US SUG Solar Inc. And ATW Group Companies Invest IDR 7.5 Trillion In The Solar Panel Industry In Indonesia

Minister of Investment/Head of BKPM Bahlil Lahadalia (left) and Ambassador Extraordinary Plenipotentiary of the Republic of Indonesia to the United States Rosan Perkasa Roeslani (right) in signing the Pre-Cooperation Agreement (photo: dock. between)

JAKARTA - Investment Minister/Head of the Investment Coordinating Board (BKPM) Bahlil Lahadalia ensured the inflow of investments from US companies, SUG Solar Inc., together with ATW Group (Indonesian partners) worth 500 million US dollars (Rp7.5 trillion) built a solar panel and module manufacturing industry in Batang Integrated Industrial Zone (KITB), Central Java. This certainty is contained through the signing of a Pre-Cooperation Agreement between US companies, SUG Solar Inc. together with ATW Group (Indonesian Partners) and Batang Integrated Industrial Zone (KITB) conducted by KITB President Director Ngurah Wirawan, SUG Solar Inc CEO Jim Wood, Founder of ATW Group Antonius Weno, and ATW Group Director Victor Samuel at the Embassy of the Republic of Indonesia for the United States in Washington, DC, USA, Friday 23 June. "This cooperation signing is a form of effort from the Government of Indonesia to encourage energy transition and also the initial process in order to encourage openness between us and the Government of the United States," Bahlil said in a statement in Jakarta, Saturday, June 24. Moreover, the existence of an Inflation Reduction Act (IRA) that can affect the company's investment interest in Indonesia and also in the electric vehicle ecosystem globally. “ We came to America as a form of the Indonesian government's presence to convince American investors to invest in Indonesia. Moreover, the product is not only to be exported to America, but also to other countries. There should be no more perception that it is as if we only focus on investing in certain countries,” he added. Bahlil also added that the implementation of this collaboration was the result of good collaboration and full support from related parties, especially the Embassy of the Republic of Indonesia in Washington, DC, United States. Welcoming this initiative, the Ambassador Extraordinary Plenipotentiary of the Republic of Indonesia to the United States Rosan Perkasa Roeslani said, through extraordinary efforts, as well as meetings with various stakeholders, a concrete agreement can be drawn up, especially in the field of investment.

In addition, there are incentives from the United States Government to companies that invest in partner countries (friendshoring). This agreement is also considered to strengthen cooperation between the Government of Indonesia and the Government of the United States. "This “ the cooperation that will soon be realized, God willing, next year will not only contribute to economic growth but also support the energy transition and also job creation," said Rosan. SUG Solar through its joint venture with ATW Group from Indonesia will build solar panel manufacturing facilities and solar modules with a capacity of up to 5 Giga Watt (GW) with a total investment value plan of 500 million US dollars and will create jobs for around 2,000 Indonesian workers. The United States ranks 6th with the largest investment realization in Indonesia with a total investment of 9.4 billion US dollars (Rp141.5 trillion) during the period 2018 to the first quarter of 2023. The most dominant investment sector from the United States is Mining; Other Services; Electricity, Gas and Water; Chemical and Pharmaceutical Industry; and the Food Industry. Of the total investment realization, there were 5,683 projects that managed to absorb 82,299 workers.