Enviro News Asia, Jakarta — The Indonesian government is targeting an additional power plant capacity of 69.5 GW by 2034. Of this total, approximately 76 percent of the capacity will come from New and Renewable Energy (NRE).
Minister of Energy and Mineral Resources (ESDM), Bahlil Lahadalia, made this announcement during the presentation of the Electricity Supply Business Plan (RUPTL) of PT Perusahaan Listrik Negara (PLN) for 2025–2034 on May 26, 2025.
The preparation of the PLN RUPTL 2025–2034 aligns with the National Energy Policy (KEN) and the National Electricity General Plan (RUKN). The RUPTL also serves as a critical foundation in Indonesia’s efforts to achieve Net Zero Emissions (NZE) by 2060.
“The Paris Agreement commitments regarding energy transition are no longer shared commitments as some countries have withdrawn from the initial pledges. However, we must remain consistent in carrying this out, taking into account our capabilities, energy availability, and economic feasibility,” Bahlil said on Monday (May 26, 2025), as conveyed in his official statement.
Bahlil stated that overall, the government targets an additional power generation capacity of 69.5 GW by 2034. Of this, around 76 percent will come from New and Renewable Energy (NRE) and energy storage systems such as batteries and pumped storage.
In the first five years, 27.9 GW of capacity will be built—consisting of 9.2 GW from gas, 12.2 GW from NRE, 3 GW for storage systems, and 3.5 GW from coal plants already in the final stages of construction.
In the second five-year period, the focus shifts to developing 37.7 GW of NRE and energy storage—equivalent to 90 percent of the planned total capacity. The remaining 3.9 GW will still come from fossil-fuel-based power plants such as coal and gas.
The types of renewable energy plants to be developed include solar (17.1 GW), wind (7.2 GW), geothermal (5.2 GW), hydro (11.7 GW), and bioenergy (0.9 GW). Additionally, new energy sources such as nuclear will begin to be introduced with the construction of two small reactor units in Sumatra and Kalimantan, each with a capacity of 250 MW.
To support distribution and system reliability, the development of electricity infrastructure will also be strengthened. The government targets nearly 48,000 kilometers of transmission lines and substations with a total capacity of 108,000 MVA, spread across Indonesia—from Sumatra to Papua.
“All of this design, if we can complete the transmission networks, there will be no more issues with the renewable energy power plants we plan to build. Because until now, if we build the plants without the grid, PLN ends up paying 80% of the take-or-pay. We must fully support this by building the grid,” Bahlil explained.
In terms of investment, the PLN RUPTL opens opportunities worth IDR 2,967.4 trillion, which will be used for the development of power plants, transmission networks, distribution systems, and rural electrification programs.
Interestingly, around 73 percent of the planned power plant capacity will come from partnerships with private entities or Independent Power Producers (IPPs), while the rest will be managed by the PLN Group.
The implementation of this electricity supply plan is expected to have a positive impact on the economy, including the creation of over 1.7 million new jobs.
These opportunities span various project stages—from planning and construction to operations, including supporting manufacturing sectors. NRE will be the main contributor to job absorption, in line with the transition to a more environmentally friendly energy system.
The PLN RUPTL 2025–2034 is a concrete commitment by the government to improve public welfare through reliable, sustainable, and clean energy-based electricity supply.
This document is expected to provide investment certainty and serve as a grand design for national electricity development over the next decade. It also supports the economic growth target of 8% by 2029 and encourages the creation of new jobs.
The RUPTL 2025–2034 also places significant attention on remote, frontier, and outermost (3T) regions.
Through the Rural Electrification Program (Lisdes), the government targets to electrify 5,758 villages that currently lack access to electricity, by building power plants with a capacity of 394 MW and connecting electricity to around 780,000 households.
This program aims to ensure that all citizens, including those in remote areas, can enjoy 24-hour electricity service.
“For me, energy is not just about needs, but also about equity and justice that we must realize from Aceh to Papua. President Prabowo Subianto has instructed us to immediately install electricity in villages that do not yet have access. We aim to complete this by 2029 and are starting gradually from now,” Bahlil concluded. (*)
