Australia supports Indonesia with grant for geothermal policy

The Memorandum of Understanding (MoU) supports a green paper strategy developed by Indonesia’s Finance Ministry’s Fiscal Policy Office (BKF).

Australia will provide support in the form of a grant worth A$2.5bn ($2.05bn).

Indonesia, a vast archipelago that houses hundreds of volcanoes and at least 40% of the world’s geothermal potential, is hoping to tap into this renewable source of energy.

“The government’s aim to add 4,000 megawatt (MW) of geothermal capacity from the existing 1,189MW by 2014 is truly challenging,” says Surya Darma, Indonesia’s Geothermal Association chief.

Analysts