Developing Energy Research Center, Pertamina – PLN Establish Indonesia Energy and Electricity Institute

Jakarta, November 13, 2020 – Pertamina synergizes with PLN and agrees to establish an energy research center to create national energy security, independence, and sovereignty. The agreement was marked by the signing of the Memorandum of Understanding (Mou) of establishing Indonesia Energy and Electricity Institute (IEEI) by the President Director of Pertamina, Nicke WIdyawati, and the President Director of PLN, Zulkifli Zaini. It was witnessed by Deputy Minister of SOE, I Budi Gunadi Sadikin, in Jakarta, Friday (13/11).

IEEI will become a center for energy research on technological trends and their development. It will also build a database for research and study activities in policy by taking into account Indonesia's natural resources and play an active role in advocacy in the energy sector to the global level from the Indonesian perspective in drafting regulations.

Deputy Minister of BUMN, I Budi Gunadi Sadikin, said that the formation of IEEI is a form of synergy between SOEs in Indonesia in terms of the first joint research in Indonesia in the energy and electricity sector.

"IEEI is expected to become a national thought leader and a regional thought leader who can become the basis and reference for research in the energy and electricity sector in terms of technical research, policy research as well as becoming a Global Platform Energy," said Budi.

According to Budi, energy has a massive impact on human civilization, so that the energy transition will also have a massive impact on human civilization.

"In this transition, of course, there will be countries or companies that survive and lose. I hope Pertamina and PLN will become companies that survive in this energy transition," Budi added.

Budi hopes that Pertamina and PLN can carry out joint studies and sharpen the formed organization by paying attention to the latest issues in energy transition and energy transformation and digitization.

President Director of Pertamina, Nicke Widyawati, said that IEEI is expected to provide more thoughts for the energy transition going forward.

"The Covid-19 pandemic has accelerated the global energy transition so fast that Pertamina and PLN as the vanguard in energy must move together to answer this challenge to achieve Availability, Accessibility, Affordability, Acceptability, and Sustainability to fulfill national energy sovereignty," said Nicke according to the signing. MoU, Friday (13/11).

Nicke added Pertamina and PLN are the big engines of the Indonesian economy. Pertamina and PLN will enter into research and technology in the early stages, considering that currently, we have abundant natural resources but are limited in technology.

"Hopefully, IEEI can provide advocacy for our government and, in the future, can become advocacy in the international world," added Nicke.

According to Nicke, Pertamina and PLN can continue and enhance the cooperation that has been going well for national energy independence and resilience and a successful transition and energy transformation so that Indonesia becomes a strong and advanced economic power.

"IEEI is also expected to answer challenges in Indonesia related to energy conditions that require cooperation and comprehensive thinking from all parties. Therefore, an organization is needed that can contribute its thoughts to answer all these challenges," explained Nicke.

Furthermore, President Director of PLN, Zulkifli Zaini, emphasized that the formation of IEEI is a strategic breakthrough for PLN and Pertamina. Later, IEEI can contribute to the development of the electricity and energy sector in Indonesia. It is done as one of the steps in maintaining energy security.

"IEEI is expected to become a thinking tank that produces reports and research that can contribute widely to the development of the electricity and energy sector in Indonesia," he said.

The IEEI Working Team will prepare a road map and work plan for the next ten years, including preparing an energy outlook that will become quick wins for both companies. IEEI activities are planned to be active at the national and international levels.

On the same occasion, the Chairman of the Indonesian Institute of Energy Economics, Prof. Subroto, also said that all parties involved in energy management must work inclusively, must not run independently, and hoped that this IEEI can embrace all parties to synergize. "We must work together in managing this energy," he concluded.

IEEI itself will be filled by experts in the field of energy and electricity, namely Nicke Widyawati (President Director of Pertamina), Zulkifli Zaini (President Director of PLN), Ego Syahrial (Secretary-General of the Ministry of Energy and Mineral Resources), Febrio Kacaribu (Head of BKF), Prof. Dr. Satryo S. Brodjonegoro (Special Advisor to the Coordinating Minister for Policy Innovation and Industrial Competitiveness), Prof. Kuntoro Mangkusubroto, Dr. Widhyawan Prawiraatmadja, and Dr. Hardiv Situmeang.

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