On March 16, Indonesia and the U.S. announced a Memorandum of Understanding (MoU) for the Indonesia-United States Clean Energy Working Group, replacing the MoU Power Working Group signed in 2015. The working groups provide a platform for Indonesian and American public and private sector entities to engage each other areas of mutual interests. Areas of cooperation highlighted under the MoU include small modular reactor (SMR) technology, carbon capture and storage (CCUS), microgrids, and energy storage. The MoU also seeks to support greater investment and job creation between Indonesia and the U.S.
Following the signing of the MoU, Indonesia and the U.S. later announced a strategic partnership to advance the development of Indonesia’s nuclear clean energy program, particularly Indonesia’s goal in SMR technology deployment. The partnership was highlighted as a key deliverable under the Partnership for Global Infrastructure and Investment (PGII). The U.S. Trade and Development Agency (USTDA) awarded a grant to PLN Indonesia Power (Indonesia Power) to assist in assessing the technical and economic viability of a proposed 462-megawatt nuclear power plant in West Kalimantan. The agreement also included US$1 million in new funding for capacity-building for Indonesia. The partnership seeks to advance goals under the Just Energy Transition Partnership (JETP) and Indonesia’s energy security and climate goals as it seeks to reach net zero emissions by 2060.
