PT Surya Utama Nuansa (SUN Energy), a leading solar energy developer in Indonesia, has secured a USD 10 million Multi-Option Trade Facility from PT Bank SMBC Indonesia Tbk (SMBC Indonesia). This strategic financing aims to bolster SUN Energy's operations and expand its solar energy projects within the commercial and industrial (C&I) sectors across the country.

The facility encompasses several financial instruments, including Letters of Credit (LC), Bank Guarantees, and Working Capital Loans. These tools provide SUN Energy with the necessary flexibility to procure raw materials efficiently and enhance its competitiveness in renewable energy project tenders. By ensuring the availability of essential materials, SUN Energy is well-positioned to execute strategic projects seamlessly and increase its success rate in securing renewable energy contracts.

Nathan Christianto, Head of Wholesale, Commercial, and Transaction Banking at SMBC Indonesia, emphasized the alignment between both organizations in promoting green business development. He stated, "As a leading player in solar energy projects, SUN Energy aligns its objectives with SMBC Indonesia to drive the growth of green businesses, with SMBC Indonesia serving as a provider of banking solutions."

Vicky Lono, Group Head of Corporate Finance at SUN Energy, expressed gratitude for the support from SMBC Indonesia, noting that the funding offers the flexibility to continue innovating and expanding their solar energy project portfolio. She remarked, "This facility provides the flexibility to continue innovating and expanding our solar energy project portfolio. We thank Bank SMBC Indonesia for their invaluable support in our journey toward a cleaner and more sustainable energy future."

This collaboration underscores a shared commitment to advancing Indonesia's renewable energy sector. SUN Energy has been instrumental in deploying solar energy solutions nationwide, with notable projects such as the installation at PT Idec Abadi Wood Industries in North Kalimantan. This particular project boasts a capacity of 762,700 kWh and is projected to reduce CO2 emissions by 593 tons annually. As of November 2024, SUN Energy has successfully installed 175 MWp of solar panels across Indonesia, contributing significantly to the nation's renewable energy capacity.

In early 2024, SUN Energy secured strategic funds amounting to USD 31.9 million (approximately Rp500 billion) from PermataBank to further develop solar energy projects in Indonesia. This green financing initiative reflects the company's ongoing efforts to attract investment and drive growth in the renewable energy sector.

On the financial institution's side, SMBC Indonesia reported a substantial increase in sustainable financing, with disbursements totaling nearly Rp17.3 trillion (approximately USD 1.1 billion) by the end of September 2024. This marks an 18% growth compared to the same period in the previous year, highlighting the bank's dedication to supporting environmentally friendly projects and contributing to the global shift towards sustainable energy solutions.

The partnership between SUN Energy and SMBC Indonesia exemplifies a concerted effort to accelerate the development of renewable energy infrastructure in Indonesia. By leveraging financial support and industry expertise, both entities aim to contribute to a cleaner, more sustainable energy landscape, aligning with global environmental goals and supporting Indonesia's commitment to increasing its renewable energy mix in the coming years.