Key insights and market outlook
Indonesia is advancing its energy transition through flexible power generation technology and green innovations led by state-owned enterprises like Pertamina. The country is integrating renewable energy sources with Internal Combustion Engines (ICE) to ensure grid stability while reducing carbon emissions. Pertamina's Green Energy Station (GES) initiative is transforming fuel retail infrastructure by incorporating electric vehicle charging stations, solar power, and battery swapping facilities, supporting Indonesia's Net Zero Emission (NZE) 2060 target.
Indonesia's energy transition is gaining momentum through the adoption of flexible power generation technologies. As the country increases its renewable energy capacity, maintaining grid stability remains a critical challenge. According to Febron Siregar, Sales Director at Wärtsilä Indonesia, modern Internal Combustion Engines (ICE) can play a crucial role in balancing the grid by providing rapid response to fluctuations in renewable energy supply.
ICE technology can operate dynamically, adjusting power output quickly to complement intermittent sources like solar and wind energy. This hybrid approach creates a more resilient and adaptable energy system, enabling greater integration of renewables without compromising reliability.
On the demand side, state-owned enterprise PT Pertamina (Persero) is driving change through its innovative Green Energy Station (GES) concept. Launched in 2022, GES represents a comprehensive approach to clean energy retail infrastructure. These green stations offer not only high-quality fuels but also advanced facilities such as:
The GES initiative is a strategic move to support Indonesia's NZE 2060 target while catering to evolving consumer needs. According to Mars Ega Legowo Putra, CEO of Pertamina Patra Niaga, the green stations are designed to be more than just fueling points - they represent a commitment to sustainable energy practices.
Preliminary assessments show significant environmental benefits from the GES implementation. The use of solar panels at GES locations has been shown to reduce carbon emissions by approximately 556 kg CO₂eq per month, equivalent to the carbon absorption capacity of around 300 trees. As Indonesia continues to expand its GES network across the country, the potential for emissions reduction is substantial.
The combination of flexible generation technologies and innovative retail solutions is creating a robust foundation for Indonesia's energy transition. By leveraging both supply-side flexibility and demand-side innovation, the country is making significant strides towards its clean energy goals. As government support continues and industry collaboration grows, Indonesia is well-positioned to achieve a balanced energy transformation that is both environmentally sustainable and economically viable.
Peluncuran Green Energy Station
Integrasi Energi Terbarukan
Inovasi Infrastruktur Energi