PT. Pertamina Geothermal Energy ("PGE") as the successor of PT. Pertamina (Persero) was given a mandate by the Government as a cultivating motor in the development of geothermal energy. In response to this challenge, PGE is fully committed to continuing to increase the installed capacity of Geothermal Power Plants ("PLTP") in Indonesia. In supporting the development of geothermal power plants, PT. Pertamina (Persero) as the holding company of PGE places geothermal in one of the strategic priorities in the upstream sector.
At present, Indonesia, armed with a total installed geothermal capacity of 1,949.5 MW, is second in the world just below the United States which has a total installed geothermal capacity of 3,639 MW. And PGE's contribution to this achievement includes the largest in a single business entity, with an installed capacity of 617 MW, followed by Star Energy Geothermal Salak, 377 MW, Sarulla Operations, Ltd., for 330 MW, Star Energy Geothermal Darajat II, Ltd. ., amounting to 271 MW, Star Energy Geothermal, amounting to 227 MW, Geo Dipa Energi, amounting to 115 MW, and PLN at 13 MW.
Pertamina, which was then continued by PGE, is also a pioneer of geothermal development in Indonesia, where one of the fields, the Kamojang Area, has been operating for 35 years with increasing installed capacity, starting with 30 MW in 1983, to 617 MW in the year 2018, and planned to increase 55 MW to 672 MW in 2019 with the operation of the Lumut Balai Unit 1 PLTP.
"As the front guard in geothermal development in Indonesia, PGE's contribution will continue to be increased in the coming years through several projects being implemented including geothermal projects in Lumut Balai in South Sumatra, Hululais and Hululais Extention (Bukit Daun) in Bengkulu and Sungai Penuh in Jambi, where total geothermal installed capacity targeted by PGE in 2025 is 1057 MW, which in that year means that PGE has reduced the use of fossil fuels by 51.7 MBOEPD and has contributed to the reduction of carbon emissions by 5 , 5 million tons of CO2 per year, and the total investment that PGE will spend from 2019 to 2025 is 2.6 billion US dollars, "said Ali Mundakir, PGE's Managing Director. This condition has led PGE to win the Middle Dharma Karya ESDM award from the Ministry of Energy and Mineral Resources which was immediately submitted by the Minister of ESDM in September 2018, Ali added.
PGE's commitment to developing clean geothermal energy is carried out while maintaining environmental sustainability and community empowerment in addition to the mandate to provide the best benefits for Pertamina. By growing and developing with the community, PGE managed to record net income in 2018 12% higher than in 2017. PGE's commitment to safeguarding the environment and community empowerment led PGE to achieve Gold PROPER 8 times in a row since 2011 from the Ministry of Environment and Forestry , and PGE is the only geothermal company that won Gold PROPER 8 times in a row, Ali said.
In 2019, Ali added, with the increase in installed capacity from 617 MW to 672 MW, PGE is targeting an increase in production from 4,181 GWh to 4,551 GWh. Some of the breakthrough initiatives are also planned to be carried out by PGE in 2019, including the initiation of the optimization program for geothermal energy utilization in existing areas, one of which is the development of small scale power plants, the initiation of geothermal direct use portfolios, such as food and beverage processing, cosmetics , and what is equally important is the initiation of follow-up on the use of shared networks.
"Regulatory, this joint network utilization has been regulated and made possible by the Government in the prevailing laws and regulations, and if this shared network utilization can be carried out properly then PGE can provide optimal electricity supply support to Pertamina business units so that it can save "The use of fossil energy and foreign exchange reserves" said Ali.Ali Mundakir revealed his obsession in the effort to realize electricity infrastructure in the country, "geothermal energy can at least meet the energy mix targets set out in national energy policies as stated in PP No. 79 of 2014 concerning National Energy Policy, and geothermal energy can be based on the load of electricity in Indonesia, so that Indonesia which has the independence of sustainable energy comes from clean energy."
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