Development Of Risk-Based Policy Strategies to Improve Sustainable Investment Performance on Geothermal Working Areas in Indonesia

Abstract

This study analyzes the influence of stakeholder decision-making strategies and policies on PT's investment performance. PLN (Persero), is Indonesia's state-owned electricity company. Indonesia has a geothermal potential of 28 GWe and aims to add 3.3 GW of installed capacity by 2030. Our analysis reveals that effective stakeholder decision-making and well-formulated policies significantly enhance investment performance. This is supported by statistical evidence, with both the t-test and F-test results showing significance (calculated t-value and F-value exceed their respective critical values, with p-values < 0.05). Enhancing these strategies and policies is crucial for meeting Indonesia's new renewable energy (NRE) targets as outlined in the 2021-2030 RUPTL.