Saudi Arabia-based ACWA Power has signed an agreement with PT Perusahaan Listrik Negara (PLN) to develop and co-own 110 MW of floating solar projects in Indonesia. Under the terms of the deal, ACWA will build the 60 MW Saguling Floating Solar PV farm and the 50 MW Singkarak Floating Solar PV farm with a combined cost of USD105 million.

Additionally, the company will own a 49 per cent stake in each of the projects, while the remaining 51 per cent share will be held by Indonesia Power, a subsidiary of PLN.

Both the floating solar farms will be operated through a power purchase agreement (PPA) with PLN, which will be the sole power off-taker. The PPAs are yet to be finalised.

The development of the two schemes will support the Government of Indonesia’s goal to increase the share of renewables in its energy mix to 23 per cent by 2025.