Indonesian Political, Business & Finance News

Sarulla Geothermal Plant Production Expected to Rise to Full Capacity with Additional Investment

| Source: CNBC Translated from Indonesian | Energy
Sarulla Geothermal Plant Production Expected to Rise to Full Capacity with Additional Investment
Image: CNBC

The government is targeting the production of the Sarulla Geothermal Power Plant (PLTP) in North Tapanuli Regency, North Sumatra, to return to its installed capacity of 330 megawatts (MW) by 2027–2028. This will be achieved through the completion of administrative processes and additional investment of around US$270 million.

Deputy Minister of Energy and Mineral Resources (ESDM) Yuliot said the government would first complete all administrative processes by October 2026. After that, focus would shift to increasing the production capacity of the plant, which is currently not operating optimally.

“First, on the administrative side, we will complete it by October 2026. Once the administrative matters are settled, in 2027–2028 we will pursue increased production capacity,” said Yuliot after a meeting at the Sarulla PLTP in North Tapanuli Regency, North Sumatra, quoted from a written statement on Monday (3/8/2026).

Yuliot estimated that restoring the Sarulla PLTP’s capacity would require additional investment of around US$270 million. The investment would be directed at returning the plant’s production capability to its installed capacity of 330 MW.

“New additional investment of an estimated US$270 million is needed to restore capacity to 330 MW, out of an available potential of 1,100 MW,” he said.

In geothermal field operations, changes in steam pressure are one of the technical challenges that must be managed on an ongoing basis. This has caused the Sarulla PLTP’s current production capacity to stand at around 220 MW, below its installed capacity of 330 MW.

The government, together with the operator, has prepared administrative resolution steps and an investment plan to restore the plant’s capacity. Once existing capacity returns to optimal levels, further investment is planned to be carried out in stages to support the utilisation of the available geothermal potential.

The Sarulla PLTP is located in the Pahae Julu and Pahae Jae districts of North Tapanuli Regency, North Sumatra. The plant is operated by the Sarulla Operations Ltd. (SOL) consortium.

The Sarulla PLTP has an installed capacity of 330 MW, divided across three units of 110 MW each. The Silangkitang (SIL) unit began commercial operation in March 2017. The Namora-I-Langit 1 (NIL-1) unit has been operating since October 2017, while the Namora-I-Langit 2 (NIL-2) unit commenced operations in May 2018.

The Sarulla PLTP is one of Indonesia’s strategic geothermal assets. With a resource potential of around 1,100 MW, strengthening the management of the field is expected not only to restore the existing plant’s capacity but also to support the development of clean energy as part of efforts to bolster national energy security.

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