Transition to Low Carbon Energy
MedcoEnergi's Transition to Low Carbon Energy strategy serves as a roadmap for aligning our business with the evolving energy landscape. This strategy prioritizes a pivot from fossil-based fuels towards renewable energy sources, ultimately contributing to a low-carbon future. In recognition of natural gas' role as a bridge fuel during this energy transition, we are strategically expanding our natural gas production capacity while simultaneously building a robust renewable energy portfolio. This approach allows us to address the region's growing energy demand while mitigating our environmental footprint.
MedcoEnergi is committed to augmenting our electricity supply portfolio through the strategic expansion of gas-fired power generation. The following section details our achievements in gas infrastructure development throughout 2024:
2x35 MW (Existing) +
39 MW (Add-on)
Energi Listrik Batam
Batam - Owned and operated by PT Energi Listrik Batam (ELB)
- The Simple Cycle Power Plant (SCPP) has been operating since 2017
- Currently installing a 39 MW Combined Cycle Add-on
- The Add-on is considered an energy conservation project, utilising exhaust energy to produce additional electricity
- The Add-on plans to reach COD in Q3 2025
85 MW (Existing) +
Potential Expansion
Dalle Energy Batam
Batam - Owned and operated by Dalle Energy Batam (DEB)
- Current capacity of 85 MW with plan to expand its capacity as required by Batam grid system
2x35 MW (Existing) +
39 MW (Add-on)
Energi Listrik Batam
Batam - Owned and operated by PT Energi Listrik Batam (ELB)
- The Simple Cycle Power Plant (SCPP) has been operating since 2017
- Currently installing a 39 MW Combined Cycle Add-on
- The Add-on is considered an energy conservation project, utilising exhaust energy to produce additional electricity
- The Add-on plans to reach COD in Q3 2025
85 MW (Existing) +
Potential Expansion
Dalle Energy Batam
Batam - Owned and operated by Dalle Energy Batam (DEB)
- Current capacity of 85 MW with plan to expand its capacity as required by Batam grid system
Geothermal Projects
MedcoEnergi through its subsidiary, Medco Power, is actively expanding its geothermal capacity in Indonesia based on its commitment to deliver clean and reliable energy. Below are the highlights of our key geothermal projects:
110 MW
Ijen Geothermal (Phase 1)
East Java - Owned & operated by Medco Cahaya Geothermal O&M services by Medco Power Geothermal Services
- Potentially reduces 235,000 tCO2e/year
- Technical commissioning of Phase-1 (35 MW) achieved in December 2024, and COD in Q1 2025
- New O&M contract for Phase-1 until 2030
60 MW
Bonjol Geothermal
West Sumatra - Drilling preparation was completed in Q4 2024, with drilling set to begin in Q3 2025
40 MW
Samosir Geothermal
North Sumatra - Appointed as the Preliminary Survey & Exploration (PSPE) license holder
110 MW
Ijen Geothermal (Phase 1)
East Java - Owned & operated by Medco Cahaya Geothermal O&M services by Medco Power Geothermal Services
- Potentially reduces 235,000 tCO2e/year
- Technical commissioning of Phase-1 (35 MW) achieved in December 2024, and COD in Q1 2025
- New O&M contract for Phase-1 until 2030
60 MW
Bonjol Geothermal
West Sumatra - Drilling preparation was completed in Q4 2024, with drilling set to begin in Q3 2025
40 MW
Samosir Geothermal
North Sumatra - Appointed as the Preliminary Survey & Exploration (PSPE) license holder
Solar Photovoltaic (PV) Projects
We have continued to expand our solar PV portfolio, with the following highlights for our projects as of 2024:
| Project | Progress in 2024 |
|---|---|
| East Bali Solar PV Project (25 MWp) |
|
| Bulan Solar PV Project (>2,000 MWp) |
|
MedcoEnergi's onshore assets in the South Sumatra Block, Rimau, and Lematang have successfully completed a series of decarbonization initiatives. These initiatives encompass process efficiency enhancements, solar photovoltaic (PV) installations, and facility footprint reductions. Our offshore assets are also making significant progress in their decarbonization efforts, focusing on operational improvements and the integration of solar PV technology.
Mini Hydropower
MedcoEnergi leverages its subsidiary, PT Medco Hidro Indonesia, to operate two mini hydropower plants in Cianjur, West Java. These facilities, Cibalapulang and Pusaka Parahiangan, boast a combined capacity of 18 MW.
Wind Energy Project
To support future wind development, Medco Power is studying potential wind opportunities in West Sumbawa for captive market and PLN.
Electric Vehicles
We are expanding our electric vehicle (EV) ecosystem, which includes EVs and charging infrastructure in Jakarta, Pekanbaru, and Batam. In 2024, we developed a fast-charging Electric Vehicle Charging Unit (EVCU) at The Energy Building.
CCS and CCUS
MedcoEnergi is fostering strategic collaborations with various industry leaders to explore and implement best-in-class decarbonization technologies. The following table provides an overview of some key developments within these partnerships:
| Carbon Capture and Storage (CCS) and Carbon Capture, Utilisation and Storage (CCUS) | |
|---|---|
| Explore potential opportunities for adopting CCS and CCUS technologies | Established an interim target of launching an upstream CCS Pilot Project by 2025, and committed to strengthening our strategic partnerships to explore CCS business opportunities |
| Contributed to the development of CCS and CCUS regulations through our involvement with the IPA and relevant task forces organised by the Indonesian government | Green Hydrogen |
| Signed an MOU with Sembcorp to explore opportunities in utilising green hydrogen as an energy source | |