RENEWABLE ENERGY FOR INDONESIA 2017

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OVERVIEW

Indonesia, with the world's fourth largest population has an aggressive goal to increase the share of renewable energy in the country's  energy mix to 23 percent by 2025. With its overall potential to generate 788,000MW through new and renewable energy, Indonesia  will serve as a model for clean energy deployment, especially for island nations, while providing a growing market for advanced renewable energy technologies worldwide.

With an expected population of 285 million by 2025, the greatest challenges of Indonesia to achieve universal electrification is their remote regions and islands that currently heavily dependent to high-cost diesel fuel that is often imported and transported over long distances.

Recognising the opportunity that Indonesia's energy market presents, the Government is committed on its 35 GW energy plan and make power more affordable for the people throughout the country. Efforts in improving the ease of licensing, providing incentives and adjustment on feed-in-tariff are part of the initiatives of the Government in increasing the deployment of renewable energy in the country; while initiating rural electrification programs to bring electricity to more than 12,600 villages lacking on-demand access, largely from renewable resources.

The hosting of the 3rd edition of Renewable energy for Indonesia (RE4I 2017) is to provide an interactive platform for potential investors and renewable energy technologies providers to understand the market directions, opportunities and economic priorities of the Government of Indonesia on the renewable energy sector, at the same time to build potential business networks with the local authorities and industry stakeholders.


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  • Indonesia has an estimated geothermal energy potential of 29GW across more than 285 locations – equivalent to about 40% of world's total geothermal reserves
  • The government is using only 4-5% of its geothermal capacity
  • In August 2014, Indonesia's House of Representatives passed the Geothermal Law No. 21/2014 separating geothermal from other mining activities and thus paving the way for geothermal exploration in the country.
  • The Geothermal Fund Facility (GFF) provides support to mitigate risks and provide information regarding the relatively high upfront costs for geothermal development, as the government efforts to make the investment in geothermal energy more attractive.

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  • Indonesia has an estimation of 75,670MW of hydropower potential and an addition of 770MW of mini- or micro-hydropower for development. 95% of the hydropower potential is not utilized.
  • A 2007 grant from the United Nations Development Program allowed Indonesia to create an Integrated Microhydro Development Program to accelerate hydropower development. The program focused on removing investment barriers and fostering technical capacity.
  • Feed-in Tariffs (FiTs) for hydropower projects generating less than 10 MW are currently regulated under MEMR Regulation No. 19/2015 at the rates of USD12.00 Cents/kWh (multiply by factor rate according to location) for up to 8 years and USD7.50 Cents/kWh (multiply by factor rate according to location) for up to 20 years. For hydropower projects generating less than 250 kW, the Feed-in Tariffs (FiTs) are at USD14.40 Cents/kWh (multiply by factor rate according to location) for up to 8 years and USD9.00 Cents/kWh (multiply by factor rate according to location) for up to 20 years.
  • The Feed-in Tariffs (FiTs) from hydropower harnessing water from reservoirs / dams or irrigation channels with capacity up to 10 MW, the purchase price is USD10.8 Cents/kWh (multiply by factor rate according to location) for up to 8 years and USD6.75 Cents/kWh (multiply by factor rate according to location) for up to 20 years. For projects generating less than 250 kW, the Feed-in Tariffs (FiTs) are at USD13.00 Cents/kWh (multiply by factor rate according to location) for up to 8 years and USD8.10 Cents/kWh (multiply by factor rate according to location) for up to 20 years.
  • To meet electricity demand, a total of 5.7GW new additional hydropower plant has been planned for the next 10 years and 20% expected to be developed by IPP.         

SOLAR ENERGY IN INDONESIA
  • Indonesia offers significant solar power resources with 4.8kWh/m2 per day, but has yet to develop strong market
  • Current installed capacity is mostly solar home systems and utility-scale solar photovoltaic (PV) plants.
  • The feed-in Tariff (FiT) for solar energy is at US$0.25/kWh.
  • The GoI shown desire to attract foreign solar cell manufacturers to Indonesia to create jobs for local Indonesians and also drive interest in solar power writ large that could lead to export opportunities

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 WIND ENERGY IN INDONESIA

  • Wind energy development program in Indonesia up to 2020 are 200MW which are currently still under procurement.
  • Offshore wind is providing more investment opportunities due to Indonesia's lengthy coastlines and consistent ocean breezes.
  • he Gol will be tabling the final draft of the Feed-in Tariffs (FiT) for wind energy.       

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sumber: http://there4i.org/ , booklet Renewable Energy For Indonesia 2017