Indonesia to Phase Out Diesel Power Plants in Favour of Solar Energy, Sites Announced
Indonesia’s Ministry of Energy and Mineral Resources (ESDM) has announced that diesel-powered electricity generators (PLTD) across the country will be replaced with renewable energy sources (EBT), particularly solar power plants (PLTS).
Thirty locations have been identified as priority sites for the transition from fossil fuel-based to renewable energy-based generators, replacing previous reliance on petroleum. Deputy Energy Minister Yuliot Tanjung outlined the government’s plan, citing locations such as Simeulue, Nias, Mentawai, and Enggano as priority areas.
“We have prioritised more than 30 locations,” Yuliot stated when met at the ESDM ministry office in Jakarta on 17 March 2026.
The targeted areas are Disadvantaged, Remote and Frontier (3T) regions that currently depend on PLTD as their primary power source and lack connections to broader electrical infrastructure. These regions currently rely heavily on diesel generation and are not connected to the national grid, making this programme part of a broader “dieselisation phase-out” initiative.
The replacement plan represents a continuation of the long-promoted dieselisation phase-out programme and forms part of the broader 100 Gigawatt (GW) solar power programme across Indonesia.
President Prabowo Subianto has instructed Energy Minister Bahlil Lahadalia to “kill off” diesel power plants and transition to domestic energy sources, including solar and geothermal power plants, to optimise the use of domestic energy resources and reduce dependence on fuel imports amid geopolitical uncertainty.
“Given the current geopolitical situation, we cannot guarantee the long-term security of our energy supplies,” Bahlil stated following a limited meeting with President Prabowo at the State Palace on 12 March 2026.
“For this reason, we are maximising all our domestic energy potential and converting fossil-based energy sources where possible.”
According to the 2025-2034 Electricity Supply Business Plan (RUPTL), total new power generation capacity additions are projected at 69.5 GW by 2034, with 42.6 GW (61%) from renewable energy sources and 10.3 GW (15%) from energy storage systems.
Among renewable energy types, solar energy (PLTS) accounts for the largest share at 17.1 GW, followed by hydropower (PLTA) at 11.7 GW, wind power (PLTB) at 7.2 GW, geothermal (PLTP) at 5.2 GW, bioenergy at 0.9 GW, and nuclear power (PLTN) at 0.5 GW.
For energy storage capacity, plans include pumped hydroelectric storage at 4.3 GW and battery storage at 6.0 GW. Fossil fuel generation will continue to be developed at 16.6 GW, comprising natural gas at 10.3 GW and coal at 6.3 GW.