Masdar, one of the world’s leading renewable energy companies, and PT PJBI, a subsidiary of Indonesia’s state-owned electricity company PT PLN, have announced that financial close has been achieved on the Cirata Floating Photovoltaic Power Plant project and construction work has begun, with commercial operations scheduled to begin in Q4 2022. The 145 MW plant is being developed by PT Pembangkitan Jawa Bali Masdar Solar Energi, a joint venture between Masdar and PT PJBI.
The financing for Indonesia’s first floating solar power plant was arranged through Sumitomo Mitsui Banking Corporation, Societe Generale and Standard Chartered Bank. The project represents the United Arab Emirates’ (UAE) first investment in Indonesia’s renewable energy sector. Once completed, the plant is set to be the largest of its kind in Southeast Asia and will provide electricity to power 50,000 homes and will offset 214,000 tons of carbon dioxide emissions.
The country is targeting 23% of its energy mix coming from renewables by 2025 under its Electricity Infrastructure Acceleration Program. The Indonesian government also aims to increase the proportion of renewable power in its 2021 – 2030 national electricity plan to at least 48%, from only 30% in its previous plan.