EDC ramps up geothermal development in Indonesia

MANILA, Philippines — Lopez-led Energy Development Corp. (EDC) has entered into a joint venture with Jakarta-based PT Dian Swastatika Sentosa (DSSA) to accelerate its geothermal expansion in Indonesia.

EDC, through FirstGen Geothermal Indonesia, has signed a strategic deal with DSSA unit PT DSSR Daya Mas Sakti (DSSR) to harness around 440 megawatts (MW) of geothermal potential in the Southeast Asian country.

The joint venture is set to focus on building geothermal resources across six strategic fields in the provinces of West Java, Flores, Jambi, Sumatra and Central Sulawesi.

“By combining EDC’s global capabilities with DSSR’s strong local presence, this joint venture will not only develop projects but also build capacity and transfer knowledge that will leave a lasting impact on Indonesia’s renewable energy sector,” EDC vice chairman and CEO Francis Giles Puno said.

Indonesia is the world’s second-largest geothermal producer, accounting for around 40 percent of the total global geothermal reserves.

The country sits on a massive geothermal potential of around 24 gigawatts. However, only 10 percent of it has been developed, according to EDC.

“This agreement goes beyond investment. It is a strategic collaboration to bring world-class knowledge and best practices from EDC to Indonesia,” DSSR president director Lokita Prasetya said.

“Our goal is to strengthen national capacity in geothermal development and to fully harness the country’s natural potential for clean energy,” Prasetya added.

DSSR is engaged in the geothermal power business. Its parent, DSSA, is an energy and infrastructure company that operates across multiple business segments.

EDC, on the other hand, is the Philippines’ largest geothermal player, operating at least 13 power plants with a combined capacity of over 1,000 MW.