Sun cable to invest $2.5 bln in Indonesia on Singapore power link

GREEN BUSINESS - JAKARTA. Sun cable, an Australian-Singapore venture, will invest $2.5 billion in Indonesia as part of an ambitious solar power project to provide Singapore with up to 15% of its energy requirements, officials said on Thursday.

The Australia-Asia Power Link will from 2027 harness solar energy from the world's largest solar farm and battery storage facility in Australia's northern territory, and export it to the city-state via a 5,000 km (3,109 mile) transmission system through waters off Indonesia, according to Sun Cable.

Indonesia has granted the company a permit to conduct an underwater survey starting immediately, its CEO David Griffin said. It will be the world's longest subsea high-voltage cable.

Sun Cable will not supply energy directly to Indonesia, but its $1 billion investment in procuring equipment and services will cover manufacturing and construction activities and operation facilities in Indonesia, including a marine repair base.

The project "proves that Indonesia is a trusted partner and a strategic investment location for the international community," coordinating maritime affairs minister, Luhut Pandjaitan, told a streamed news conference.

The project, he said, would see knowledge transfers that would support renewable energy development in Indonesia and help mitigate climate change for future generations.