In recent years, Chinese enterprises have actively participated in Indonesia’s clean energy development, delivering major projects that boost the country’s sustainable growth and create new opportunities for bilateral cooperation.
Landmark geothermal project powers up in Sumatra
At the Lumut Balai volcano in South Sumatra, Indonesia, the Phase II 55-megawatt geothermal power project, jointly developed by SEPCOIII, a subsidiary of Power Construction Corporation of China (POWERCHINA) and Indonesia’s state-owned Pertamina, recently completed its first grid connection.
Indonesia is the world’s second-largest geothermal power producer, with over 40 percent of the world’s geothermal reserves but only 2.6 GW in use.
The Lumut Balai Phase II 55-megawatt geothermal project is part of Indonesia’s national strategic plan and plays a important role in the country’s target to raise capacity to 7.9 GW by 2035.
It is the largest geothermal power plant contracted by a Chinese enterprise in Indonesia and a model for scaled-up cooperation, marking a breakthrough in both project management and technical delivery.
The Chinese team implemented a “mentorship” system, pairing technical experts with local staff for one-on-one training in blueprint reading, quality control, and safety standards.
Beyond mentorship, the team also launched a local youth skill enhancement program, offering specialized training in electrical work, equipment installation, and workplace safety. The project has created over 1,000 jobs and trained nearly 100 Indonesian technicians in geothermal construction.
Upon completion, the plant is expected to reduce carbon dioxide emissions by up to 580,000 tons annually.
Hydropower dam enhances clean energy supply
In late March, the Batang Toru Hydropower Dam in North Sumatra reached full structural completion, marking a key milestone in preparations for power generation.
The Batang Toru Hydropower Dam under construction in North Sumatra [Photo/sasac.gov.cn]
Jointly built by POWERCHINA’s Sinohydro Bureau 10 Co., Ltd. and Beijing Engineering Corporation Limited, the dam is located 400 kilometers from Medan, capital of North Sumatra Province. It is Indonesia’s largest hydropower station under construction. Construction of the dam’s main structure began in January 2022, with water storage scheduled for July and commissioning by year’s end.
With an installed capacity of 510 MW, the plant is expected to generate 2.228 billion kWh annually. It is also expected to reduce annual carbon emissions by over 1 million tons.
During construction and future operations, the project is expected to create over 4,000 jobs and stimulate growth in local industries such as equipment, logistics, and services. The team has also worked closely with the Indonesian Ministry of Manpower to provide training in high-altitude operations and other technical fields.
Solar farm boosts industrial competitiveness
The Karawang 100 MW solar photovoltaic project, located in Karawang Industrial Park in West Java, is Indonesia’s largest onshore solar project to date.
A view of the Karawang 100 MW solar photovoltaic project [Photo/sasac.gov.cn]
Covering about 80 hectares with a planned direct current capacity of 100.78 MW, the plant consists of five sections and 24 power generation units. Built by POWERCHINA Hubei Engineering Co., Ltd., the project was connected to the grid in July 2024 and officially launched in August.
The solar farm can generate over 150 million kWh annually, enough to power roughly 112,000 households. It is expected to cut carbon dioxide emissions by 114,700 tons and save 58,400 tons of standard coal each year.
(Executive editor: Yuan Ting)
