Guidelines for the Use of Domestic Products for Electricity Infrastructure Development

Last updated: 10 June 2024

In Indonesia, Independent power producers are required by Minister of Industry Regulation Number 54/M-IND/PER/3/2012

to prioritise the use of domestic products in developing power generation projects, notably renewable energy projects. 

Minimum domestic product requirements, which were updated in 2017 and 2023, are defined for the development of electricity infrastructure, including geothermal power plants, hydroelectric power plants and, since 2023, solar power plants.

Under current legislation, solar power plant modules are subject to a 60% domestic content threshold since January 2024.  In addition, the construction of geothermal power plants is to be carried out by domestic companies.

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