EnergyOMNI's Perspectives I Indonesia and Denmark Hold Offshore Wind Power Exchange

Edited by EnergyOMNI

Indonesia's wind power potential: onshore wind 60 GW and offshore wind at least 90 GW

Indonesia, an archipelago of 17,000 islands with long coastlines, has abundant geothermal resources and, more recently, increasing attention has turned to wind energy. In 2021, the World Bank assessed Indonesia's offshore wind potential at 277 GW, of which 198 GW is fixed-bottom and 79 GW floating. According to the International Renewable Energy Agency's (IRENA) 2022 outlook, onshore wind potential stands at 19.6 GW, while offshore potential could reach as much as 589 GW. In 2023, the Ministry of Energy and Mineral Resources (MEMR) of Indonesia estimated Indonesia's total wind potential at nearly 155 GW, with 94.2 GW offshore and 60.6 GW onshore. Eastern regions such as Maluku, Papua, and Nusa Tenggara account for around 40% of this national potential. In addition, the southern coast of Indonesia (Java–Timor), the Java Sea, the Banda Sea, and the Arafura Sea demonstrate strong average wind speeds at 100 meters, making them ideal for offshore wind development.

Indonesian Wind power target: 5 GW by 2030

In May 2025, the Indonesian government announced its Electricity Supply Business Plan (RUPTL) 2025–2034, setting a target of 42.6 GW of renewable energy capacity by 2034 and increasing renewables' share of generation from the current 23% to 34%. While solar PV is the main priority, the wind power target is set at 5 GW of installed capacity by 2030.

Indonesia's wind development history is relatively short. Its first onshore wind farm, the 75 MW Sidrap Wind Farm in Sulawesi, was inaugurated in 2021 in the presence of then-President Joko Widodo. To date, total installed wind capacity has reached 154 MW—less than 0.1% of its potential. Based on the RUPTL, the 2030 target of 5 GW is expected to rely mainly on onshore wind, with no specific offshore wind targets yet set. However, under Indonesia's net-zero emissions goal for 2060, wind capacity must reach 37 GW, and modeling shows offshore wind will need to make up a significant share. Meeting the net-zero target will therefore require offshore wind development.

Engaging with Denmark: Is offshore wind entering the agenda?

In May 2025, Indonesia's Ministry of Marine Affairs and Fisheries held an exchange with representatives of the Danish government to discuss how Denmark's decades of offshore wind experience could be applied to Indonesia's waters. Both sides reaffirmed their commitment to strengthen offshore wind cooperation, support Indonesia's energy transition, and advance marine spatial planning.

The Directorate General of Marine Spatial Planning noted that marine-based renewable energy—particularly offshore wind—is showing growing development potential. Over the past two decades, Indonesia has made marine spatial planning a policy priority, and offshore wind is now seen as the next step in ensuring the sustainable use of ocean space. During the exchange, Indonesian officials also shared initial considerations for offshore wind development, such as responsibilities for preliminary equipment permits. Currently, two business permits are required for offshore wind projects: one for turbine installation and another for subsea cable laying. The Ministry of Marine Affairs and Fisheries oversees sea-use permits, while the Ministry of Energy and Mineral Resources manages electricity cable-related permits.