Palembang, January 13, 2026 – PT Pertamina Geothermal Energy Tbk (PGE) (IDX: PGEO) continues to emphasize its commitment to optimizing the nation's geothermal potential. A kick-off meeting held on Monday (January 12, 2026) officially launched the Lumut Balai Unit 3 Geothermal Power Plant (PLTP) development project with a capacity of 55 megawatts (MW). The project, located in the Lumut Balai Geothermal Working Area (WKP), South Sumatra, is targeted for full operation (commissioning operation date/COD) in 2030.
This meeting marked the starting point for project development execution through strengthened coordination involving various relevant functions within PGE. In parallel, PGE is also building strong synergy with external stakeholders, including local governments, contractors, local communities, PLN (State Electricity Company), and relevant government agencies. This cross-disciplinary and cross-functional collaboration is aimed at ensuring that all stages of project implementation run smoothly and in harmony, achieving established targets.
Ahmad Yani, Director of Operations at PT Pertamina Geothermal Energy Tbk, said, "This Kick-Off Meeting is a crucial opportunity to ensure the readiness of all aspects of the project, including technical aspects, permits, funding, and risk management. The development of new and renewable energy in Indonesia is now entering an increasingly crucial phase, in line with the national policy direction outlined in the 2025-2034 RUPTL (Regional Development Plan). The Lumut Balai Unit 3 Geothermal Power Plant project is designated as part of the government's strategic direction. Furthermore, this project is also listed as a strategic project in the 2025-2029 Blue Book of the Ministry of National Development Planning/Bappenas. Through this development, PGE affirms its commitment to sustainably strengthening national geothermal capacity while addressing the growing electricity demand in South Sumatra."
This initiative is a continuation of the 55 MW Lumut Balai Unit 2 Geothermal Power Plant project, which has been operational since June 2025. This achievement strengthens PGE's progress toward its independently managed installed capacity target of 1 gigawatt (GW) in the next 2–3 years and 1.8 GW by 2033. In line with this development direction, PGE has identified geothermal potential of up to 3 GW across 10 independently managed Geothermal Working Areas (WKP) as a foundation for long-term development.
In addition to contributing to electricity supply, the geothermal industry also plays a strategic role in the national economy. From 2010–2024, this sector generated approximately IDR 21.43 trillion in Non-Tax State Revenue (PNBP), while also providing direct benefits to producing regions through Revenue Sharing Funds (DBH), which reached IDR 10.82 trillion in 2019–2024. This contribution not only increases regional income but also stimulates local economic growth through a multiplier effect.
Currently, PGE manages an installed capacity of 727 MW spread across six operational areas, and is developing a number of other strategic projects, including the Hululais Unit 1 and 2 Geothermal Power Plants with a capacity of 110 MW, as well as several co-generation projects in collaboration with PLN Indonesia Power with a total capacity of 230 MW.
