Nusantara Aims for Carbon Neutrality with 100% Renewable Energy Initiative

By M Khaidar Khamzah, Editor at The Nusantara Times
Published: April 17, 2025

Nusantara, Indonesia —Indonesia’s future capital, Nusantara (IKN), is on track to become the nation’s first carbon-neutral city, powered entirely by renewable energy and designed to set a new standard for sustainable urban development.

Located in East Kalimantan, the capital is more than just a symbolic shift away from overburdened Jakarta — it represents an ambitious commitment to climate action and clean energy. The Indonesian government has pledged to make Nusantara a net-zero emission city by 2040, two decades ahead of the national climate target.

Solar Energy at the Core

At the heart of Nusantara’s green transformation is a major investment in solar energy. The state electricity company PLN has developed a solar power plant (PLTS) spanning 86 hectares, which has already begun supplying electricity to the city.

The initial supply of 10 megawatts (MW) is being delivered through a state-of-the-art Gas Insulated Switchgear (GIS) substation developed by Hitachi Energy. The substation incorporates fully digital systems to ensure high-efficiency distribution and real-time energy monitoring.

“The first phase of synchronization between the solar power plant and the transmission network was completed in March 2024,” said Andy Kostiono, Business Unit Manager for Grid Integration at Hitachi Energy Indonesia. “Twelve main feeders are currently distributing renewable electricity to IKN and nearby areas.”

With a total capacity of 120 MVA, the substation is expected to meet the electricity demands of IKN’s administrative area during the early stages of development.

Supporting a National Energy Transition

Hitachi Energy’s role in Nusantara aligns with its broader contributions to Indonesia’s energy transition, including renewable projects on islands such as Semau, Selayar, and Nusa Penida.

“Our advanced technologies, strong presence in the ASEAN region, and integration within the Hitachi group uniquely position us to support Indonesia’s transition to a cleaner energy future,” said Predrag Grupkovic, Country Managing Director of Hitachi Energy Indonesia.

The company is also collaborating with PLN and the Indonesian government to develop an inter-island High Voltage Direct Current (HVDC) transmission system, which would allow major islands across the archipelago to share renewable power more efficiently.

Building a City from the Ground Up

The relocation of Indonesia’s capital presents a rare opportunity: to design a truly sustainable city from scratch. IKN is being built with smart infrastructure, renewable energy systems, and clean transportation solutions from the outset.

Plans are underway to develop a fully electrified public transportation system, including electric buses. Trials for bus charging systems are currently in preparation, further supporting the goal of a zero-emissions mobility network in the capital.

From city planning to energy strategy, Nusantara is being positioned as a blueprint for climate-resilient urban living — a forward-looking capital that reflects Indonesia’s environmental aspirations.

“We remain committed to supporting Indonesia’s energy transformation and being part of Nusantara’s clean energy future,” said Grupkovic.

As construction accelerates, Nusantara stands as a symbol of progress — a city powered by the sun, connected by clean technology, and designed for a greener tomorrow.

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