Singapore Partnership to Boost Indonesia’s Solar and Geothermal Exports
- VIVA.co.id/Rahmat Fatahillah Ilham
Singapore, VIVA – Indonesian Minister of Energy and Mineral Resources (ESDM), Bahlil Lahadalia, has signed a Memorandum of Understanding (MoU) with Singapore’s Minister for Energy, Science, and Technology, Tan See Leng, to develop a Sustainable Industrial Zone (SIZ) in the Green Area of the Riau Islands (Kepri).
The minister emphasized that this initiative aligns with President Prabowo’s directive to build mutually beneficial cooperation in the clean energy sector.
“We have asked the Singaporean government to seriously consider developing an industrial zone focused on downstream processing based on renewable energy,” minister Lahadalia said in a statement on Tuesday (June 17).
This green industrial area is designed with a comprehensive ecosystem, where clean energy-based cross-border electricity trade will ensure a reliable power supply.
To keep emissions low, Carbon Capture and Storage (CCS) technology will also be implemented, backed by a separate MoU.
Menteri ESDM, Bahlil Lahadalia
- VIVA.co.id/Rahmat Fatahillah Ilham
Minister Lahadalia also remarked that the agreement will open new market opportunities for Indonesia’s solar and geothermal energy sectors.
At the same time, CCS technology offers solutions for industries that are harder to decarbonize.
The Indonesian government hopes that this industrial zone will become a model of low-carbon economic development, capable of creating thousands of new jobs and driving advanced technology transfer.
The minister stressed that downstream processing (hilirisasi) is a key condition in this cooperation. As part of the agreement, Indonesia will be the manufacturing hub for essential components such as solar panels and cables.
“The added value we’re building includes solar panel manufacturing in Indonesia. Even cable production will take place here,” he stated.
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