China Guodian Corporation, one of China's largest utilities by revenue, is looking to invest in a 50 MW utility-scale solar project in Indonesia, two sources familiar told Infralogic.
The company is assessing the feasibility of the planned power generator, which will be located in Indonesia’s future new capital city of Nusantara. It also is seeking legal and financial advisors.
Nusantara, to be inaugurated on 17 August 2024, will replace Jakarta as the Indonesian national capital, a position the latter has held since independence in 1945.
China Guodian will sell the electricity to the state grid.
The company, which has been investing in projects across Belt and Road countries, is among an increasing number of Chinese energy investors active in Indonesia. It is also evaluating the feasibility of the development of a 100 MW floating solar project in East Java province, Java island.
The others include China Huadian Corporation, which is looking to develop a 90 MW hydropower project in South Sulawesi province, as well as China Huaneng Group, which is exploring greenfield hydropower opportunities on Sulawesi Island. The demand for power here is from the mining industry.
Indonesia generates about 63% of its electricity from coal, 18% from natural gas, 7% from hydropower and 10% from non-hydro renewables, according to a report by the International Energy Agency issued last year. The country aims to have 23% of its power sourced from renewables by 2025, increasing to 31% by 2050.
Guodian did not reply to a request for comment.
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