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Indonesian power coverage suppose tank, the Institute for Important Companies Reform (IESR), has penned a brand new report stating that the nation stands to realize from the inflow of latest photo voltaic manufacturing capabilities but it’s nonetheless underutilising its era potential.
In keeping with the report ‘Indonesia Vitality Transition Outlook 2025’, international funding within the nation’s manufacturing capabilities will allow Indonesia so as to add 200,000 tonnes of polysilicon, 11GW of wafers, 17GW of cells, and 19GW of modules yearly.
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This enhance in funding is fuelled by strategic initiatives, such because the Indonesia-Singapore Inexperienced Hall undertaking, which focuses on increasing home manufacturing capability. Moreover, entry to export markets is a major incentive, particularly in gentle of the commerce tensions between China and Western international locations, heightened by Donald Trump’s recent victory in the US election.
A number of well-known photo voltaic PV producers have entered the Indonesian market owing to the substantial monetary development the nation is anticipated to expertise by 2050. Certainly, in response to international accounting large PwC, Indonesia will develop into the world’s fourth-largest economic system by 2050.
US-based photo voltaic producer Thornova Photo voltaic not too long ago began producing solar modules for the US market at a plant in Indonesia. The brand new module manufacturing line has a 2.5GW nameplate capability and may produce each PERC and n-type applied sciences.
In late September 2024, photo voltaic producer SEG Solar started construction on a vertically built-in 5GW ingot-to-module TOPCon photo voltaic PV plant within the central Java province. Building began lower than six months after the corporate unveiled its plan to build the plant in Might 2024.
SEG Photo voltaic expects to finish the primary section of the location by Q2 2025. No further timeline has been disclosed for subsequent phases.
Alongside SEG Photo voltaic, Singapore-headquartered PV producer Gstar not too long ago started construction on a 3GW silicon wafer plant situated in Jakarta. The plant is anticipated to start out manufacturing by the tip of 2024.
Indonesia underutilising its photo voltaic PV era potential
Regardless of the potential of its manufacturing capabilities, Indonesia remains to be behind in deploying the renewable power era know-how.
The IESR’s report signifies that the nation is at present underutilising its photo voltaic power potential. With a mean photo voltaic irradiance exceeding 4.8kWh per sq. meter per day and plentiful sunshine all year long, Indonesia has the potential to generate between 7.7 to 20TW of solar energy.
The report states that realising this potential would require Indonesia to pursue focused insurance policies, strong funding, innovation and worldwide collaboration.
When the nation reached the 700MW milestone, the IESR deemed the nation’s rollout of photo voltaic PV “inadequate” to comply with the global climate target.
A earlier report launched by the suppose tank confirmed that Indonesia’s put in photo voltaic PV capability reached 717.71MW in August 2024. Curiously, the 145MW Cirata floating solar PV project, put in in November 2023, nearly tripled on-grid photo voltaic PV capability that 12 months.
It’s price noting that Indonesia has round 17GW of photo voltaic PV initiatives in its improvement pipeline. Indonesian state utility PLN can even develop round 3.2GW of photo voltaic PV by 2030.
As reported by PV Tech earlier this month, PV will form the cornerstone of Indonesia’s renewable power sector as the federal government seems to section coal-fired electrical energy out of the power combine by 2040, in response to Ember Local weather. This got here after the federal government put in a goal to succeed in 75GW of renewable energy generation by 2040.
The convention will collect the important thing stakeholders from PV manufacturing, tools/supplies, policy-making and technique, capital tools funding and all downstream channels and third-party entities. The objective is easy: to map out PV manufacturing out to 2030 and past.
PV Tech has been operating PV ModuleTech Conferences since 2017. PV ModuleTech USA, on 17-18 June 2025, will probably be our fourth PV ModulelTech convention devoted to the U.S. utility scale photo voltaic sector. The occasion will collect the important thing stakeholders from photo voltaic builders, photo voltaic asset homeowners and buyers, PV manufacturing, policy-making and and all downstream channels and third-party entities. The objective is easy: to map out the PV module provide channels to the U.S. out to 2026 and past.
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