Decarbonization requires a transition from fossil fuels to large-scale renewables and electrification of buildings, transport, and industry, all of which demand a modernized grid. JETP will increase investment in grid modernization to support PLN to upgrade hardware, software, processes, skills, and plans. In the long term, grid modernization will enable PLN to increase efficiency, lower energy costs, and support a workforce trained to operate a 21st-century power system.

PLN Leadership

PLN is upgrading the grid infrastructure to accommodate variable and decentralized generation, implementing smart grid solutions, and utilizing advanced forecasting tools to manage renewable energy fluctuations. It is working to modernize, upgrade, and enhance Indonesia’s electrical power grid to make it more reliable, efficient, secure, and flexible. This implementation of advanced technologies and infrastructure improvements will meet the evolving needs of the just energy transition and transform the grid into a more intelligent, adaptable, and sustainable system.

PLN has already made significant progress to achieve energy transition. PLN rolled out smart grid and control systems in several islands. PLN expanded the electric vehicle ecosystem with 600 units of charging stations since. PLN also enabled more renewable energy consumption through green energy as a service.

Impact

Modernizing the power grid will enable Indonesia’s energy transition and clear the path to achieving net zero emissions, energy security, and advanced energy trading. A modernized power system will be more reliable, secure, and resilient to extreme weather events and cyber-attacks. Consumers will also benefit from lower electricity prices and uninterrupted service.