JAKARTA – PT Terregra Asia Energy Tbk (TGRA), a renewable energy company, has revealed its business outlook for 2025 after suffering from four consecutive quarters of no revenue and mounting losses.

TGRA reportedly plans to acquire six operational Minihydro Power Plants (PLTM) to generate revenue. The company’s management expects the acquisition to be completed by the second quarter of 2025.

"The total capacity of the six operational PLTMs to be acquired is 11MW," said Daniel Tagu Dedo, Director and Corporate Secretary of TGRA, during a Public Expose on December 30, 2024.

This acquisition is expected to cost around IDR 365 billion, which will be financed through a combination of equity financing and loans.

In return, Dedo stated that TGRA expects to generate an average of IDR 54 billion per year from these six PLTMs.

TGRA is also moving forward with the construction of five PLTMs of its own. The Sisira PLTM is scheduled to begin construction in Q1 2025, while the Batang Toru-3 and Batang Toru-4 PLTMs are set for Q3 2025, and the Raisan Naga Timbul and Raisan Huta Dolok PLTMs are slated for Q4 2025.

"The target COD (commercial operation date) for these projects is in Q1, Q3, and Q4 of 2027," Dedo added.

Once completed, these five PLTMs are expected to generate annual revenues of up to IDR 360 billion for the company.

TGRA's difficulties began with its undersubscribed IPO on May 15, 2017, where it raised only IDR 110 billion, far below the IDR 1.5 trillion needed for capital expenditures to build its five PLTMs.

The company’s financial woes deepened following poor investment decisions in Solar Power Plants in Australia and Bali, leading to significant losses.

However, in its latest Public Expose, TGRA stated that it has secured a strategic partner who will act as a standby buyer for the planned rights issue of 38.75 billion shares, targeted for September 2025.

"This investor shares a similar vision and mission with the company, aiming to contribute to the development of renewable energy in Indonesia," said Dedo. (ZH)