Indonesia Obtains US$ 2.58 billion Investment from AA Power Link Project
On September 23, Australian energy infrastructure company, Sun Cable, announced its US$ 2.58 billion investment to Indonesia for the electricity export from Darwin to Singapore under the Australia-ASEAN Power Link (AA Power Link) project. During the press conference, Coordinating Minister Luhut Binsar Pandjaitan said that such an event shows Indonesia’s support for new renewable energy in ASEAN to decrease carbon emission and creating a better environment. AA Power Link would also procure some parts of Indonesia’s new renewable energy infrastructure, including energy storage system from Indonesian businesses. AA Power Link integrates solar power field, energy storage, and 4,200 km HVDC undersea cable transmission from Australia to Singapore. With the latter, Indonesia is expected to be the central hub of the NRE infrastructure manufacture supply chain.
Sun Cable’s CEO, David Griffin, stated that the said investment consists of US$530 million – 1 billion and US$ 1.58 billion operational costs. Additionally, given the abundant resource of lithium, there is a chance of procurement of electric batteries manufactured in Indonesia for around US$ 600 million valuation. Furthermore, the project scheduled for its construction in early 2024 to 2028 is expected to generate 7,500 job opportunities in the country.
