The Energy and Mineral Resources Ministry is considering making the Pertamina subsidiary that runs the geothermal business a separate entity so that the government will be able to exert direct control over its expansion.
The ministry’s director general for new, renewable energy and energy conservation, Rida Mulyana, said separating Pertamina Geothermal Energy (PGE) from the parent company would enable the government to inject funds for expansion.
“We are thinking of how to accelerate development of geothermal projects. PGE already has the capacity and geothermal working areas. However, its expansion still depends on the parent firm and the government currently cannot inject any funds directly,” Rida said.