French power giant Engie Group is partnering with three firms to develop various solar-related projects in Indonesia requiring US$1.25 billion investment.

The largest partnership agreement is with sugar producer Sugar Group for a joint US$1 billion investment in 500MW of solar PV and biomass projects in Sumatra and Eastern Indonesia over five years. Of this, 300MW will be dedicated to solar parks, including a 140MW park in Lampung.

The second partnership is with micro-grid developer Electric Vine Industries to invest US$240 million in building and operating smart PV microgrids for 3,000 villages in the province of Papua over five years. The projects are set to power around 2.5 million people during a 20-year period.

The third is with PT Arya Watala Capital to invest US$15 million in up to 10MW of solar plants in East Nusa Tenggara, the southernmost province, over three years. The projects will be located in 10 different areas in the province on major islands such as West Timor, Flores and Sumba.

Didier Holleaux, executive vice president of Engie Group, said: “Our strategy is to work through an ecosystem of partners to co-develop and scale renewable energy and innovative low-carbon technology solutions to meet the country’s unique energy challenges.”

The three partnership agreements come as part of the Terrawatt Initiative, a non-profit organization that was launched by Engie during COP21, and were signed as part of French President Francois Hollande’s visit to Southeast Asia in late March.

Singapore and Malaysia partnerships

As part of Hollande's visit, Engie has also signed a partnership agreement in Malaysia with Sime Darby on renewable energy.

It has also partnered with utility Senoko Energy and electricity storage group Bolloré to co-develop smart city solutions including energy storage in Singapore and the Asia Pacific region.

Finally, Engie has signed agreements with its R&D arm Engie lab, Nanyang Technological University Singapore and Schneider Electric to work on micro-grid technologies for the region.

Yeoh Keat Chuan, managing director of Singapore Economic Development Board, which will support the projects, said: “The rapid urbanisation in Asia is accelerating the need for smart and sustainable urban solutions. We are pleased that Engie is leveraging Singapore’s strong ecosystem of industry and research partners to develop and commercialise new urban solutions in Singapore to serve this region. These efforts also build on the capabilities of the new Engie Lab Singapore, which was launched last year, and reflects Engie’s growing presence in Singapore.”

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