Key facts
- Indonesia plans to develop 100 GW of solar power capacity.
- The target capacity is to be achieved within three years.
- The current installed solar capacity is 1.5 GW.
- The estimated investment for the program is $73 billion.
- The program is expected to create 5.52 million jobs.
- Experts express concerns about the feasibility of the target due to production capacity and infrastructure.
Indonesian President Prabowo Subianto has initiated a significant program aimed at developing 100 gigawatts (GW) of solar power capacity within three years, a substantial increase from the country's current 1.5 GW of installed solar power.
The ambitious project, launched in Bali on August 25, 2026, seeks to reduce Indonesia's dependence on fossil fuels and mitigate rising import costs. The total electricity generation capacity in Indonesia currently stands at approximately 88 GW, primarily from coal, oil, and gas, alongside renewable sources like geothermal energy.
The program's estimated investment is around $73 billion, with projections of saving up to Rp73.9 trillion in annual energy subsidies and creating an estimated 5.52 million job opportunities. The Minister of Energy and Mineral Resources, Bahlil Lahadalia, has expressed readiness to meet the ambitious three-year target.
However, experts like Raditya Wiranegara from the Institute for Essential Services Reform have raised concerns about the feasibility of achieving such a large capacity in a short period. Challenges include the current domestic solar module production capacity of about 14 GW per year and the need for significant imports or factory expansions, which require substantial preparation and logistics. Additionally, Indonesia's existing electricity infrastructure is largely designed for base-load power plants, posing integration challenges for intermittent solar power.