PT Pertamina Geothermal Energy Tbk (PGEO) has started the Lumut Balai Geothermal Power Plant (PLTP) Development Project Unit 3 with a capacity of 55 megawatts (MW).
The project, which is located at the WKP Lumut Balai, South Sumatra, is targeted to be fully operational or commissioning operation date (COD) in 2030.
Director of Operations of PT Pertamina Geothermal Energy Tbk Ahmad Yani said that PGEO also built close synergy with external stakeholders, ranging from local governments, contractors, surrounding communities, PLN, to related government agencies.
"This Kick Off Meeting is an important momentum to ensure the readiness of all aspects of the project, both in terms of technical, licensing, funding, and risk management," he said, Wednesday, January 14.
He added that the development of new and renewable energy in Indonesia is now entering a phase that is increasingly crucial, in line with the national policy direction in the RUPTL period 2025-2034.
"The Lumut Balai Unit 3 PLTP project is determined as part of the government's strategic direction. In addition, this project is also recorded as a strategic project in the 2025-2029 Blue Book of the Ministry of PPN/Bappenas. Through this development, PGE confirms its commitment to strengthening the national geothermal capacity sustainably, while meeting the increasing electricity needs in South Sumatra," he said.
This initiative is a continuation of the Lumut Balai Unit 2 PLTP project with a capacity of 55 MW which has been operating since June 2025.
He also said that the achievement strengthened PGE's steps in approaching the target of self-managed installed capacity of 1 gigawatt (GW) in the next 2-3 years and 1.8 GW in 2033.
In line with this development direction, PGE has identified geothermal potential of up to 3 GW from 10 independently managed Geothermal Working Areas (WKP) as the foundation for long-term development.
In addition to contributing to the electricity supply, geothermal industry also has a strategic role in the national economy.
Throughout 2010-2024, this sector recorded Non-Tax State Revenues (PNBP) of around IDR 21.43 trillion, as well as providing direct benefits for producing areas through the Revenue Sharing Fund (DBH) which reached IDR 10.82 trillion in the period 2019-2024.
This contribution not only increases regional income, but also encourages local economic growth through a multiplier effect.
Currently, PGE manages an installed capacity of 727 MW spread across six operating areas, and is developing a number of other strategic projects, including the Hululais PLTP Units 1 and 2 with a capacity of 110 MW, as well as several co-generation projects in cooperation with PLN Indonesia Power with a total capacity of 230 MW.
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