Japan's Jera starts subsidiary in Indonesia

Japan’s Jera on August 9 announced the commencement of full-scale operations by its subsidiary, Jera Energi Indonesia (Jera EI).

Jera EI will conduct market research guided by the insights derived from the country's decarbonation roadmap. This includes identifying and selecting partner companies, evaluating independent power producer (IPP) initiatives, exploring LNG-to-power projects, and promoting renewable energy ventures.

Furthermore, Jera EI will facilitate business opportunities by fostering relationships with relevant ministries, government agencies, Indonesia's state-owned power corporation, and local energy enterprises.

According to Jera, Indonesia's growing economy and increasing electrification rate have led to a surge in electricity demand. However, the country's heavy reliance on coal-fired thermal power generation raises concerns about escalating greenhouse gas emissions. Balancing the imperative of sustaining economic growth with the urgent need for decarbonisation presents a significant challenge, Jera said.

Jera said it is actively collaborating with stakeholders to formulate tailored decarbonisation roadmaps for each country or region. Within Indonesia, Jera is working on shaping a decarbonisation roadmap that delineates the optimal energy mix and power supply system aligned with the nation's goals.