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Indonesia plans to convert 5.2 GW of diesel-fired capacity to renewables

The Ministry of Energy and Mineral Resources (ESDM) of Indonesia will issue a decree to convert diesel-fired power plants that are still operating in the country into renewables projects. The conversion projects will be led in stages, ending in 2025-2026. The authorities plan to start with 358 diesel-fired power plants totalling 307 MW that would be replaced with solar power plants. The first phase is expected to be completed in 2023-2024. At a later stage, solar power plants with storage could be used, or solar power plants hybridised with diesel. The state-owned power utility PT PLN aims to implement renewables projects at 2,130 diesel-fired power plants with a total capacity of 5.2 GW.

Indonesia targets of 23% of total power capacity from renewables by 2025 (equivalent to about 41 GW) and at least 28% in 2038. The country has a total capacity of 69.9 GW, distributed as follows: coal 52%, gas 28%, oil 9%, hydroelectricity 8%, and geothermal 3% (end of 2020).

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