From Bali, Indonesia embarks on a 100-GWp solar journey

  Bali, one of Indonesia’s best-known tourist destinations, faces a striking paradox, the island has long depended on diesel-fired power plants for electricity while seeking to strengthen its global image as a sustainable destination rich in natural beauty.

Against that backdrop, the central government chose Bali as the site for the groundbreaking ceremony of a national program to develop solar power plants with a total capacity of 100 gigawatt peak (GWp).

President Prabowo Subianto even set aside time to directly kick off the mega-project at the Java-Bali Sea Crossing Operation Monument in Gilimanuk, Jembrana District, on August 25.

“We will build 100 gigawatts, and we are not playing around,” he said at the moment.

The targeted amount may sound fantastic, yet it appears even grander when compared with Indonesia’s current power-generating capacity of 88 GWp, supplied by plants fueled by coal, oil, gas, and geothermal energy.

The president challenged his aides in government to achieve the target by 2029.

Indonesia has thus embarked on an ambitious journey to more than double its power capacity - built over decades of infrastructure expansion - within a notably short span.

It is worth noting that this sheer level of confidence did not emerge out of thin air; it draws precedence from recent national endeavors that proved fruitful despite the odds.

Prabowo pointed to Indonesia’s success in achieving self-sufficiency in multiple food commodities only a year after taking office, beating the four-year target initially set by the government. He now wants to replicate that achievement in the energy sector.

Still, that success story is not the sole driving force behind the ambitious target. The solar energy program was born from careful economic calculations.

Backed by Rp1,140 trillion (around US$62 billion) in potential investment, the initiative is projected to create 5.5 million jobs and cut energy subsidy costs by Rp73.9 trillion (over US$4 billion) annually.

Powering paradise with sunlight

For Bali, being chosen as the stage for the project’s inaugural phase carries both symbolic and practical significance, particularly given the island’s power-generating profile.

Also known as the Island of Gods, Bali has been allocated the largest share - 1 GWp - of the 5.3 GWp targeted for 14 solar power plants to be developed across six provinces in the initial phase.

That allocation took into account the region’s dependence on diesel-sourced electricity, with the State Electricity Company (PLN) projecting that the initiative could reduce diesel fuel consumption by up to 0.6 kiloliters.

On top of that, the government set the share in just a matter of days. The process began with a nighttime discussion involving Energy and Mineral Resources Minister Bahlil Lahadalia, Bali Governor Wayan Koster, and PLN President Director Darmawan Prasodjo on August 22.

President Prabowo approved the quota they proposed the very next day before launching the national program two days later.

The brevity of the process came as a surprise, given that Indonesia’s bureaucracy is often associated with persistent complexity. At the same time, it could be seen as an indication of the government’s growing political priority for Bali’s energy transition.

From Bali’s point of view, the 100 GWp solar power program is precisely what it needs from national leadership to realize its vision of fully transitioning into new and renewable energy by 2030.

The program arrived as the missing piece in the region’s sustainability puzzle, which has long revolved around waste management and environmental conservation to support its green tourism branding.

With 1 GWp of solar energy, Bali stands a chance of cementing its image as a sustainable tourist destination by powering hotels, restaurants, and public facilities with cleaner electricity.

The bigger picture

As a national program, the solar energy project promises Indonesia overarching economic implications beyond Bali.

Indonesia can expect to substitute between US$14.4 billion and US$28.9 billion worth of energy imports while boosting GDP by US$26.6 billion through the generation of 100 GWp of solar power.

The figures make it reasonable to view the mega-project through a lens broader than environmental considerations, as the program can also serve as a strategic instrument for easing the pressure of energy import costs on Indonesia’s trade balance.

PLN has incorporated the ambitious program into the revision of its 2025-2034 Electricity Supply Business Plan (RUPTL). The state-run company is targeting 17 GW of solar power generation in the near term, with supporting facilities to be built on 24,000 hectares of land across Java.

The RUPTL serves as proof that Indonesia’s ambition to generate 100 GW of solar power is genuine. It is not a mere political statement delivered in a ceremonial setting but part of a long-term plan for national energy security.

It is true, however, that the distance between the groundbreaking and the full realization of 100 GWp remains considerable.

Building renewable power plants on such a scale depends on multiple factors, from land availability and supply chain readiness to PLN’s transmission synchronization and consistent funding over the years ahead.

Indonesia’s energy projects have a history of ambitious targets being revised over time. Yet what unfolded in Gilimanuk at the end of August carried a weight that went beyond rhetoric.

An island long celebrated for its natural beauty and cultural wealth, Bali has now begun laying an energy foundation that could better match the sustainable image it has presented to the world.