Xurya, Indonesia start-up, announces funding from domestic and foreign Investors. (Photo: Xurya)
Indonesia’s Just Energy Transition Partnership (JETP) has finally attracted its first overseas investment. The startup Xurya has secured a $25 million investment from the Norwegian Climate Investment Fund (NCIF). This investment is expected to expand the local rooftop solar market and reduce carbon emissions by 370,000 tons annually.
Xurya pioneers rooftop solar leasing without upfront costs
Founded in 2018, Xurya was named one of Forbes Asia's 100 to Watch in 2023. The company offers rooftop solar leasing services with no upfront costs for users, setting a market precedent. It collaborates with domestic and international manufacturers to provide comprehensive services including installation, monitoring, and maintenance. Xurya is also the first team in Indonesia to use Internet of Things (IoT) technology for remote operations. The company currently has over 180 projects across Indonesia, reducing carbon emissions by 1.52 million tons annually.
Xurya's managing director Eka Himawan stated that the new funding will enhance Xurya’s international competitiveness, “not only supporting Indonesia’s energy transition but also advancing Xurya towards becoming a world-class company in the coming years.”
In this funding round, Swedish development finance institution Swedfund and the British International Investment (BII) have made their first investments in Indonesian companies. Returning investors include Australia’s Clime Capital and Indonesia’s AC Ventures. Xurya has received a total of $55 million in additional investment.
Norwegian energy minister Terje Aasland and Indonesia's former minister Arifin Tasrif hold a meeting in Jakarta on July 2024. (Photo: Norwegian Embassy in Jakarta)
Norwegian also Invests Indonesia solar and hydropower projects
Norway, a member of the JETP International Partners Group (IPG), has managed its investments through NCIF, which is managed by Norfund, Norway’s development country investment fund. Besides rooftop solar, there are two other investment projects: solar and battery storage, and hydropower, with a total investment of $29.6 million, expected to reduce emissions by nearly 500,000 tons annually.
In the hydropower sector, Norfund has partnered with Tinfos, a company with 130 years of history. Tinfos entered the Indonesian market in 2007, primarily constructing small hydropower plants. Tinfos’ investment director, Harald Reigstad, stated that the goal is to scale up to 1 TWh by the end of 2032.
Indonesia, known as the archipelago nation, has many remote areas that are not connected to the national grid and rely solely on fossil fuels for power. Therefore, Norfund has signed a cooperation agreement with Indonesian solar developer Empat Mitra Indika Tenaga Surya (EMITS) to build solar and battery storage systems. The aim is to assist in the energy transition by expanding solar capacity to 500 MW by the end of 2025.
Source: Jakarta Post, Xurya, Norfund
