Pertamina Geothermal Energy

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Geothermal Beyond Electricity: Geothermal Can Be a Decarbonization Catalyst

PT Pertamina Geothermal Energy (PGE), which is part of the Pertamina Power & New Renewable Energy (PNRE) Subholding, seeks to utilize geothermal energy not only for electricity needs. There are many things from geothermal energy that can be utilized more than electricity, such as producing green hydrogen and green ammonia so as to produce cleaner energy. Among energy industry practitioners, this utilization is referred to as direct utilization of geothermal energy.

President Director of PGE, Ahmad Yuniarto (AY) said that Indonesia is a country with the second largest installed capacity of geothermal power plants after the United States and has an installed capacity of about 10 percent of the existing geothermal energy potential, and this is a huge potential in the future.

"Currently we have an energy transition momentum and it will make stakeholders support the development of new renewable energy, namely geothermal energy which is environmentally friendly and is one of the important components in a sustainable new energy system," said AY at the Singapore International Event. Energy Week (SIEW) 2022 held by the Singapore Energy Market Authority (EMA).

“PGE in the future will be the largest geothermal developer, we see in the future PGE will become a catalyst for decarbonization. PGE is preparing and creating greater value from geothermal itself, for example in the development of green hydrogen and green ammonia,” added AY.

On another occasion, there was a meeting between the President Director of PGE and the Chief Executive, Energy Market Authority (EMA) of Singapore, Ngiam Shih Chun, who was interested in conducting geothermal cooperation between PGE and Singapore.

“Singapore is planning to invest more in building new green energy, the current climate change presents new threats as well as opportunities regarding sustainability. We are interested in geothermal energy and have also put more effort into exploring the geothermal potential in Singapore,” said Ngiam Shih Chun.

Ahmad Yuniarto explained, in running its business, PGE continues to be committed to geothermal development and ensures the implementation of Environment, Social, and Governance (ESG) to become an integrated part of PGE's geothermal business. The implementation of these ESG aspects is an effort to provide added value and support PGE to government programs related to the use of new, renewable energy that is environmentally friendly, especially geothermal. PGE's commitment to developing geothermal energy can contribute to achieving the sustainable development targets of Goal 7 (Clean and Affordable Energy), Goal 12 (Responsible Construction and Production), Goal 13 (Climate Change Management), and Goal 15 (Land Ecosystem). SDGs (Sustainable Development Goals).

PGE currently manages 13 Geothermal Working Areas (WKP) with an installed capacity of +1.8GW, of which 672 MW is operated and managed directly by PGE and 1,205 MW is managed under a Joint Operation Contract scenario. Geothermal installed capacity in PGE's working areas contributes about 82% of the total installed geothermal capacity in Indonesia, with the potential to reduce CO2 emissions of around 9.7 million tons of CO2 per year.

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