Explore the latest trends and actionable insights on the Indonesia Geothermal Power market to inform business strategy and pinpoint opportunities and risks

Power Generation and Cumulative Capacity of Geothermal Power Plants in Indonesia (2017 – 2021)

  • Net electricity generated by Geothermal power plants in Indonesia reached 15,889.5 GWh in 2021, growing 7.1% YoY

  • During the same year, the cumulative capacity of Geothermal power plants in Indonesia reached 2,284.1 MW, growing 7.2% YoY

  • Power generation recorded a historical growth at a CAGR of 5.6% between 2017 and 2021, while the cumulative capacity growth at 6.0% between 2017 and 2021

Power Generation and Cumulative Capacity of Geothermal Power Plants in Indonesia (2017 – 2021)

Published: December 2021
Source: GlobalData

With the increasing demand for energy, rising levels of pollution, fear of global warming, scarcity of fossil fuels, and increasing levels of greenhouse gas (GHG) emissions, many countries opted for sources of clean renewable energy. Several countries signed protocols with pre-defined emission reduction targets. The Paris Agreement is the most recent initiative in this direction, whereby each country voluntarily determined and presented its emission reduction target and pledged to achieve GHG reduction according to this target. Several countries that are party to the Paris Agreement devised plans to reduce conventional power and aid the growth of renewable power to reduce emissions. The main renewable energy sources are Hydro, Geothermal, Wind, Solar, and Biopower. 

Geothermal energy is the thermal energy formed in Earth’s crust due to radioactive decay of material. This energy is extracted using a geothermal heat pump where water or anti-freeze solution is pumped in to absorb the heat and then converted to electricity using turbines. Geothermal energy only produces one-sixth of carbon dioxide in comparison to a natural gas powerplant and is constantly available unlike other renewable sources such as solar and wind. 

 Indonesia is one of the five major producers of geothermal energy, along with Turkey, the Philippines, New Zealand, and the US. The cumulative installed capacity for geothermal power in Indonesia was 1,808 MW in 2017 which increased to 2,284 MW by 2021, growing at a CAGR of 6.0%. It is expected to reach 5,873 MW by 2030, growing at a CAGR of 10.67% during 2020 and 2030. The geothermal power generation increased to 15.889 TWh in 2021 and is expected to further increase to 40.758 TWh by 2030.    

The Indonesian government is committed to encouraging the use of New and Renewable Energy in the national energy mix by 23% by 2025. In 2019 only about 9.4% of generation and 6.8% of installed capacity is from renewable sources, and 45.3% of this renewable capacity was produced from geothermal power. Other renewable technologies, namely wind, solar PV, small hydro and biomass, have small installed capacities and are expected to show slow growth over the next five years. This can be attributed to the large availability of geothermal potential in the country. 

Explore the latest trends and actionable insights on the Indonesia Geothermal Power market to inform business strategy and pinpoint opportunities and risks Explore the latest trends and actionable insights on the Indonesia Geothermal Power market to inform business strategy and pinpoint opportunities and risks Visit Report Store
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