Indonesia's Renewable Energy Capacity Is Projected To Reach 38.1 GW By 2035

 

Indonesia's renewable energy capacity is projected to reach 38.1 GW by 2035, with solar and wind power dominating the growth.

 

While maintaining a high reliance on thermal power, Indonesia is advancing its clean energy transition. Its cumulative renewable energy capacity is expected to increase from 8.4 GW in 2024 to 38.1 GW in 2035, representing a CAGR of 14.7%.

 

Solar photovoltaic (PV) and onshore wind power will be the main growth drivers. PV capacity will jump from 0.9 GW in 2024 to 23.2 GW in 2035, primarily driven by floating PV, utility-scale projects, and rooftop PV initiatives. Onshore wind power capacity will grow from 0.15 GW to 2.6 GW, supported by competitive bidding and hybrid renewable energy projects in Sulawesi and East Nusa Tenggara. Geothermal power capacity will steadily expand from 2.6 GW to 5.5 GW.

 

This transformation is driven by policy frameworks including the National Energy Policy, the Electricity Supply Operations Plan 2025-2034, and Presidential Regulation No. 112/2022. The Partnership for a Just Energy Transition program sets a target of 44% renewable energy generation by 2030, with the expansion of cross-border transmission networks and the deployment of digital grid systems supporting the large-scale development of renewable energy.

 

Despite the rapid growth of renewable energy, thermal power will still dominate until 2035. Coal-fired power capacity is projected to increase from 55.6 GW to 61.4 GW, and gas-fired power capacity from 29.1 GW to 36 GW, to ensure grid stability and meet growing electricity demand.