Indonesia: Electricity Program Facing Socio-Political Obstacles

Indonesia: Electricity Program Facing Socio-Political Obstacles

Former Energy and Mineral Resources Minister Sudirman Said said that there
are a number of obstacles in carrying out the electricity program.

In addition to technical aspects, Sudirman Said also said that the main
obstacles concern social and political aspects.

"These two aspects are more dominant than the technical aspects, starting
from land acquisition to whom is being allocated and how much," said
Sudirman in South Jakarta, Saturday (24/9).

Sudirman aded that such problems cannot be tackled by the technocrats and
experts. State-owned electricity company PLN too, Sudirman added, is
sometimes faced with the reality that its developers have political links.

"It is a big trouble," he said.

Sudirman pointed out that everyone knows the potentials of new and renewable
energy in Indonesia and it is written in the national energy policy.

However, like many circumstances in other countries, the development of new
and renewable energy requires political will and cannot be mere dealt with
by technocrats.

"Because the development of new renewable energy need incentives, subsidies,
and regulations," he said.

Sudirman also mentioned the mafia in the energy field.

He said that there are forces affecting policy making stakeholders, for
example by saying that the refinery construction is expensive and
uneconomical.

Sudirman further said it would be uneconomic if Indonesia is dependent on
energy imports.

"New and renewable energy is expensive but in time, we should build it,"
Sudirman said.

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Ref:
http://en.tempo.co/read/news/2016/09/24/056807066/Electricity-Program-Facing
-Socio-Political-Obstacles

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John Diecker
APT Consulting Group Co., Ltd.

www.aptthailand.com