Arlington, VA – Today, the U.S. Trade and Development Agency announced it has awarded a feasibility study grant to Indonesian national utility PT Perusahaan Listrik Negara (PLN) to facilitate deployment of renewable energy minigrids in five remote sites in Indonesia and develop a replication strategy to deploy similar technology in remote communities across Eastern Indonesia. Texas-based tQ Automation LLC will carry out the study, in partnership with the U.S. Department of Energy’s National Renewable Energy Laboratory under the Net Zero World Initiative.
“Deploying renewable energy at scale has transformative implications for achieving climate goals and assuring access to reliable power. This pilot project with PLN reflects the U.S. commitment to supporting Indonesia’s Just Energy Transition and its economic development ambitions,” said Enoh T. Ebong, USTDA’s Director. “We see immense opportunity to expand clean energy access across Indonesia by connecting PLN and Indonesia to the technical and technology resources available through U.S. partners.”
USTDA’s feasibility study will focus on a preliminary five sites in the Terluar, Terdepan, and Tertinggal regions, which are isolated from Indonesia’s power generation systems and highly reliant on carbon-intensive diesel-fired power plants. The project will help convert five of these diesel-based minigrids to renewable energy as a model for replication. Conversion will support Indonesia’s emissions reduction and energy transition goals and offer a more reliable and cheaper energy option in some of Indonesia’s hardest to reach communities.
“PLN expresses gratitude to USTDA for this new partnership,” said President Director of PLN, Darmawan Prasodjo. “Ensuring a reliable supply of clean power production for our entire population is at the forefront of our policy agenda, and the catalytic impact of this USTDA grant will unlock a multitude of opportunities for both U.S. and Indonesian companies to continue to support our energy transition and broader Government of Indonesia goals.”
Darmawan added: “Collaboration and partnerships are critical to advancing Indonesia’s energy transformation. PLN will continue to maintain relationships with diverse stakeholders with the goal of realizing the energy transition from fossil-based resources to new, renewable, and sustainable energy in Indonesia. Collaboration is crucial for accelerating Indonesia’s energy transition. This partnership is certain to reflect PLN’s objective of boosting the share of renewable energy in Indonesia’s energy mix.”
Charge d’Affaires Michael F. Kleine for U.S. Embassy Jakarta said: “The clean energy transition has never been as important as it is today, and this USTDA grant is a tangible example of the United States’ commitment to decarbonization that advances Indonesia’s climate goals while benefitting island communities across the country.”
USTDA’s assistance advances two critical Biden Administration priorities, the Net Zero World Initiative and the Indonesia Just Energy Transition Partnership. This support also promotes the Partnership for Global Infrastructure and Investment, the Indo-Pacific Economic Framework for Prosperity, and USTDA’s Global Partnership for Climate-Smart Infrastructure.
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The U.S. Trade and Development Agency helps companies create U.S. jobs through the export of U.S. goods and services for priority infrastructure projects in emerging economies. USTDA links U.S. businesses to export opportunities by funding project preparation and partnership building activities that develop sustainable infrastructure and foster economic growth in partner countries.
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