Pertamina to boost renewable energy production

State-owned oil and gas firm PT Pertamina has set a target to develop power plants fueled by renewable sources of energy with combined capacity of up to 1.13 gigawatt (GW) in 2019.

The company said in recent presentation as quoted by the Directorate General of New and Renewable Energy that it also aims to produce 1.28 kilo liters of biofuel in 2019.

The targets are part of efforts to support the government?s plan to make new and renewable sources of energy to account for about 23 percent of the country?s energy mix by 2025.

The aforementioned new power plants will be mostly based on geothermal (accounting for 907 MW), photovoltaic solar and wind energy (each 60 MW), biomass (50 MW), mini hydro (45 MW), and ocean energy (3MW).

Meanwhile, biofuel production will comprise of green diesel (with capacity of 0.58 million kilo liters per year) co-processing green diesel (0.14 million KL per year), co-processing green gasoline (0.23 million KL per year), bioavtur (257,000 KL per year), bioethanol (76.000 KL per year), and /tahun, and bio LNG plant (10 tons per year).

According to Pertamina Director for Gas, New and Renewable Energy, Yenni Andayani, the company is ready to make new investments in the new and renewable energy sector, which is estimated to reach around US$1.5 billion in 2019.

She said that Pertamina welcomes a number of incentives provided by the government particularly as the current drop in the price of crude has posed a serious challenge for the development renewable energy sector.

Editing by Reiner Simanjuntak