GE to Invest Up to $1 Billion in Indonesia’s Power, Oil and Gas, and Healthcare Sectors to Help Accelerate Infrastructure Growth
GE (NYSE:GE) announced today that it will invest up to $1 billion in the
power, oil and gas, and healthcare sectors to support Indonesia’s
accelerated economic growth. The announcement was made on the sidelines
of a meeting between the President of the Republic of Indonesia, Joko
Widodo, and the President of United States of America, Barack Obama. The
investment will be made in tandem with GE’s participation in the
country’s infrastructure build-out.
Elaborating on the $1 billion program, GE’s Vice Chairman John Rice
said, “Indonesia has been an important and strategic country for us for
over 75 years and the current government’s vision and more recent plans
to accelerate spending on infrastructure have given us the confidence to
make this commitment. GE’s spending over the next 5 years will target
critical areas important to the economy and cover power generation, oil
and gas, and healthcare. Through this investment, we hope to expand our
local business operations significantly, in a way that we believe will
lead to a multiplier effect on the economy.”
Indonesia has set an ambitious goal to increase power generation
capacity by 35 GW by 2019. To facilitate achieving this goal, GE will
bring its latest technology and will partner with local companies to
expand their manufacturing and assembly capabilities, as well as enhance
repair and service capabilities in country. In addition, GE will help
build Indonesia’s human capital through technical and leadership
training programs.
In the oil and gas space, GE’s investments will include expanding the
current subsea equipment manufacturing facility to include other GE
product lines, and partnering with local companies to expand
manufacturing and assembly locally.
In the healthcare sector, GE will align with Indonesia’s objective of
providing universal healthcare by supporting the expansion of the
country’s primary healthcare ecosystem, including the development of up
to 100 primary care clinics through technology and training innovations.
Given the importance of healthcare for the country, GE relocated the
headquarters of its healthcare business in ASEAN to Jakarta earlier this
year.
These commitments will result in the creation of over 6,000 jobs,
technology transfer, training of over 1,000 people a year, and the
expansion of local supply chains as GE’s business grows.
Today GE employs nearly 1,000 people, with operations in Jakarta,
manufacturing facilities in Yogyakarta and Batam, and a turbine service
facility in Bandung. GE’s investment in its three facilities have
directly provided jobs for 800 Indonesians, supported the local supply
chain and enhanced export capabilities for the country. More than 90% of
the equipment manufactured in its oil and gas facility such as subsea
wellheads, surface wellheads, vertical christmas trees, tubular products
and connectors used in oil and gas exploration and production is
exported for use in global projects.
Indonesia has an enormous stake in maintaining the momentum behind its
economic growth which will require deployment of cutting-edge technology
and sustainable infrastructure solutions. GE is well positioned to meet
the country’s needs with its latest and most fuel-efficient HA class
heavy-duty gas turbines, mobile power solutions like the TM2500 for
remote areas, and affordable primary care solutions like the VSCAN
portable ultrasound device. GE has also helped to connect Indonesians
across 17,000 islands, by providing fuel-efficient aircraft engines and
locomotives. In addition to technology, GE can bring comprehensive
financing solutions and development expertise to help the country
deliver on its infrastructure projects.
About GE
GE (NYSE:GE) imagines things others don’t, builds things others can’t
and delivers outcomes that make the world work better. GE brings
together the physical and digital worlds in ways no other company can.
In its labs and factories and on the ground with customers, GE is
inventing the next industrial era to move, power, build and cure the
world. www.ge.com.
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