Indonesia's PGE Targets 1 GW Geothermal Capacity by 2028, Eyes World Leadership

PT Pertamina Geothermal Energy (PGE) is targeting 1 gigawatt (GW) of installed geothermal power capacity by 2028, with plans to reach 1.8 GW by 2038. This ambitious goal supports Indonesia's national objective to lead the world in geothermal power production by 2030. The company's current installed capacity stands at approximately 727 megawatts.

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The target is part of the effort to support the government's target of making Indonesia the largest geothermal power producer in the world by 2030.

PGE has developed a roadmap aligned with the 2025-2034 Electricity Supply Business Plan (RUPTL), which prioritizes new and renewable energy (EBT), including geothermal. The company sees significant opportunity in Indonesia's vast geothermal potential, estimated at 40% of the world's total, to bolster national energy security with clean, sustainable domestic resources. The RUPTL designates around 5.2 GW for geothermal development within the broader renewable energy mix.

Beyond expanding power generation, PGE is exploring new business ventures to leverage geothermal resources. A pilot project for green hydrogen production is underway at the Ulubelu field in Lampung, with operations expected to begin in November 2026. This initiative marks a first step toward building a national hydrogen ecosystem, with potential for commercial development in the coming years. PGE views the growing green hydrogen market as a significant opportunity, given Indonesia's immense geothermal potential.

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Currently, PGE's installed capacity is around 727 megawatts. Our target is to become a company with a capacity of 1 gigawatt in 2028 and 1.8 gigawatts in 2038. The potential we are ready to develop is around 3 gigawatts.

The company is also venturing into green energy for data centers, direct use applications of geothermal heat, and its proprietary FloW2Max technology, which has been marketed internationally. These diversification efforts are intended to create new revenue streams and strengthen PGE's core geothermal business. This year marks a century since the first geothermal well was drilled in Kamojang, West Java, a milestone that PGE aims to use to showcase Indonesia's global leadership in geothermal energy development.

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We see the green hydrogen market will continue to grow. This is an opportunity that must be seized because Indonesia has enormous geothermal potential.