Indonesia's COVID-19 Vaccination and Economic Resilience Strategy
Government Support for New and Renewable Energy
PISP Fund & Government Guarantee for Electricity Projects
To promote new and renewable energy development, the Government provides fiscal support in the form of
government guarantee for electricity projects (credit guarantee and business viability guarantee), guarantee for
SOEs direct lending from international financial institutions, and Geothermal Fund Facility (PISP Fund).
Several guarantees has been provided to renewable energy power plant construction and Power Purchase
Agreement (PPA), i.e hydropower, geothermal, and solar PV.
PISP funds (and its co-finance), can be used for geothermal development in the exploration stage and eligible for
Government Drilling, SOE Drilling/Public Window, and Private Drilling/Private Window.
PISP Fund Exploration Financing Facilities
(MOF Regulation 80/2022)
Objective
Fund Manager
Unlocking geothermal market by providing support and financing
for geothermal exploration
PT Sarana Multi Infrastruktur (SMI)
Total Funds
IDR 3,1 Trillion (revolving fund)
Loans and data provisions
Main feature
Fund Distribution
Governance
◉
De-risking facility for exploration stage
■ Minister of Finance's Assignment Letter (SK) to PT SMI to finance
exploration project.
Monitoring and supervision by The Joint Committee between
MoF and MEMR.
Engaging academic, professional experts, and independent
appraisal to provide review and assessment for strategic
decision of the Joint Committee.
■ Strengthening the role and synergy of MOF's Special Mission
Vehicles
PISP Co-financing
(Collaboration with international funding)
Geothermal Energy Upstream
Development Project
(GEUDP) World Bank
Geothermal Resource Risk
Mitigation (GREM)
CTF grant (USD49million) and
GEF grant (USD6,25million).
Aims to support the
government's geothermal data
and information provisioning
facility (Government Drilling).
PT SMI as fund manager & PT
GDE as implementing agency.
Total USD655 million (loan,
grant, and PISP co-finance)
Aims to support exploration on
the SOE Drilling & Private
Drilling scheme.
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