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Preview: August 2012 Issue
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DEEP HEAT: GEOTHERMAL MARKET STEAMS UP IN INDONESIA & THE PHILIPPINES
Located in the Ring of Fire, Philippines and Indonesia have two of the world’s largest geothermal resource after the United States. In the former, geothermal energy already provides 27% of the electricity produced by the country’s power plants. Indonesia has 40% of the world’s potential geothermal resources, estimated at 28,000 MW, much of it untapped.
Indonesia’s National Energy Policy states that by 2025, the country will derive 9.5 GW of power from geothermal sources. Considering that it is hugely expensive to develop a geothermal plant, the country will require foreign investment. But for investors to plough in capital, they need a clear roadmap, policies and incentives.
