Julfi Hadi, President Director of PGEO, mentioned that this agreement is a strategic measure that will enhace the synergy between the company and PLN IP. It is also said to be the company's attempt in attaining installed capacity target of 1 GW. 

"We believe that this collaboration will accelerate the development of more efficient and sustainable geothermal projects as one of PGE's strategies to attain 1 GW within the past next two years," Hadi explained in the official statement.

Prior to this, PGEO and PLN IP had signed an initial cooperation agreement in the form of Joint Development Study Agreement (JDSA) back in February 2024.

In this initial phase of JDA, PGEO and PLN IP will focus on developments of co-generation projects in geothermal work area of Ulubelu Binary Unit and Lahendong Binary Unit. The development of both work areas is projected to increase installed capacity by 15 to 30 MW.

For the next step, PGEO and PLN IP are committed to wrap up Power Purchase Agreement (PPA) faster and in a more efficient fashion. "We hope that JDA might be the model for other renewable energy projects in Indonesia. With solid synergy and collaboration, we can reach our joint objectives to generate a future of more sustainable energy," said Hadi. (KR/ZH)