Indonesia has acquired GE Energy for $2,749 million to expand its solar panel industry and build solar power plants.
Indonesia has signed a memorandum of understanding to acquire GE’s renewable power business, Indonesia’s state-run newspaper The Jakarta Post reported on Thursday.
The agreement was announced on Friday.
The deal is expected to close in the third quarter of 2020, said an Indonesian defense official.
GE Energy is known for its solar panels and batteries.
It also owns and operates several small renewable energy companies, including Batteries International, a division of the German solar power giant SolarCity.
Indonesia is Indonesia’s largest producer of renewable energy and its largest solar energy user, according to a recent report by the Jakarta-based International Renewable Energy Agency.
GE’s solar panel manufacturing and production business is also expected to increase in Indonesia, said the official, who spoke on condition of anonymity because the deal was private.
GE will continue to invest in the solar power industry, Indonesia said in a statement.
Indonesia’s solar power is an increasingly popular and inexpensive source of electricity.
The government hopes to boost the country’s share of global renewable energy by 20% by 2030 and by at least 30% by 2035, according the Energy Ministry.
GE has built more than 100 power plants across Indonesia.
The company also makes solar cells, batteries and inverters, and has solar power facilities in Malaysia, the Philippines, Vietnam and South Korea.
The Indonesian government has announced several renewable energy initiatives over the past several years.
For example, in 2016, Indonesia launched the “Indonesia Solar Challenge,” a pilot program to develop a national solar power system by 2020.
The program has resulted in the installation of more than 4,000 solar panels on government buildings.
In 2016, the government also announced plans to install more than 3,000 rooftop solar panels in Jakarta.
The Jakarta government has said the goal is to have more than 5,000 households on the rooftop by 2020, and the program will also cover a third of the city’s city streets.
GE and Indonesia are both members of the Organization for Economic Cooperation and Development (OECD), a global economic forum.
Indonesia, which has a population of over 20 million people, is one of the fastest growing emerging economies in the world, according in the World Bank’s 2017 Global Competitiveness Report.