with electrolyzer efficiency and desalination system, as well as fuel cell generator.   

HOW  

Business Sweden together with stakeholders within Team Sweden Energy Indonesia (Swedish Energy Agency, Embassy of Sweden, Swedish Development Agency, etc.) is organizing the following promotional activities to capture the business opportunities connected to the development of Indonesia’s renewable energy:  

  • Utilizing Indonesia and Sweden G-to-G platform for cooperation within energy sector. Indonesia and Sweden have signed an MoU on sustainable energy development which covers transmission, renewable energy and energy efficiency. In 2025, the MoU was cascading down to become an Implementation Agreement that will run effectively starting from 2026. The agreement will allow more concrete project development, policy discussion, capacity building and financing possibilities.  
  • Business Sweden’s energy promotion program 2026 that will focus mainly on introducing Swedish energy companies to Indonesia stakeholders through B-to-B online/offline meeting, roundtable discussions, webinars, or other promotional activities.  
  • SISP Conference 2026 (annual program) in Q3 to highlight Sweden and Indonesia collaboration within energy, healthcare, mining, and industry. SISP itself is a long-term promotional program in prioritized industries for Swedish companies and authorities to utilize Team Sweden and promote their products and services in Indonesia.  
  • Business Accelerator Program Southeast Asia 2026 (annual program) is an 18-month program aimed at Swedish small and medium-sized companies with solutions in the renewable energy and energy efficiency sector to support its business and market development in Southeast Asia. 

  

CONTACT US

For more information contact Firman Ardiansyah at firman.ardiansyah@business-sweden.se.