The Just Energy Transition Partnership (JETP) was launched in 2022 by the Government of Indonesia and the International Partners Group (IPG) to promote a just and sustainable energy transition in Indonesia. It includes the Glasgow Financial Alliance for Net Zero (GFANZ) among its international partners. The JETP aims to facilitate the adoption of clean energy sources by providing financial support to accelerate the clean energy transition in Indonesia. This transition is expected to yield significant economic benefits for the country. As part of the implementation of the partnership, the Saguling Floating Solar Power Plant (PLTS) in West Java will be developed by PLN Indonesia Power and ACWA Power. The funding for development, construction, and operation will be provided by the German development finance institution DEG, the French development finance institution PROPARCO, and Standard Chartered Bank. The project resulted in USD60 million being mobilised for JETP Indonesia.
The Saguling Floating Solar Power Plant has a capacity of 92 MWp and is expected to reduce carbon emissions in Indonesia by 63,100 tonnes per year, and will allegedly be able to increase electricity production from solar power in Indonesia by around 13%. The Government of Indonesia is committed to fostering a favourable investment climate for renewable energy development. This commitment will be pursued through regulatory reform, the creation of incentives, and the strengthening of partnerships between the public and private sectors. These measures are integral to the national strategy aimed at achieving Net Zero Emissions by 2060.
