In a strategic move that could reshape Southeast Asia’s clean energy future, Envision Energy, a global leader in green technology, has partnered with Indonesian renewable energy company Sun Terra to establish an integrated energy storage ecosystem that spans the entire industry value chain. The partnership signifies a major leap forward for Indonesia’s ambition to strengthen its renewable energy infrastructure and accelerate the energy transition.

The collaboration was officially announced in Jakarta and is centered around building a local value chain that includes everything from battery manufacturing to energy storage system integration, grid connection, and recycling. With climate goals looming and energy security becoming a key concern globally, this alliance reflects how cross-border collaboration and innovation are becoming essential to achieving sustainability.

Why the Energy Storage Ecosystem Matters for Indonesia

Indonesia, the largest economy in Southeast Asia, is working to diversify its energy sources. As part of its Net Zero Emissions (NZE) target for 2060, the country is aiming to have new and renewable energy contribute at least 23 percent of the national energy mix by 2025. However, integrating intermittent sources like solar and wind into the national grid requires reliable energy storage systems.

An effective energy storage ecosystem enables energy generated from renewables to be stored and used when needed, ensuring consistent supply and reducing reliance on fossil fuels. This is especially critical for a geographically dispersed archipelago like Indonesia, where energy needs vary drastically across regions.

Envision and Sun Terra’s collaboration directly supports these objectives by establishing localized capabilities in energy storage, which is vital for both grid stability and energy decentralization.

Envision Energy: A Global Player with Local Focus

Envision Energy, headquartered in Shanghai, is a global name in wind turbines, battery systems, and AI-driven energy solutions. It operates the world’s largest AIoT operating system for energy, known as EnOS, which connects and manages over 500 gigawatts of energy assets globally.

Through this partnership, Envision will bring its technological expertise, particularly in smart energy storage systems, to Indonesia. These include:

• Battery management systems with advanced AI analytics
• Smart grid integration for flexible energy dispatch
• Digital twin technology for predictive maintenance
• Scalable manufacturing techniques for lithium battery modules

The goal is to localize manufacturing and R&D in Indonesia, aligning with the country’s industrial downstreaming strategy and reducing dependency on imported components.

Sun Terra: Building Indonesia’s Clean Energy Backbone

Sun Terra is no stranger to Indonesia’s renewable energy landscape. The company has been instrumental in rolling out solar PV projects across industrial and commercial sectors in Java and Bali. Its deep local knowledge, regulatory understanding, and operational capacity make it an ideal partner for international firms entering the Indonesian energy sector.

By joining hands with Envision, Sun Terra is expanding its portfolio to cover energy storage solutions, completing the loop in its renewable offerings. Their shared mission is to build a resilient, scalable, and locally integrated energy infrastructure that can serve Indonesia’s unique energy demands.

The partnership will also focus on local talent development, aiming to train Indonesian engineers and technicians in the emerging field of energy storage technology.

The Scope of the Energy Storage Ecosystem Project

The collaboration between Envision and Sun Terra is designed to cover the entire life cycle of energy storage solutions, ensuring vertical integration that enhances efficiency and reduces costs. Key components of the ecosystem include:

1. Battery Cell and Module Manufacturing: Local production of battery packs designed for grid, commercial, and residential use.
2. System Integration: Customizable energy storage systems that fit Indonesia’s diverse energy landscape, from rural microgrids to utility-scale storage.
3. AI-Powered Monitoring and Control: Advanced analytics through Envision’s EnOS platform to optimize charging, discharging, and performance.
4. Grid Interconnection and Dispatching: Infrastructure for integrating stored energy into the national grid and ensuring flexible dispatch based on demand.
5. Second Life and Recycling: Battery recycling systems to support a circular economy and reduce environmental impact.

By covering all these stages, the initiative goes beyond pilot projects and targets systemic transformation of Indonesia’s energy ecosystem.

A Catalyst for Industrial Downstreaming

Indonesia has abundant reserves of nickel, cobalt, and manganese, all of which are critical minerals for battery production. The government has placed increasing emphasis on industrial downstreaming, or adding value to raw materials domestically before exporting them. Envision and Sun Terra’s venture aligns with this policy, aiming to establish battery production facilities that leverage Indonesia’s natural resources while building local manufacturing capacity.

Moreover, this partnership opens doors for Indonesia to position itself as a battery hub in Asia, reducing regional dependency on dominant players like China and South Korea.

Government Support and Policy Momentum

The Indonesian government has thrown its support behind initiatives that enhance the domestic clean energy value chain. The collaboration aligns with several national policy objectives:

• Perpres No. 112/2022 on Renewable Energy Utilization
• RUPTL (Electricity Supply Business Plan) which prioritizes renewable energy investments
• Indonesia Battery Corporation (IBC) strategic roadmap

Officials from the Ministry of Energy and Mineral Resources (ESDM) have welcomed the collaboration, citing its potential to help meet domestic energy demand while reducing carbon emissions.

The project is also expected to attract further foreign direct investment (FDI) into the country’s clean energy sector, particularly in supporting industries like battery casing, software systems, and component manufacturing.

Challenges and Road Ahead

While the roadmap is promising, executing such a comprehensive energy storage ecosystem is not without its challenges:

• Infrastructure gaps: Many regions still lack reliable transmission networks, making deployment difficult.
• Regulatory complexity: Energy storage systems sit between generation, transmission, and consumption, and regulations are still catching up.
• Capital intensity: Manufacturing and deploying energy storage at scale requires large upfront investments and long payback periods.
• Technology transfer: Ensuring local engineers and technicians can operate and maintain systems effectively is essential for long-term success.

Despite these hurdles, the commitment from both Envision and Sun Terra, combined with policy backing, makes this a credible and strategic move forward.

Conclusion: Energizing the Future Through Collaboration

The Envision-Sun Terra partnership signals a new chapter for Indonesia’s clean energy journey. By building an end-to-end energy storage ecosystem, the collaboration sets the foundation for a more resilient, self-sufficient, and low-carbon energy infrastructure.

As the energy transition accelerates globally, Indonesia is positioning itself not just as a consumer of clean technologies, but as a regional leader in sustainable innovation. With abundant resources, strategic policy support, and strong partnerships, the country is on the cusp of redefining its energy future.

For Indonesia, the message is clear: collaboration is key, and the future is electric.