Harnessing the Earth's Potential: Unveiling the Steady Growth of Pertamina Geothermal Energy

Geothermal energy brings the heat, quite literally, by harnessing the Earth's natural warmth to power our lives. Indonesia is blessed with a natural landscape containing 40% of the world’s geothermal potential, and the journey of utilizing geothermal energy to produce electricity began in 1974. Today, PGEO has contributed 80% of the installed capacity in Indonesia.

Energizing green future is an unfaltering endeavor

Geothermal energy taps into the Earth's inner fiery core, using the planet's natural heat to generate electricity and heat our homes. It's like having a free and never-ending supply of warmth right beneath our feet. With geothermal energy, we can bid farewell to carbon-emitting fuels and embrace a future that's greener and more sustainable.

Indonesia sits in the Ring of Fire and thus is one of the world’s geothermal energy centers. Pertamina embarked on this journey of geothermal energy utilization in 1974, upon the discovery of 70 geothermal areas in Indonesia. It was a eureka moment, a realization that harnessing the Earth's untapped thermal energy could change the game. Armed with unwavering determination and a touch of audacity, they set forth to bring their geothermal dreams to life.

Building a geothermal empire is no walk in the park. When we embarked on our ambitious journey, we encountered challenges that were hotter than a scorching lava flow. The initial hurdles came at us from all directions, testing our resilience and resourcefulness. Convincing stakeholders to back our geothermal vision required more than just a persuasive PowerPoint presentation. We had to paint a vivid picture of the untapped potential beneath the Earth's surface and showcase the long-term rewards of renewable energy. But with every setback, we dusted ourselves off, recalibrated our plans, and embraced the challenge with a mix of determination and a commitment to energizing a green future.

The key to a sustainable geothermal operation is a steady growth

The journey of our geothermal power plant development has been marked by remarkable milestones, each representing a significant leap toward a sustainable and greener future. It all began with the inception of the PLTP Kamojang Unit I, followed by the additions of PLTP Kamojang Unit II and Unit III in 1987. The momentum continued with PLTP Sibayak Unit I in 1996 and PLTP Lahendong Unit I in 2001.

In the year 2006, Pertamina took a significant step forward by establishing PT Pertamina Geothermal Energy (PGEO) as its subsidiary. This strategic move solidified Pertamina's unwavering commitment to harnessing the potential of geothermal energy. With a dedicated focus, PGEO was entrusted with the vital task of managing and advancing the development and utilization of Indonesia's abundant geothermal resources. By creating PGEO, Pertamina set in motion a specialized entity solely dedicated to unlocking the power of geothermal energy and propelling Indonesia toward a sustainable and greener future.

Subsequent years witnessed the growth of existing plants, such as PLTP Lahendong Unit II in 2007, PLTP Kamojang Unit IV, and PLTP Sibayak Unit II in 2008, and the commencement of commercial operations for PLTP Lahendong Unit III in 2009.

The years 2011 and 2012 saw the establishment of PLTP Lahendong Unit IV, PLTP Ulubelu Unit I, and PLTP Ulubelu Unit II. PLTP Kamojang Unit V emerged in 2015, followed by PLTP Lahendong Unit V and VI, and PLTP Ulubelu Unit III in 2016. The timeline continued with the addition of PLTP Ulubelu Unit IV in 2017, PLTP Karaha Unit I in 2018, and PLTP Lumut Balai Unit I in 2019. These milestones collectively showcase the industry's growth and commitment to expanding geothermal power generation across various regions.

Currently, PGEO manages 12 Geothermal Working Areas (WKP) and 2 subsidiaries of PGEO manage 2 Geothermal Permits with a total installed capacity of more than 1.9 GW. In February 2023, PGEO listed its shares on Indonesia Stock Exchange to accelerate the realization of its ambitious geothermal development plans.??

Aligning our expansion strategy with the burgeoning trends of geothermal energy

Amidst the global energy transition and Indonesia's drive towards Net Zero 2060, PGEO holds immense significance as a major geothermal energy company. The government's strong emphasis on the new and renewable energy mix amplifies the importance of our role in this transformative initiative.

As the geothermal sector gains momentum, exciting trends and promising opportunities are emerging on the horizon. Rapid advancements in technology, such as enhanced drilling techniques and improved geothermal power plant designs, are revolutionizing the industry. With increasing global emphasis on decarbonization and renewable energy, the geothermal sector is poised for significant growth and adoption.

As for PGEO, we have ambitious plans for further growth and expansion. Building upon our successful projects and expertise, we aim to expand our geothermal operations into new regions, tapping into untapped geothermal resources. Collaborating with strategic partners, we will continue to innovate and optimize our operations, while actively pursuing research and development initiatives to enhance the efficiency and cost-effectiveness of geothermal energy. By leveraging emerging trends and seizing opportunities, we are determined to play a leading role in the geothermal revolution and contribute to a sustainable and greener future.