Expected ROI of wind solar storage project in Indonesia 2025

Why is wind energy important in Indonesia?

One form of renewable energy that has received special attention is wind energy. In the context of Indonesia, an archipelago with significant wind potential, the utilization of wind energy becomes strategic to achieve energy sustainability targets and to reduce the negative impacts of climate change.

Could offshore wind energy develop in Indonesia?

government is also exploring the possibility of offshore wind energy development, which could tap into stronger and more consistent wind resources. The primary challenges for wind energy development in Indonesia include site selection, infrastructure development, and high initial investment costs.

Could solar and wind be the backbone of Indonesia's energy transition?

However, advancements in energy storage technology, such as battery energy storage systems and grid-forming inverters, could enable solar and wind, together boasting a technical potential of 3.4 TW, to serve as the backbone of Indonesia’s energy transition.

What are the challenges for wind energy development in Indonesia?

The primary challenges for wind energy development in Indonesia include site selection, infrastructure development, and high initial investment costs. Many of the best wind resources are located in remote or mountainous areas, which pose logistical challenges for the construction and maintenance of wind farms.

Is wind energy utilization fulfilling the expectations in Indonesia?

Based on the research, it has become clear that so far wind energy utilization is not yet fulfilling the expectations in Indonesia.

What is Indonesia doing with its energy storage capacity?

Indonesia is currently building on its storage capacity through the planned/ongoing installation of 5 MW battery energy storage systems (BESS), linked to PLN’s renewable sites. Indonesia is also building its first utility-scale integrated solar and energy storage project in Nusantara.