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North Sulawesi and New Zealand Explore Strategic Geothermal Partnership with PGE Support

Kahaya Ainsha by Kahaya Ainsha
February 16, 2026
in Business, Indonesia
Reading Time: 2 mins read
Pertamina Geothermal Energy

Pertamina Geothermal Energy

Manado, ThedailyID — PT Pertamina Geothermal Energy Tbk strengthened its role as a geothermal center of excellence by promoting best practices in geothermal development and utilization during a seminar and sister city partnership discussion between the Government of North Sulawesi Province and New Zealand, held in Manado on February 12, 2026. The company’s participation reflects its commitment to supporting clean energy collaboration at the regional and international levels.

The proposed sister city partnership opens opportunities for cooperation in several strategic sectors, including clean energy development—particularly geothermal—sustainable tourism, agriculture, trade, and human resource capacity building. North Sulawesi and New Zealand share similar characteristics, such as strong geothermal potential, tourism and agricultural resources, and rich cultural values. These similarities provide a solid foundation for knowledge exchange, technical cooperation, and the creation of sustainable economic value.

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The event took place at the North Sulawesi Governor’s Office and was attended by key stakeholders from government and the energy sector, including representatives of the provincial government, the New Zealand Embassy, the Ministry of Energy and Mineral Resources, and industry leaders. During the meeting, New Zealand’s Ambassador to Indonesia highlighted the significant potential of the Lahendong geothermal working area to drive regional economic growth in North Sulawesi.

The provincial government welcomed the initiative and expressed hope that the partnership would deliver concrete benefits. Officials emphasized the importance of technology and knowledge transfer, improved human resource capacity, and the opening of new investment opportunities that would be mutually beneficial for both regions. The Ministry of Energy and Mineral Resources also encouraged North Sulawesi to take a leading role in advancing green energy development in Indonesia.

Currently, PGE’s Lahendong area operates six geothermal power plants with a total installed capacity of 120 megawatts, supplying around 24 percent of North Sulawesi’s electricity needs and helping reduce carbon emissions by an estimated 624,000 tons per year. The company is accelerating the development of Lahendong Units 7 and 8, each with a capacity of 20 megawatts, as well as a 15-megawatt binary unit to expand clean energy production.

Beyond electricity generation, PGE contributes directly to regional revenue through geothermal non-tax state income, production bonuses, and a one-percent revenue allocation to local government. The company is also developing pilot projects for direct geothermal use and downstream business opportunities to create additional economic value and support sustainable regional development.

As part of the program, the New Zealand delegation visited the Masarang palm sugar factory in Tomohon and the Lao-Lao Geopark to observe geothermal applications beyond electricity, including environmentally friendly production processes and renewable energy–based educational tourism. PGE’s involvement in the sister city initiative reinforces its position as a geothermal center of excellence focused on operational excellence, optimization of existing plants, and innovation that delivers long-term benefits for local communities.

Tags: new zealandnorth sulawesiPGEsister cityThedailyID
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