The 35-MW Ijen geothermal power plant in East Java, Indonesia

PT Medco Cahaya Geothermal (PT MCG) has officially announced the start of commercial operations of the 35-MW Ijen Geothermal Power Plant (PLTP), making it the first geothermal power facility in the East Java region of Indonesia.

Electricity from the Ijen geothermal power plant will be supplied to the Java power grid based on a 3-year power purchase agreement. The project is supported by 83 transmission towers and 150 kV of transmission lines. Around 85,000 households connected to the Java-Bali system will benefit from electricity from the Ijen power plant.

The project has received financial support from PT Sarana Multi Infrastruktur (Persero) (SMI), as well as the U.S. International Development Finance Corporation (DFC). Commercial operations of the facility was initially targeted by the end of 2024.

PT MCG is a joint venture between PT Medco Power Indonesia (Medco Power) and Ormat Technologies. Ijen will now be the second geothermal facility of Medco Power after Sarulla in North Sumatra. The company is also evaluating the geothermal potential of Bonjol in West Sumatra, and Samosir in North Sumatra.

“The success of the Ijen PLTP development shows Medco Power’s ability to utilize Indonesia’s geothermal resources using the latest technology. This achievement strengthens our commitment to expanding our renewable energy portfolio and underlines our dedication to supporting Indonesia’s plan to accelerate the development of renewable energy,” said Eka Satria, President Director of Medco Power.

“The commencement of operations at the Ijen Geothermal Power Plant underscores MedcoEnergi’s dedication to providing sustainable energy solutions. This project is also an important part of our roadmap to achieve Net Zero Emission for Scope 1 and 2 by 2050, and Scope 3 by 2060, and supports Indonesia’s energy security and climate goals,” added Roberto Lorato, CEO of MedcoEnergi.