Indonesia has significant geothermal resources, but converting underground heat into a commercially operating power project requires more than resource potential. A developer must establish a route through which the electricity can enter the grid, reach customers, and generate long-term revenue.
Indonesia’s geothermal resources offer significant opportunities for reliable, low-carbon electricity generation. However, for investors, resource potential alone does not determine whether a geothermal project is commercially attractive.
A geothermal prospect may contain promising geological indicators, but resource potential alone does not make it an investable power project. Before electricity can be generated and sold, the opportunity must progress through a series of technical, regulatory, commercial, and financing decisions.