JAKARTA. French multinational company Alstom SA has been awarded a 61 million euro contract by PT Pertamina Geothermal Energy, a subsidiary of state oil and gas firm Pertamina, to supply and install a 30-megawatt geothermal plant for the Karaha power plant in West Java.

Alstom will design, supply, install and commission the entire power plant and the project will be delivered by the end of 2016, according to statement by Alstom.

Indonesia, with its unique geology, houses the world’s largest potential geothermal source, which is estimated to be nearly 30,000 MW. However, recent figures indicated that Indonesia is not harnessing the potential of geothermal energy, with the source contributing only 5 percent of its estimated capacity into the power mix.

The government, in looking to reduce overall greenhouse gas emissions and leverage on the huge geothermal reserves, made the decision to fast-track the development of its power industry and has signed numerous geothermal-related contracts in the last few years.

“We are delighted to play a key role in helping Indonesia achieve its energy goals,” said Maurice Dres, country president of Alstom Indonesia. “This installation reinforces Alstom’s continued commitment to the geothermal markets and the importance of this renewable fuel source”.

Editor: Hendra Gunawan