PT Adaro Energy Indonesia Tbk (ADRO) continues to develop non-coal business diversification to balance the company's revenue. The company, affiliated with Garibaldi 'Boy' Thohir, is targeting 50% of its total revenue to be contributed by non-coal businesses by 2030.

Head of Corporate Communication at Adaro Energy Indonesia (ADRO), Febriati Nadira, said that in the transition to green energy, Adaro remains committed to meeting current energy needs while continuing to prepare for the transition to more sustainable operations.

"For this reason, we ensure that operational activities can run well by continuing to focus on operational excellence and cost efficiency, so that we can produce healthy margins and cash flow," said Febriati to Kontan, Thursday (4/7).

According to Febriati, the prospects for the green energy business in the future are extraordinary, but of course investing in green business requires a lot of time and is a process.

"The hope is that in 2030, 50% of Adaro's total revenue will be generated by non-thermal coal businesses, in line with our commitment in the NZE statement that we published in 2023," said Febriati.

Febriati added, this target will be achieved by increasing business in fields that support the green economic ecosystem in Indonesia, including through building aluminum smelters, expanding the metallurgical coal market, exploring opportunities in various green mineral products, and developing renewable energy businesses.

If carried out successfully, continued Febriati, this will enable ADRO to accelerate the business transformation process through long-term environmentally friendly initiatives, one of which is through downstream mineral processing in line with the Indonesian government's plans.

Since 2022, Adaro has started carrying out sustainable business development by transforming from 8 pillars to 3 business pillars; Adaro Energy, Adaro Minerals, and Adaro Green. The company has also started implementing non-coal business projects.

In 2018, ADRO built a rooftop solar power plant (PLTS) with a capacity of 130 kWp in Kelanis, Central Kalimantan, to serve electricity needs in the Adaro mining area.

"After being successful in building and operating a 130 kWp rooftop PLTS, we are developing it by adding a capacity of 468 kWp PLTS with a floating system," said Febriati.

Apart from that, Adaro also supports the government's downstream initiatives in the green industry by building an aluminum smelter in the largest Indonesian Green Industrial Zone in the world.

To date, construction of the aluminum smelter and related infrastructure is progressing as expected and the company targets to complete phase I of 500,000 tons per year in 2025.

Next, Pillar Adaro Green through PT Adaro Clean Energy Indonesia signed a memorandum of understanding on the development of renewable energy (EBT) as well as the supply chain of Solar Photovoltaic (PV) and Battery Energy Storage Systems (SPEB) in Indonesia with several PV and battery manufacturers (OEM/Original Equipment). Manufacturer).

The Mentarang Main Hydroelectric Power Plant with a capacity of 1375 MW is planned to operate in 2030 and provide green energy for green industrial areas in North Kalimantan.

"The hydroelectric power plant construction that we are working on is progressing well," said Febriati.

Finally, Adaro together with Total Eren, and PJBI, signed an electricity purchase and sale agreement for the Tanah Laut PLTB project with a capacity of 70 MW which is equipped with a 10 MW / 10 MWh battery energy storage system in Tanah Laut, South Kalimantan with PT PLN Persero (PLN) for the sake of supporting the Government's program in achieving the New Renewable Energy (EBT) source mix target in Indonesia. Estimated Commercial Operation Date (COD) of PLTB Tanah Laut in 2025.