The upgrade project will result in the conversion of existing 1,150MW gas-fueled generator to a 1,800MW combined-cycle power plant, adding 650MW of electricity to the national grid.

Under the $40m contract, ABB will be responsible for the design, engineering, installation and commissioning of supporting components and auxiliary systems of the plant, which is operated by Indonesia’s national power utility PT Perusahaan Listrik Negara (PLN).

The contract scope also includes supply a 500kV air Insulated Switchgear (AIS) substation. It will also provide generator circuit breakers, medium- and low-voltage switchgear as well as transformers and protection equipment.

ABB Power Grids division president Claudio Facchin said: “ABB has a long-standing presence, expanding footprint and proven track record in Indonesia and we are pleased to contribute further to the development of the country’s power infrastructure to serve the country’s growing economy and vibrant population.

“We are proud to be a part of this innovative project which supports our vision of enabling a stronger, smarter and greener grid.”

According to PLN, electricity demand in the country is estimated to grow at around 8.5% per annum between 2015 and 2025.

In order to meet the increasing demand, the Indonesian government has set a target to add 35,000MW of new power generation capacity between 2015 and 2019.

The Muara Tawar upgrade project is expected to contribute the country's goal to produce 23% of its total power from renewable sources by 2025.

Rrecently, ABB inaugurated a new manufacturing facility for high-voltage switchgear in Tangerang, on the outskirts of Jakarta.