As a renewable, local and environment-friendly source of energy, geothermal offers impressive potential for power and heat generation. In Indonesia, ENGIE is developing a geothermal power plant project at Rantau Dedap in South Sumatra. By next year, this project will be generating power to help meet the country's growing energy needs.
Geothermal technology enables heat to be recovered from hot rocks or reservoirs of steam or hot water deep underground. Heat recovered in this way can be used directly in district heating networks, but it can also be used to generate electrical power. So in the same way as ENGIE is developing heat generation projects in the Paris region via its subsidiary company Cofely Réseaux, the Group is also using geothermal technologies to generate electricity, and has been conducting initial experiments in Indonesia since 2011.
225 km from the South Sumatran capital Palembang, Rantau Dedap is the location of one of the largest high-temperature geothermal exploration sites in Indonesia.
The first drilling projects undertaken in 2012 and 2013 by ENGIE, PT Supreme Energy and Marubeni Corporation have confirmed the existence of a high-temperature reservoir (above 200°C). The first phase of geothermal resource exploitation began last year.
With a target capacity of 240 MW, the project is due to come on stream next year, and is expected to generate geothermal power for more than 30 years, supplying the electricity needs of 500,000 households and reducing carbon dioxide emissions by around 1 million metric tons per year.
Estimated at 40% of world reserves, Indonesia has the greatest potential for geothermal anywhere on Earth. Still underexploited, geothermal is looking like an optimal resource with which to respond to the growing demand for energy demand, and a key enabling factor for the nation's energy transition. Geothermal offers encouraging prospects for controlled energy costs, which have encouraged the Indonesian government to develop plans for exploiting 25% of this resource by 2025.
In addition to Rantau Dedap, ENGIE is also developing two other geothermal exploration projects in Indonesia: the Muaralaboh project in Western Sumatra, and the Rajabasa project at the Southern tip of the island.
In Indonesia, ENGIE is developing a geothermal exploration project on the site of Rantau Dedap, located 225 kilometers from Palembang, the capital of South Sumatra province. This concession was granted to the consortium of ENGIE, PT Supreme Energy and Marubeni. If developed to the targeted capacity of 240 MW, the Project is expected to be able to support a geothermal power generation capacity of over 30 years to provide access to electricity for around 480,000 households and an estimated net reduction in carbon dioxide emissions equivalent to 1.1 million tons per year. ENGIE is also developing two other geothermal exploration projects in Indonesia: one in Muaralaboh in Western Sumatra and one called the Rajabasa project, on the Southern tip of the island. With a hundred and forty active volcanoes, Indonesia has the largest geothermal potential on the planet, with 40% of the world's reserve.