A Framework Agreement was signed between China’s Suntech and Singapore-based Vena energy on Monday in Jakarta to explore opportunities for establishing local production lines for solar photovoltaic panels components and energy storage systems in Indonesia.

The project is seen as the most significant renewable energy initiative in Southeast Asia given its high production capacity of 2GW of solar power in addition to a battery energy storage system capable of storing more than 8 GWh of clean energy.

The Framework Agreement also comes within the “Long-Term Strategy for Low Carbon and Climate Resilience 2050” announced by the Indonesian President Joko Widodo in 2021 along with expanding Indonesia’s renewable energy supply chain.

In the meantime, Jakarta also witnessed a collaboration agreement between Vena Energy and Shell Eastern Trading (Pte.) Ltd for the cross-border supply of renewable power generated by Vena Energy’s proposed hybrid megaproject, to Singapore.