Abu Dhabi’s clean energy company Masdar plans to triple the size of its joint venture solar photovoltaic power plant in Indonesia as it expands its presence in the country's energy sector.

Masdar has signed agreement with PLN Nusantara Power, subsidiary of Indonesia’s state electricity company PT PLN (Persero), to develop Phase II of the Cirata floating photovoltaic (FPV) power plant by up to 500MW.

The initial 145MW phase of FPV is expected to come online later this year, Masdar said in a statement on Tuesday.

A recent regulatory development from the Ministry of Public Works and Housing in Indonesia now allows up to 20% of water coverage for renewable energy uses which will open up the Cirata expansion to a further 500MW. The South Asian country has plans to increase its renewable energy mix and has pledged to reach net-zero emissions by 2060 or sooner.

Indonesia is a key strategic market in Southeast Asia for Masdar. In February 2023, Masdar entered the geothermal energy sector through a strategic investment in Pertamina Geothermal Energy (PGE).

(Writing by Brinda Darasha; editing by Seban Scaria)