The World Bank has approved $500 million for the Indonesia Electricity Network Transformation (I-ENET) programme to modernise the electricity distribution system in the Java, Madura, and Bali regions. The initiative is aimed at supporting the integration of renewable energy and accelerating the digital transition of the power grid. The programme will run from 2025 to 2032 under PLN’s National Electricity Business Plan (RUPTL).
It includes $500 million in World Bank financing, $491 million in counterpart funding from PLN, and an expected $342 million in private investment. The latter is anticipated to come mainly from customer-owned rooftop solar installations and electric vehicle charging networks. The programme will benefit from World Bank’s step-up loan product, which offers low interest rates during implementation and allows for refinancing after project completion.
This will be the second loan in Indonesia to benefit from the step-up structure, following approval of the Indonesia Sustainable Least Cost Electrification-2 project in June 2025. The I-ENET programme is also part of the World Bank’s $2.5 billion Multiphase Programmatic Approach (MPA), which supports renewable energy scale-up and grid integration in East Asia and the Pacific.
