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  • July 12, 2022

Katalis Supports Indonesian Market Entry for Leading Australian Grid-Scale Battery Storage Technology

JAKARTA, 12 July 2022 – As Indonesia moves to decarbonise its economy, demand to produce clean energy is on the rise. A new grid-scale battery technology being introduced by an Australian company with Katalis support may be the answer to Indonesia’s effort to balance the intermittency of renewable energy in electric grids with high-capacity batteries.

Commencing in May 2022, Katalis is funding a market entry study for Sword and Stone, a Brisbane-based investor in renewables focused on deploying technological solutions to enhance renewable energy development, which is looking to scale up its manufacturing in Indonesia and expand its market share into Southeast Asia. The market entry strategy may lead to the deployment of a pilot grid-scale long-duration battery in 2024 and a manufacturing facility in 2026.

“At Sword and Stone, we’re committed to an orderly transition to a sustainable electricity grid delivering reliable dispatchable renewable energy that meets customer demand while enhancing grid stability—all of which make up our offering for Indonesia,” said Stuart Parry, Managing Director, Sword and Stone.

Long-duration batteries are a key component of the future grid and local manufacture would provide Indonesia with a secure source of supply and the potential for exports to the region. As Indonesia transitions to a zero-carbon economy there will be increased demand on the grid from both increased growth and the electrification of industry and transport. Managing this transition will require not only

renewable generation, but also storage to ensure grid stability and reliability of supply that addresses the intermittency of renewable energy.

“Indonesia’s national and regional governments will be better able to increase grid stability and reliability while delivering on their commitments to meet climate targets. Indonesia will also benefit from being the site of a substantial manufacturing facility including the associated trickle-up benefits for local Small to Medium Enterprises in the supply chain, while assisting in the COVID-19 economic recovery,” said Paul Bartlett, Director of ECP Katalis. “Australia will benefit from increased market access to Indonesia and Southeast Asia, an opportunity to grow their product offering and the supply of specific componentry to the Indonesian manufacturing plant.” The activity is expected to produce benefits for women, people with disabilities, and other marginalised groups. Energy security predominantly affects lower socioeconomic and rural communities, those who will benefit most from better energy supply. Investment in new energy infrastructure will improve access to modern services.

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Our goal is to maximise IA-CEPA benefits for Indonesia and Australia: improved market access, increased two-way trade and investment, and inclusive economic growth in Indonesia.

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