Jakarta, December 2, 2024 - PT PLN (Persero) and PT XL Axiata Tbk (XL Axiata) have formed a strategic collaboration to supply electricity for Base Transceiver Station (BTS) devices and migrate to green energy. This relationship will endure for the next two years, beginning in September 2023 and being extended in October 2024. The goal is to integrate both parties' products and explore possible opportunities, not only to provide a secure electricity supply, but also to develop long-term business solutions that improve public services and benefit the enterprises involved.
Marwan O. Baasir, XL Axiata's Chief Corporate Affairs, stated, "With the increasing demand for telecommunications services, access to reliable electricity has become a critical component for the sustainability and expansion of XL Axiata's telecommunications infrastructure. Our collaboration with PLN not only ensures the operational stability of our BTS towers, but it also supports XL Axiata's objective of continuing to innovate in sustainability. We are devoted to providing the finest service to our consumers while protecting the environment through the use of digital technologies and the transition to green energy."
Meanwhile, Lasiran, General Manager of PLN's Jakarta Raya Distribution Unit, highlighted that PLN is prepared to address customers' green energy needs with its Renewable Energy Certificate (REC) product. REC is an internationally recognized renewable energy certificate issued by PLN that confirms that the electricity delivered to customers came from renewable sources.
"We are pleased to support XL Axiata in ensuring a dependable electrical supply and transitioning to green energy. This is also consistent with PLN's objective of supporting the national energy transformation," added Lasiran.
The first key initiative and component of this relationship is the provision of electricity via PLN, which ensures a consistent and reliable electricity supply for BTS towers. Second, use digitalization and automation technologies, particularly Advanced Metering Infrastructure (AMI) and Automated Meter Reading (AMR), to monitor electricity use in real time and effectively. Third, RECs are being used to facilitate the green energy transition, allowing XL Axiata to affirm that the electricity it utilizes is renewable.
The collaboration has tremendous benefits for XL Axiata and its customers. For XL Axiata, it improves electrical supply reliability, lowers operational costs, and emphasizes the company's commitment to sustainability through the use of renewable energy. Customers will benefit from higher-quality telecommunications services and a more stable electrical supply. This also increases customer confidence in XL Axiata's commitment to environmental sustainability.
PLN and XL Axiata utilize AMI and AMR technology to increase the accuracy of electricity consumption statistics. These technologies offer more effective energy consumption management, lowering operational expenses. Furthermore, this move improves efficiency in managing energy resources, which aligns with both firms' objectives to enhance digitization and automation.
Despite the numerous benefits, the implementation of these technologies presents a few challenges. One of these is the lack of digital metering devices in some places, making it difficult to record data accurately. Network concerns in remote places are also a huge challenge, as this technology requires a consistent 4G signal to function properly.
Meanwhile, by purchasing REC from PLN, XL Axiata can assure that its electricity consumption is from globally validated renewable energy sources. This project is part of the company's overall commitment to lowering its carbon footprint and promoting environmental sustainability. This agreement also represents XL Axiata's tangible contribution to Indonesia's green energy transition.
As of the end of September 2024, XL Axiata had more than 165,000 BTS, including around 110,000 4G units. The fiber-optic network (fiberized) has a 63% connection rate. Fiberization of this BTS aims to improve data network quality and prepare for future 5G implementation.