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Indonesia

Indonesia

Vestas to supply Indonesia's first wind projects

DENMARK: Vestas is to supply turbines for a 60MW wind farm in Indonesia, following the signing of a power purchase agreement (PPA) with government-owned electricity company PLN, by a consortium that includes the turbine supplier.

Vestas' V126 turbines will be used at the Jeneponto 1 site
Vestas' V126 turbines will be used at the Jeneponto 1 site

Equis, a Singapore-based investment fund group financing renewable and conventional energy projects in Asia-Pacific, is leading the consortium. At the signing, Vestas also signed a conditional agreement to supply wind turbines for the project.

The wind farm will be built in the South Sulawesi province. It is the second Indonesian wind project announced that will use Vestas turbines.

Earlier this year Asia Green Capital confirmed that the turbine maker is the engineering, procurement and construction (EPC) contractor on the 62MW Jeneponto 1 wind project, which is also being built in South Sulawesi.

Asia Green Capital is still negotiating its PPA with PLN for this project but expects to sign by the end of October.

Construction of Jeneponto 1 site is expected to start before the end of 2016 and use ten Vestas V126-3.3MW and nine Vestas V117-3.3MW turbines.

The Indonesian government has set itself a target of 35GW of additional energy capacity, as the country has one of the lowest electricity supply levels in the world, with more than 15% of the population without access to electricity.

Of this amount renewable energy must supply around 23%, equivalent to 8GW, by 2020. Wind and solar photovoltaics are both competitive with conventional fuel.

Asia Green Capital is one of the largest independent power producers (IPP) in Indonesia, along with UPC Renewables, and is the only IPP developing projects in south-east Asia's main economies, including Thailand, the Philippines and Vietnam.

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