Indonesia Plans to Step Up Use of New Renewable Energy

Indonesia Plans to Step Up Use of New Renewable Energy

The government is planning to increase the use of new renewable energy for
electricity by 2025. The Electricity Provision Business Plan (RUPTL)
2017-2026 signed in March says that the uptake of new renewable energy will
be increased from 19.6 percent to 22.6 percent by 2025.

The government will optimize local energy sources to generate electricity in
the same region. The government will also find a more efficient generating
technology to reduce the basic cost of electricity supply.

The Energy and Mineral Resources Ignasius Jonan said that revisions to RUPTL
will depend on external factors. "If there are any changes, such as economic
growth, which is an extraordinary monetary change, [RUPTL] will be revised
accordingly," Jonan said in Jakarta yesterday.

Meanwhile, coal energy consumption is expected to reach 50 percent of the
entire primary energy source by 2025. The natural gas energy consumption is
expected to reach 26 percent and that of crude oil to reach less than 0.5
percent by 2025.

The government also plans to operate power stations with a total capacity of
125 gigawatts (GW), or 125,000 megawatts (MW). Seventy GW of electricity is
expected to be installed by 2019.

State-owned electricity company PT PLN (Persero) will also develop
mine-mouth coal-fired power plants with a total capacity of 7,300 MW. As
many as 1,600 MW of which will be generated from mine-mouth power plants in
Kalimantan, while the remaining power plants will be built in Sumatra. PLN
expects to develop power plants with a capacity of 77 GW by 2025 along with
67,422 transmission lines and 164,170 MVA of substation capacity.

The target is below that of set in the RUPTL. PLN lowered the target in the
Java-Bali system from 41,800 MW to 39,100 MW and eastern Indonesia system
from 12,730 MW to 17,720 MW. Meanwhile, the Sumatra system is increased from
20,400 MW to 21,000 MW.

Jonan has asked the PLN to prioritize the development of mine-mouth
coal-fired power plants and gas-fired power plants at the mouth of the well.
He stressed that development should correspond with local energy
availability.

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Link to Original Article:
https://en.tempo.co/read/news/2017/04/11/056864664/Indonesia-Plans-to-Step-U
p-Use-of-New-Renewable-Energy

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John Diecker
APT Consulting Group Co., Ltd.

www.aptthailand.com