Indonesia’s Danantara Secures $1.4 Billion for 50 GW Solar Manufacturing Facility

Indonesia’s sovereign investment agency, Danantara, has secured an investment of $1.4 billion (around Rp23.66 trillion) to build a solar manufacturing facility designed to support up to 50 GW of solar power capacity.

Danantara CEO Rosan Perkasa Roeslani said the factory could support the government’s plan to accelerate the development of solar power plants (PLTS) in several villages, particularly those with existing electricity distribution networks.

50 GW Plant To Be Completed This Year

“Coincidentally, there has already been investment in Indonesia, and the construction of a $1.4 billion investment plant with a capacity of 50 gigawatts will be completed this year. So, that’s already been done. The investment has been made, and it will be completed by the end of this year. So, this will also help us utilise our domestic production for this solar power plant project,” said Rosan following a limited meeting with President Prabowo Subianto to discuss the energy transition acceleration efforts at the Indonesian Presidential Palace in Jakarta.

At the Palace, Prabowo Subianto held a limited meeting with the CEO of Danantara, who is also the Minister of Investment and Downstream Development/Head of the Investment Coordinating Board (BKPM), the Minister of Energy and Mineral Resources (ESDM) Bahlil Lahadalia, the President Director of PT Pindad Sigit P Santosa, and the Minister of Higher Education, Science, and Technology Brian Yuliarto. 

During the meeting, the President established a task force to accelerate the transition to new and renewable energy (EBT). The task force is led by ESDM Minister Bahlil Lahadalia.

President Prabowo had also instructed Danantara to study financing options for solar power plant development in several villages across Indonesiaa, Rosan said.

“The President did provide direction to enable this development with several funding options. We were asked to review and study the structure, collaborating with both domestic entities and private parties that possess the technology and capabilities in solar power and batteries. That’s what we discussed earlier; the focus is on that,” added the Danantara CEO.