Client & Context

Overview of the Program

Corra Legal's partners (Mohamad Kadri, Yohanes Masengi, and Dirgantara Adi) previously advised PT PLN (Persero) and its sub-holding PT PLN Indonesia Power (PLN IP) on the "Accelerating Renewable Investment" program, a strategic initiative designed to consolidate Indonesia's energy transition, bolster ESG alignment, and catalyze the rollout of renewable generation capacity.

 The program encompasses multiple renewable generation projects, including:

• Hijaunesia 2023: A strategic partnership initiative involving multiple PLTS (Solar PV) and PLTB (Wind Power) projects totaling 1,055 MW .
• PLTS Kuota Tersebar: Distributed Solar PV Projects such as PLTS Sumbawa–Bima, PLTS Betun Timor, PLTS Namlea, PLTS Morotai, PLTS Tobelo, PLTS Belitung, and PLTB Sulbagsel .
• EPC Procurements: Projects like PLTMG Pesanggaran 200 MW and PLTS + BESS Nusa Penida 18 MW .

Corra Legal's Role

Corra Legal serves as the lead legal advisor to PLN and PLN IP across various components of this complex program:

• Hijaunesia 2023 Tender: Advised PLN IP on the full tender process, including drafting the Request for Proposal (RFP), supporting the evaluation and bid selection, and structuring the partnership scheme with strategic investors. The firm collaborated closely with KPMG Singapore (Project Consultant) and AFRY (Technical Consultant) .
• PLTS Kuota Tersebar: Advised PLN on the preparation of Terms of Reference (TOR) and Power Purchase Agreements (PPAs).
• EPC Procurements: Acted as counsel in preparing tender and contractual documentation for appointing EPC contractors for multiple renewable power plants.

Key Challenges & Innovative Features

As a pilot framework for renewable energy procurement, Hijaunesia 2023 pilot framework introduced innovative, yet challenging, features into Indonesia’s power sector:

• Staple Financing: The program marked the first introduction of a staple financing mechanism in the Indonesian power sector . This model enabled bidders to access pre-approved financing backed by lenders like the Asian Development Bank (ADB), ensuring project bankability and expedited financial close.
• Risk Reallocation: Certain responsibilities for land acquisition and preliminary permitting were shifted from project companies to PLN IP to accelerate project readiness.
• Regulatory Harmonization: The project required complex cross-sector regulatory harmonization across electricity, land, financing, and TKDN (local content) requirements.

Strategy and Solutions

Corra Legal adopted an integrated advisory approach that leveraged deep cross-sectoral expertise to bridge legal, commercial, and policy dimensions, ensuring seamless execution and replicability.

Outcome and Distinctive Impact

The Accelerating Renewable Investment program—particularly Hijaunesia 2023—represents a transformative step in Indonesia’s renewable procurement landscape, demonstrating Corra Legal’s unique value proposition:

• Pioneering Financing Model: It successfully introduced the first staple financing model in the Indonesian power sector, significantly reducing negotiation time and enhancing project bankability.
• National Replicability: Corra Legal’s frameworks and documentation have become reference models within PLN Group for structuring subsequent renewable energy projects under PLN’s broader decarbonization strategy.
• Cross-Sectoral Expertise: The firm provided solutions enabled by deep experience in electricity, project finance, land, and ESG frameworks, moving beyond traditional procurement advice.