Last week, the United Arab Emirates (UAE) made clear it intends to deepen its involvement in Indonesia’s geothermal sector. Speaking at Abu Dhabi Sustainability Week, executives from Masdar, the UAE’s state-owned renewable energy company, described geothermal as a strategic priority and highlighted Indonesia’s position as the world’s second-largest geothermal producer. Masdar framed the move as a natural extension of its commitment to Indonesia’s clean energy transition.

That conclusion deserves reconsideration.

For the UAE, expanding investment in Indonesian geothermal energy is a strategic misstep. The technology is increasingly associated with social conflict, long development timelines and uncertain returns. Meanwhile, Masdar already has a more effective, scalable and politically durable pathway in Indonesia: floating solar power paired with battery energy storage.

Geothermal is often promoted as an ideal clean energy source because it provides steady, baseload electricity. In practice, geothermal development in Indonesia has proven far more complicated. Projects require extensive drilling, land access and permanent surface infrastructure, frequently located in rural or environmentally sensitive areas. These requirements have brought geothermal projects........

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