Sustainable Hydropower

Partner
State Electricity Company (PLN)
Project duration

2017-2030 

Project volume

368 Mio EUR

Location
Kumbih (North Sumatera), Sawangan (North Sulawesi) , Bakaru (South Sulawesi).
Type of funding
Concessional Loan
Project status

Implementation

The aim of the project is to improve the supply of electricity to the Indonesian population through sustainable hydropower in an inclusive, climate and environmentally friendly manner. The project contributes to environmental and climate-damaging emissions by: Sustainable, reliable and comprehensive supply of electricity to the country contributes to the environmentally sustainable development of Indonesia.

Background

The FC module ‘Sustainable Hydropower’ supports the state electricity supplier and project promoter Perusahaan Listrik Negara (PLN) in expanding renewable energy to meet the growing domestic demand for electricity. The project implements investment measures for the construction, expansion or rehabilitation of hydropower plants. Currently, KfW supports three hydropower projects located in North Sumatra (Kumbih), North Sulawesi (Sawanga) and South Sulawesi (Bakaru) which aim to increase the production of clean energy through hydropower and hereby at enhancing energy infrastructure and contributing to Indonesia’s energy security and environmental goals.

State of Implementation

For the Kumbih hydropower project, the loan agreement was signed in December 2017. Since then, the detailed design of the power plant and the construction of the base camp have been completed, setting the stage for the start of construction of the Kumbih hydropower plant, which is expected to be completed by the end of 2027.

The loan agreement for the Bakaru hydropower project was signed with a government guarantee to PLN in 2019. Since then, PLN has signed the contract with the project implementation consultant in 2020 and the feasibility study for the project has been updated. We currently expect the construction of the Bakaru HPP to be completed by the end of 2027.

For the WKW Sawangan site, preliminary work is currently underway and the completion of the feasibility study and the environmental and social study in 2021 will mark a significant milestone in the project development, with the HPP Sawangan planned to be completed by the end of 2030.

Project Publications

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