Energy Ministry, Geo Dipa Sign MoU on Geothermal

MINISTRY OF ENERGY AND MINERAL RESOURCES

REPUBLIC OF INDONESIA

PRESS RELEASE

NUMBER: 298.Pers/04/SJI/2021

Date: 30 August 2021

Energy Ministry, Geo Dipa Sign MoU on Geothermal

The Geological Agency of the Indonesian Ministry of Energy and Mineral Resources (EMR) and state geothermal energy company PT Geo Dipa Energi (Persero) signed a Memorandum of Understanding on Geological Research and Services for Geothermal Development. The MoU was signed on Monday (30/8) by Head of Geological Agency Eko Budi Lelono and President Director of PT Geo Dipa Energi (Persero) Riki Firmandha Ibrahim.

In his opening remarks, Head of the Geological Agency said that the synergy between the Geological Agency as a government representative and PT Geo Dipa as a Business Entity was crucial to ensure that the public could enjoy the benefits of the existing geothermal resources immediately.

"Just like the important role of geothermal fluids as carriers of thermal energy and minerals from geothermal reservoirs to the surface for use, the synergy of these two institutions is also crucial in the study of geothermal development in Indonesia so that domestic resources and appropriate technology can be used and accepted fully by the community," said Eko.

Geothermal energy is a clean and environmentally friendly source of energy. Therefore, the use of geothermal energy as an energy source is in accordance with Indonesia's commitment to the global collaboration, especially in supporting the main points of the Paris Agreement through the production of cleaner and environmentally friendly energy.

"Indonesia has a variety of energy sources that can be used to realize the country's commitment to the Paris Agreement, for example through the development of geothermal energy," continued Eko.

Eko went on to say that according to the Indonesian Geothermal Potential Distribution Map, as of December 2020, the country has 357 geothermal locations with a total potential of 23,765.5 MWe.

"Of the total 23,765.5 MWe geothermal potential, Indonesia has utilized 2,175.7 MWe (9 percent) for geothermal power plants and is the second best in the world in terms of using geothermal energy for electricity," Eko said.

Director General of New, Renewable Energy and Energy Conservation, Dadan Kusdiana, appreciated the collaboration because the MoU will accelerate the development of geothermal energy. In addition, the Geological Agency has extensive experiences, not only in geological knowledge but also in the execution of field activities, so it has the required competence and capacity.

"We appreciate the efforts to accelerate geothermal development. With innovative and creative ways, we can anticipate a pandemic like this. Geo Dipa's collaboration with the Geological Agency is very fitting. This year, the Geological Agency will conduct exploration of geothermal wells funded by the government. From preparation, collection of funds, to land acquisition, everything can be completed in December," said Dadan.

Dadan pointed out that, besides acceleration, how to make the price of geothermal electricity competitive should also be addressed.

Meanwhile, President Director of PT Geo Dipa Energi (Persero) Riki Firmandha Ibrahim said that the MoU was aimed to facilitate the development of geothermal potential currently carried out by PT Geo Dipa so as to provide benefits for the people.

"The huge geothermal potential in Indonesia needs to be developed massively and in parallel, in accordance with the directive from the minister to us. We must think creatively, innovate, and look for breakthroughs to provide real benefits to the people. Never get tired of working for the benefits of the people," said Riki.

Riki is confident that the government will provide support for the development of new and renewable energy, because the development will contribute to the economic advancement of the community, directly or indirectly.

"In order to support the preparation of the grand strategy of the Ministry of EMR in an effort to fulfill national energy evenly and sustainably, and eventually develop the community's economy, please kindly provide our company with support," Riki concluded. (IY)

Head of Bureau of Communication, Public Information Services, and Cooperation

Agung Pribadi (08112213555)

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