Indonesia is located on the Pacific Ring of Fire and has at least 127 volcanoes and 40% of the world’s geothermal reserves. The existing capacity in Indonesia includes 11,998 Megawatts (MW), and the reserves capacity is reaching 17,546 MW. As a result, Indonesia has become a target for investment in geothermal energy development, with massive support from international financial institutions such as the World Bank and Asian Development Bank and investments from major global corporations. The reason for this development is the assumption that geothermal is a clean energy that is low-carbon and environmentally sustainable. One of the focuses of this briefer is whether this assumption is correct by looking at the experiences of communities whose territories have been the sites of geothermal exploration and exploitation. This briefer aims to provide a comprehensive overview of geothermal in terms of the rationale for its utilization, the technology used, and its impact on the environment and communities where geothermal is
developed as an energy source.
The first part of this briefing explains why geothermal is one of the energy sources to fulfill Indonesia’s commitment to achieve net carbon neutrality by 2050. It is followed by an introduction to the development of geothermal as an energy source, including its history, how it works, and the technology used. Critical discourse on the social, economic, and environmental impacts of geothermal development as an energy source is also presented through the experiences of a number of geothermal projects in Indonesia.
The utilization of geothermal as an energy source in Indonesia, which is said to be one of the low-carbon and clean energy alternatives, needs to be further considered by learning from the experiences of affected communities. We hope that this briefing can serve as a reference and learning for stakeholders in their decisions regarding the utilization of geothermal as an energy source. An equitable green transition should not only consider aspects of low-carbon energy sources but should also consider aspects of gender and social and ecological justice and adhere to the principles of human rights and women’s rights.