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This projects supports PT SMI in municipal development and renewable energy projects that will help Indonesia’s green recovery.This will contribute to Indonesia’s progress towards the Sustainable Development Goals and benefit the economy, the people, and the environment
The Project has two components: Component 1 – Risk Mitigation for Geothermal Exploration Drilling (US$49 million), and Component 2 – Capacity Building on Geothermal Exploration and Environmental and Social Safeguards Management (US$6.25 million). The Project is being implemented by PT Sarana Multi Infrastruktur (PT SMI), a nonbanking financial institution fully owned by the Ministry of Finance (MoF), which is also responsible for overseeing the Government’s Infrastructure Financing for Geothermal Sector (Pembiayaan Infrastruktur Sektor Panas Bumi, or PISP) fund, which provides no less than US$49 million co-financing to the Project.
USAID SINAR builds upon the longstanding commitment and partnership between the U.S. Government and the Government of Indonesia in climate change mitigation in the energy sector. Through SINAR, USAID will help national and subnational governments, state-owned energy utilities, businesses, financial institutions (such as banks), universities, and other key players to :
Collectively, these efforts will help Indonesia meet its ambitious renewable energy and energy efficiency targets while driving energy transformation that reduces greenhouse gas emissions. USAID SINAR works at the national level, while simultaneously engaging local governments in selected provinces to align national and sub-national plans and programs.