MANY MINDEDSwedish firm Midsummer signs Indonesia solar manufacturing deal
Swedish solar equipment manufacturer Midsummer AB and Indonesian industrial group PT Metalogika Rekayasa Sistem signed a binding investment and industrialization agreement for a CIGS thin-film solar cell and module manufacturing facility in Indonesia. The project will initially produce 20 megawatts of solar capacity annually, with potential expansion to 200 megawatts. Midsummer AB will supply manufacturing equipment and related services, including its proprietary DUO thin-film production system, and hold a minority equity stake in the joint venture.
This facility supports Indonesia's 100 gigawatt solar capacity program, launched in August 2026, which targets electrification of 80,000 rural areas. The program has an estimated $73 billion price tag and a three-year completion target. Midsummer AB previously established a similar CIGS manufacturing partnership in Colombia with Swedish aerospace company Saab, involving cumulative machinery orders of approximately 380 million SEK ($39 million).
Scaling solar production in Indonesia could reduce costs for the country's population as part of broader solar affordability efforts. The project requires finalization of governance terms, Indonesian regulatory approvals, incentives, project financing, and equipment agreements before manufacturing equipment importation.
What to watch: Exact equity stake size remains undisclosed; analysts describe Indonesia's 100 gigawatt solar program completion target as highly challenging due to current module manufacturing capacity, grid readiness, and financing constraints. The project timeline depends on regulatory approvals and incentives before full implementation.
Source: pv magazine