Geothermal power accounts for about 6% of Indonesia's energy generation, with the government aiming to increase this to 8% by 2030. (Photo: PLN)
As part of the Pacific Ring of Fire, Indonesia and the Philippines possess rich geothermal resources, and both governments are actively investing in their development.
However, the high risks associated with geothermal projects limit financing, and local concerns over safety and environmental impacts have become key barriers to the industry’s growth.
ASEAN geothermal potential estimated to grow tenfold
Geothermal energy, which is not weather-dependent, has a long lifespan, low maintenance requirements, and can provide low-carbon energy around the clock. However, much of its potential remains untapped. Indonesia and the Philippines are the world’s second and third-largest users of geothermal energy after the United States, yet Indonesia has only developed 10% of its geothermal reserves, while the Philippines has developed just 8%.
