The Indonesian Geothermal Association (API), also known as Inaga, is\nstriving to accelerate the utilisation of geothermal energy through the\norganisation of the 12th Indonesia International Geothermal Convention\n& Exhibition (IIGCE) 2026. The event will be held from 19-21 August\n2026 at the Jakarta International Convention Center (JICC). This\ninternational-scale forum is intended to expedite the development of\ngeothermal as the primary baseload source to achieve Indonesia\u2019s energy\nindependence and resilience, featuring over 100 global speakers and\nattended by thousands of professionals from various countries.<\/p>\n
API General Chairman Julfi Hadi emphasised that geothermal energy\nplays a crucial role in driving the energy transition while ensuring\nnational energy security. According to him, the current momentum for\ngeothermal development is highly important amid evolving global\ndynamics.<\/p>\n
Compared to previous years, the push to strengthen the energy sector\nis considered much stronger, particularly with global political dynamics\nsuch as conflicts in Iran and Ukraine. These conditions make energy\nsecurity issues increasingly urgent, so Indonesia needs to prioritise\nthe utilisation of domestic resources (indigenous resources) that are\nbaseload in nature, one of which is geothermal.<\/p>\n
In addition, Julfi highlighted the increasingly pressing challenge of\nclimate change. He even described the current situation as a climate\ncatastrophe that demands acceleration of the energy transformation in\nIndonesia. Geothermal energy is seen as a strategic solution because it\nis a clean, stable energy source derived from domestic potential.<\/p>\n
\u201cThe fundamental step is how to accelerate the geothermal potential,\u201d\nhe stated during the IIGCE 2026 launch press conference in Jakarta on\nWednesday (8\/4).<\/p>\n
Julfi assessed that the main problem in geothermal development in\nIndonesia so far lies in the commercial aspect. This has actually been\nunderstood collectively by industry players. In 2024, API, along with\nthe Ministry of Energy and Mineral Resources (ESDM) and consultants,\nconducted a recalculation of the economic viability of geothermal\nprojects.<\/p>\n
The calculation refers to a fair pricing scheme since 2012, including\nthe return rate regulated in regulations, expectations of returns from\ndevelopers (IPP), and the gaps that still exist. Thus, the main issues\nfaced by this industry are considered very clear.<\/p>\n
Based on over 40 years of experience in geothermal development in\nIndonesia, there are several key factors that can drive acceleration in\nthis sector. One of the most important is collaboration. Collaboration\nis needed not only among developers (IPP), but also between IPP and\nservice companies, as well as between business actors and the\ngovernment. In this regard, the government\u2019s role includes the Ministry\nof ESDM, PT PLN (Persero), and the National Energy Council (DEN). With\nstrong collaboration across the entire ecosystem chain, the main\nobstacle in the form of commercial aspects that have long been a\nbottleneck is expected to be overcome and trigger accelerated geothermal\ndevelopment.<\/p>\n
To address these issues, there are two main approaches that can be\ntaken, namely through the role of the government and business actors.\nFrom the government side, more applicable incentives (workable\nincentives) and tariff adjustments that can improve project economics\nare needed.<\/p>\n
One of the expectations at the IIGCE event is strengthening policies\nthrough Presidential Regulation Number 112 of 2022 on the Acceleration\nof Renewable Energy Development for Electricity Provision.<\/p>\n
\u201cThis focuses on improving the tariff scheme and more attractive\nincentives for investors,\u201d said Julfi.<\/p>\n
Meanwhile, from the geothermal developers\u2019 side, the efforts needed\nare to increase efficiency, particularly through reducing capital\nexpenditure (capex) and optimising production. However, reducing capex\ncannot be done sufficiently with a conventional approach that only\nyields limited efficiency.<\/p>\n
According to him, breakthroughs are needed, both through long-term\ncontract strategies, innovations in manufacturing, technology\napplications, and other approaches. On the other hand, production\noptimisation also becomes key to improving overall project\nperformance.<\/p>\n
\u201cThrough IIGCE 2026, we want to strengthen global collaboration to\naddress challenges and leverage opportunities in geothermal development\nin Indonesia and the world,\u201d Julfi asserted.<\/p>\n
Under the theme \u201cEnergy Self-Sufficiency for a Stronger Indonesia:\nGeothermal as The Baseload Driving Energy Transition and Security\u201d,\nIIGCE 2026 arrives at a crucial moment in the national energy transition\nthat encourages all stakeholders to accelerate the utilisation of\ngeothermal potential.<\/p>\n
This forum will serve as a strategic discussion space addressing\nvarious important issues, from technological innovations in exploration\nand drilling, sustainable financing schemes, supportive policies for\nindustry competitiveness, to the contribution of geothermal to\nIndonesia\u2019s net-zero emission targets. In addition, the forum is also\ndesigned to produce concrete policy recommendations and encourage\nstrategic partnerships between domestic and foreign industry\nplayers.<\/p>\n
The government has expressed full support for the organisation of the\nforum.<\/p>\n
Secretary General of the Ministry of ESDM Dadan Kusdiana stated that\ngeothermal is the main key in Indonesia\u2019s energy transition and security\ntowards 2045.<\/p>\n
\u201cIIGCE 2026 becomes an important momentum for Indonesia to showcase\nits commitment and real achievements in geothermal development to the\nworld,\u201d he said.<\/p>\n
Over the three days of the event, IIGCE 2026 will feature high-level\nconferences, interactive panel discussions, exhibitions<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/api-pushes-for-geothermal-energy-utilisation-through-iigce-2026-1775631199", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }