Sweden and Indonesia Partner on $39M Solar Factory

Indonesia is getting a major boost in its quest to bring solar power to millions of people, thanks to a new manufacturing partnership with Swedish technology experts.

Midsummer AB, a Swedish solar equipment maker, just signed a deal with Indonesian industrial giant PT Metalogika Rekayasa Sistem to build a flexible solar panel factory in Indonesia. The plant will start by producing enough panels to generate 20 megawatts of electricity each year, with plans to expand tenfold to 200 megawatts as demand grows.

The factory will produce a special type of lightweight, flexible solar panel called CIGS thin-film cells. These panels can bend and flex, making them easier to install in challenging locations like rural areas without existing infrastructure.

The timing couldn't be better. Indonesia recently launched an ambitious program to install 100 gigawatts of solar capacity nationwide and bring electricity to 80,000 remote villages. That's enough clean energy to power tens of millions of homes while avoiding massive amounts of carbon emissions.

Midsummer will provide the high-tech manufacturing equipment and take a minority stake in the joint venture. The company previously used this same partnership model in Colombia, where it's already supplying equipment for a factory that will produce at least 100 megawatts worth of panels annually.

Firrisky Nurtomo, president of Metalogika, said the factory provides a practical starting point toward building much larger Indonesian manufacturing capacity using locally sourced components. This means more jobs and technical expertise staying in Indonesia rather than relying entirely on imports.

The Ripple Effect: This partnership represents a shift in how clean energy technology spreads globally. Instead of wealthy countries simply exporting finished products, they're sharing manufacturing know-how and building local capacity. That creates jobs, reduces shipping costs and emissions, and helps countries like Indonesia become self-sufficient in producing the tools they need for their own energy transition.

The deal also shows smart strategy from Midsummer. The company recently abandoned plans to build its own 200-megawatt factory in Sweden, choosing instead to focus on selling equipment and taking small stakes in partner-led factories around the world. This approach requires less upfront capital while spreading solar technology to the places that need it most.

Indonesia faces real challenges in meeting its three-year timeline for the 100-gigawatt program, including grid upgrades and financing. But partnerships like this one provide the foundation for steady, sustainable progress toward a cleaner energy future.

Every solar factory built brings communities closer to affordable, clean electricity that never runs out.