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Indonesia approves 50-MW solar project to help power its upcoming new capital

by Warren
December 12, 2025
Indonesia approves new solar project

Credits: Aldward Castillo on Unsplash

Gastech

Renewable energy production has been washing over the international energy market in recent years, with a myriad of nations aiming to increase clean energy production while keeping a close eye on emissions. The Asian market has embraced the renewable energy sector with open arms, and now, Indonesia has taken a major step forward as the nation aims to power its new capital city with vast amounts of solar power paired with an efficient battery storage system. Indonesia’s ambitions are to become a powerhouse in the renewable energy market through the new 50 MW solar and BESS project.

Indonesia’s shiny new capital city will be powered by renewable energy from solar power

Indonesia’s new capital city, Ibu Kota Nusantara, will be powered by the all-new solar plus storage project that was developed by State utility PLN and renewables company Sembcorp. The project is the first co-located solar PV and battery energy storage system, with a 50MW solar plant and 14.2MWh BESS. Notably, the project will span 87 hectares and produce 92.8GWh of renewable energy to power the new Indonesian capital.

The project was inaugurated by Indonesia’s President Prabowo Subianto alongside a litany of other energy projects. PLN, the nation’s state-owned utility, has been developing the project to reduce emissions and boost the nation’s renewable energy sector. The project will build on regional trends that have seen the solar and wind market making drastic leaps forward as the vast majority of Asian nations aim to boost reliance on clean energy.

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PLN’s subsidiary, PLN Nusantara Power, has committed to reshaping Indonesia’s energy output

PLN’s leadership has noted that the project aims to drastically reshape the regional energy output and increase energy security in a nation where land is at a premium. PLN President Director Darmawan Prasodjo has reaffirmed the company’s commitment to help the government power its new capital city entirely through renewable energy resources, which would be a landmark achievement for any nation.

“Energy transition is not only aimed at reducing emissions but also at balancing growth and environmental sustainability.” – PLN President Director Darmawan Prasodjo

The new capital city’s solar plant will power Indonesia’s ambitions for a cleaner energy market

PLN Nusantara has noted that the new solar project will increase the nation’s clean energy output, which will position the Asian nation as an exemplar of how to efficiently transition away from fossil fuel dependency towards the growing solar power market in the region. The new solar plant in the capital city will generate 92.8 million kilowatt-hours of clean solar power annually, and help the nation avoid over 44,000 tons of CO2 emissions every year.

Singapore-based Infrastructure Credit Platform Clifford Capital and SocGen acted as the lenders for the Indonesian project, and PLN will act as the main offtake buyer of the electricity produced at the new solar plus storage facility. Other nations in the region have expressed similar ambitions to boost energy output from the renewable energy sector, such as Renova’s 85 MW solar project in the Philippines.

Indonesia is fostering a new energy future that will power its fantastic new capital city

Indonesia clearly has plans to become a major player in the renewable energy market in Asia. Its new capital city will become one of the first cities anywhere in the world that will be powered entirely by renewable energy, paving the way towards a new era of clean energy usage in a country that spans across many islands. Asia’s embrace of the renewable energy market has been a sight to behold, with Uzbekistan entering the solar plus storage sector through a substantial loan from the Asian Development Bank, exemplifying the region’s positive sentiment towards the renewable energy market overall.

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