Why South Korea Is Keen to Invest in Indonesia's 100 GW Solar Power

2 hours ago 3

August 27, 2026 | 11:37 pm

TEMPO.CO, Jakarta - South Korean Embassy's Political Section Chief and Counselor, Uhm Taeho, said a South Korean power generation technology provider is interested in participating in Indonesia's 100-gigawatt (GW) solar power plant (PLTS) project. He said the Korean government is keen on partnering with Indonesia in efforts to address climate change, including through solar power generation.

"We always advise against relying solely on one country. Involve countries like Korea. We are an excellent balancer and also have a strong solar industry," Taeho said at the Indonesian Next Generation Journalist Network on Korea (IKJN) workshop in Jakarta on Wednesday, August 26, 2026.

Despite expressing interest, he said there had been no specific discussions regarding South Korea's involvement in the project. But if presented with the opportunity, Korean companies stand ready to contribute technology and capital to the project, he said.

Beyond investment, Taeho said South Korean entities are also willing to recruit local workers for construction project. According to him, knowledge and technology transfer is a common practice for foreigners to provide to host countries.

"We look forward to more concrete discussions regarding opportunities for cooperation in the (renewable energy) sector," Taeho said at the event held by the Foreign Policy Community of Indonesia (FPCI) in collaboration with the Korea Foundation.

Vahd Nabyl Achmad, Head of the Asia-Pacific and Africa Regional Policy Strategy Center at the Indonesian Ministry of Foreign Affairs, said Indonesia is committed to developing alternative energy to substitute coal and fossil-based energy. "For Indonesia, the need to reduce carbon emissions is more than just a moral obligation; it is also driven by the need for market access," Nabyl said at the same event.

Developing clean energy would not be easy amidst geopolitical conflicts, such as the trade war between China and the United States. There are also numerous challenges from an economic, environmental, and welfare perspective. The complex global situation, Nabyl said, influences each country's priorities, including in selecting partners and determining policies.

During his visit to South Korea in April 2026, President Prabowo Subianto discussed opportunities for energy transition cooperation with his South Korean counterpart Lee Jae Myung. 

Announced on April 6, 2026, South Korea plans to increase its renewable energy capacity from the current 37 gigawatts (GW) to 100 GW by 2030. The Indonesian government also demonstrates a similar energy transition vision through the 100 GW Solar Power Plant (PLTS) program launched on August 25.

The Minister of Energy and Mineral Resources, Bahlil Lahadalia, said this mega-electricity project will begin with the construction of 14 solar power plants (PLTS) located in West Java, Central Java, East Java, Bali, the Bangka Belitung Islands, and the Riau Islands. The total capacity is planned to reach 5.3 GWp.

"The total investment for this 100-gigawatt project is around US$73 billion, equivalent to more than Rp1,140 trillion," Bahlil said.

Read: What Indonesia Needs to Hit Its 100 GW Solar Power Goal

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