Indonesian Political, Business & Finance News

PLN Launches Mentari Nusantara I Solar Power Project with 1.225 Gigawatt Capacity

| Source: CNBC Translated from Indonesian | Energy
PLN Launches Mentari Nusantara I Solar Power Project with 1.225 Gigawatt Capacity
Image: CNBC

PT PLN (Persero) has reaffirmed its commitment to accelerating the development of New Renewable Energy (EBT) in Indonesia as part of efforts to support the Net Zero Emission (NZE) target of 2060 or sooner. This is manifested through the launch of the Mentari Nusantara I Solar Power Plant (PLTS) project with a total capacity of 1.225 gigawatts, developed via an integrated procurement scheme titled “GIGA ONE”, with the official tender process commencing on 30 April 2026.

GIGA ONE represents a breakthrough in the model for procuring large-scale renewable energy plants. Through a bundling or consolidation approach that packages multiple projects into one strategic bundle, PLN is promoting more optimal economies of scale and providing greater project certainty for investors.

PLN’s President Director, Darmawan Prasodjo, explained that this integrated procurement approach is designed to hasten the realisation of clean energy projects while enhancing the attractiveness of investments in the national electricity sector.

“Through the GIGA ONE bundling strategy, project procurement is conducted via consolidation in one strategic package. This makes the project’s economic aspects far more bankable, increases project certainty, and renders the procurement to construction process more efficient,” said Darmawan, quoted on Friday (1/5/2026).

According to him, this project not only strengthens the national clean energy mix and supports energy independence but also creates a multiplier effect for the economy, including driving the growth of green jobs.

Meanwhile, PLN’s Director of Project Management and New Renewable Energy, Suroso Isnandar, stated that the procurement of PLTS Mentari Nusantara I via GIGA ONE is a flagship programme that serves as the initial driver in supporting the government’s target to build 100 gigawatts of solar power capacity, as proposed by President Prabowo Subianto.

“Through the GIGA ONE bundling strategy, PLN positions renewable energy as the engine of national industrial growth. This is not merely about building power plants but developing an integrated clean energy industrial ecosystem from upstream to downstream,” explained Suroso.

In addition to accelerating development, the programme is also directed towards increasing the Domestic Component Level (TKDN) and strengthening national energy manufacturing. Thus, the domestic supply chain will become increasingly robust and competitive.

In terms of capacity, the 1.225 gigawatt PLTS Mentari Nusantara I will be distributed across various regions in Indonesia, covering Sumatra (35 MW), Kalimantan (340 MW), Java (600 MW), Sulawesi (50 MW), West Nusa Tenggara (80 MW), and Maluku and Papua (120 MW). All projects are targeted to achieve commercial operation date (COD) in 2029.

Going forward, the GIGA ONE integrated procurement strategy will also be replicated in the development of hydro, wind power plants, and Battery Energy Storage Systems (BESS) in an integrated manner. This step forms part of the transformation of the national electricity sector towards a clean, independent, resilient, and sovereign energy system.

“GIGA ONE becomes a new blueprint for renewable energy procurement in Indonesia and a key milestone in the national energy transition journey,” concluded Suroso.

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