"Indonesia and Finland agreed to cooperate on biomass development for the period 2011-2014," said Indonesian Minister of Energy and Mineral Resources Minister Jero Wacik after receiving Finnish Economic Affairs Minister Jan Vapaavuori here on Friday.

The governments of both the countries have also agreed to renew the cooperation contract for the period 2014-2017, Jero added.

Under the collaboration, Indonesia will receive technical assistance funding worth three million Euros for the period 2011-2014, Jero noted.

"They (Finland) aggressively pushed for an investment opportunity and providing biomass technology assistance," Jero noted.

Given the large amount of garbage the country produces, Indonesia has the potential to develop biomass as an alternative source of energy and this has been the basis for the cooperation, Jero observed.

Finland has the experience and the technology for such an undertaking. Approximately 80 percent of the country`s power comes from biomass.

In addition to biomass, the two governments are also collaborating on hydroelectric power and mine processing (smelting) plants.

Finland has been developing biomass as an alternative energy source for decades, Vapaavuori observed.

"We have the ability and experience," he said.

Vapaavuori added he was pleased to hear Indonesia has changed its paradigm for utilizing biomass in the future.