Geothermal Power Investments

The Asian Development Bank (ADB) approved a $180 million loan to PT Geo Dipa Energi to support the development and expansion of geothermal power capacity in Indonesia. The financing is structured to cover exploration, development, and construction phases for designated geothermal projects, with the stated objective of increasing low‑carbon baseload generation and diversifying the country’s energy mix. ADB’s support is intended to de‑risk project delivery through long‑term concessional finance and to mobilise additional public and private sector investment in geothermal infrastructure.

Alongside direct project financing, the programme includes technical assistance components aimed at strengthening institutional capacity, improving environmental and social safeguards, and enhancing operational resilience of geothermal assets. The loan is presented as part of broader efforts to accelerate renewable energy deployment in Indonesia, reduce greenhouse gas emissions from the power sector, and support national energy security by leveraging the country’s substantial geothermal resource endowment.

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