NEW AND RENEWABLE ENERGY INVESTMENT …

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Transcript NEW AND RENEWABLE ENERGY INVESTMENT …

GENERATING DIALOGUE CLEAN ENERGY, GOOD GOVERNANCE AND REGULATION

by Maritje Hutapea Directorate General for Electricity and Energy Utilization Ministry of Energy and Mineral Resources Singapore, 17-18 March 2008 1

Indonesian Current Energy Condition

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Growth of Primary Energy

1970 Oil Gas : 88% : 6% Coal : 1% Hydro : 5% Geothr : 0% 900,000.0

800,000.0

700,000.0

600,000.0

Geothermal 500,000.0

400,000.0

300,000.0

200,000.0

100,000.0

Coal Hydro Oil Gas 0.0

1970 1975 1980 1985 1990 1995 2000 2005 2006 Year 2006 Oil Gas Coal : 46,9% : 21,8% : 23,5% Hydro : 2,4% Geothr : 5,5%

Average Growth of Primary Energy 1970-2006 = 7%/year

Source: DGEEU, 2005

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Renewable Energy Potential (2006)

TYPE OF ENERGY Large Hydro Geothermal Mini/Micro-hydro Biomass Solar Wind Uranium (Nuclear) RESOURCES 845 million BOE 219 million BOE 500 MW 24.112 Tonne e.q. POTENTIAL 75,67 GW 27 GW 500 MW 49,81 GW 4,80 kWh/m 2 /day 3-6 m/second 3 GW for 11 years UTILIZATION 6.851 GWh 2.593,5 GWh INSTALLED CAPACITY 4.200 MW 807 MW 207 MW 445 MW 12 MW *) 1 MW *)

*) 2007

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Final Energy Consumption 2006

(Industrial Sector is the biggest final energy consumer) Transportation 38% Industry 40,6% Sectoral Final Energy Consumer 2006 Sector

Industry Transportation Household& Commercial Total

Source: Statistic DGEEU 2006

Final Energy Consumption (Thousand BOE)

213.692

199.613

112.837

526.142

Household & Commercial 21,4% 5

Rural Electrification Ratio (2006)

35000 30000

Electrified

Outside Java, 30,497

Java

97.91%

69,33%

25000

Java, 23,639

20000 15000

97,91%

w/ electicity w/o electicity 2.09% 10000

Outside Java

5000 69.33% 0

Java

2006

Outside Java

30.67%

Indonesia With electricity : 54.136 desa (79,46%) Without electricity : 13.995 desa (20,5%)

w/ electricity w/o electricity 6

Electrification Ratio

45 40 35 30 65 60 55 50 43 52 54 1995 2000

Electrification Ratio

2005 Electrification Ratio 2006 : 59% 59

Customer: 33,1 million household

2006 7

Share of Electricity Production by Type of Energy (2006)

Gas 20% Coal 37% Oil 57.8% Geothermal 3% Hydro 8% 8

NATIONAL ENERGY POLICY

(PRESIDENTIAL DECREE NO. 5 YEAR 2006) CURRENT ENERGI MIX (1 million BOE) National (Primary) Energy Mix Target in 2025

1. Less than 1 for energy elasticity 2. Optimized primary energy mix Hydro Power, 3.11% Geothermal, 1.32% Natural Gas, 28.57% Oil 51.66% Coal, 15.34%

National (Primary) Energy Mix of 2025 (BaU Scenario) (5 million BOE)

Power Plant, 1.9% Mini/micro Hydro Power Plant, 0.1% Geothermal, 1.1% Gas, 20.6% Oil, 41.7% Coal 34.6%

OPTIMIZING ENERGY MANAGEMENT National Energy Mix 2025 (3 million BOE) (Presidential Decree No. 5/2006)

Oil, 20% Gas, 30% Coal , 33% RE,17% BIOFUELS, 5% Geothermal, 5% Biomass, Nuclear, Hydro Solar Energy, Wind Power, 5% Coal Liquefaction 2%

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Renewable Energy Development

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TARGET OF RENEWABLE ENERGY IMPLEMENTATION

Short-term : Small scale for fulfilling rural basic energy needs

Long-term : To substitute fossil energy in achieving energy sustainable development

In the year 2025 : At least 15% of the energy mix should be based on renewable energy (Based on National Energy Policy) 11

NEW RENEWABLE ENERGY DEVELOPMENT PLAN (Based on the Blueprint of National Energy Management) Jenis Energi Unit Bio-diesel Kilo liter Bio-ethanol Bio oil Biomassa : Waste Geothermal Wind Power Solar Energy Barel per hari Kilo liter MW MW MW MW Microhydro MW 2010 1.160.000

42.860

244.000

30 1.320

10 80 450 2015 2020 2025 3.000.000

11.800.000

4.160.000

48.110

257.000

60 4.340

40 100 740 55.340

627.000

120 5.090

80 120 950 60.320

4.863.000

200 5.270

160 580 950 12

RENEWABLE ENERGY UTILIZATIONS

Electrification

Water Pumping

Battery Charging

Rural Health Center Refrigerator

Telecommunication

Solar Cooker

Water Heater

Agriculture/Fishery Product Drying

Water Distillation

Fuel for Transportation 13

☼ Rural Electrification Program

  Replacing diesel power plant by using local energy sources: micro hydro, solar PV, wind, biomass (stand alone/or hybrid system) Government and regional government provide budget for rural electrification  rural consumers are obliged to pay monthly payment depends on local conditions  Establishing local institution in operation and maintenance of the asset.

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☼ Rural Electrification Development

 Development of isolated system in remote areas with the utilization of local energy resources, such as micro hydro, wind, solar PV, etc., through:   Stand alone Hybrid system: Diesel-Solar PV, Micro hydro-Solar PV, Wind Solar PV.   Existing Renewable Energy Installed Capacity for Rural Electrification:  Solar PV : 12 MW  Micro hydro : 207 MW   Wind : 1 MW Biomass : 150 kW Target to be achieved in 2025  95% Rural Electrification

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☼ Rural Electrification Project in 2007

No

1 2 3

Type of Energy Location Units

Solar a. Solar Home System b. Solar Power Plant Mini/Micro-Hydro Wind 29 Provinces Riau, West Java, Central Java & East Java Bali - West Java - Banten - Central Java 40,888 x 50 Wp 4x18 kWp 1x32 kWp 1x30 kW & 1x37 kW 1x40 kW 1x30 kW, 1x50 kW & 2x15 kW 1x52 kW West Sumatera Central Sulawesi (interconnected) - North Sulawesi - Bali

Total

1x890 kW 2x80 kW 4x80 kW

Installed Capacity

2146 kW 1171 kW 480 kW

3797 kW 16

☼ Rural Electrification Project in 2008

• •

Located in 29 provinces Consist of:

solar energy : SHS ( ± 35,000 units @ 50 Wp) and centralized solar PP (4 units @10 kW)

mini/micro-hydro (capacity: 20 – 500 kW)

wind energy ( ± 150 units @ 50 Wp)

Hybrid: wind-diesel and solar-diesel 17

☼ Self-sufficient Energy Village (SSEV) Program

SSEV is a village having capability to produce a part/whole their energy demand for consumptive and productive use.

• •

CRITERIA

– – –

Utilization of locally available energy (renewable energy) Creation of productive activities Job creation PROGRAM:

Utilization of locally available energy resources

– –

Development of applicable technologies Development of institution and people participatory 18

☼ Self-sufficient Energy Village Type

SELF-SUFFICIENT ENERGY VILLAGE BIOFUEL-BASED

• Jatropha Curcas • Coconut • Cassava • Sugar Cane

NON BIOFUEL-BASED

• Micro-hydro • Wind Turbine • Solar Energy • Biogas • Biomass

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☼ Target of SSEV Implementation

Program Biofuel-based SSEV Non-biofuel-based SSEV 2007 100 100 2008 500 500 2009 1000 1000

TARGET SSEV (Cumulative) 20

Barrier & Strategy in Developing Renewable Energy

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BARRIERS TO RENEWABLE ENERGY DEVELOPMENT

High investment cost

 

high production cost renewable energy cannot compete conventional

 

energy

Lack of incentive and funding mechanism Lack of knowledge, awareness Lack of domestic industry’s capability to produce renewable energy technology 22

Law & Regulation

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1.

2.

3.

4.

5.

6.

7.

POLICIES AND REGULATIONS

Energy Law

(Law No. 30/2007)

Geothermal Law

(Law No. 27/2003)

Green Energy Policy

(Ministerial Decree: No. 0002/2004)

Supply and Utilization of Biofuel

(Presidential Instruction No. 1/2006)

Regulation on Electricity Supply and Utilization

(Government Regulation No. 03/2005)

Small Distributed Power Generation using Renewable Energy

(Ministerial Decree: No. 1122 K/30/MEM/2002)

Medium Scale Power Generation Using Renewable Energy

(Ministerial Regulation No. 002/2006)

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Energy Law

(Law No. 30/2007)

 Issued in 2007 that renewable energy regulates such as: pay attention development on and  Government and local government should increased the utilization of renewable energy;  Government and local government should provide incentives for renewable energy developers for certain period of time.

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Geothermal Law

(Law No. 27/2003)

To regulate the management and development of geothermal energy sources for direct and indirect utilization 26

Green Energy Policy

(Ministerial Decree: No. 0002/2004)

Renewable Energy and Conservation Energy Development Policy: Green Energy Policy:

Implementing the maximum utilization of renewable energy

Efficient utilization of energy

Public awareness in energy efficiency 27

Presidential Instruction on Biofuel Development (Presidential Instruction No. 1/2006)

Objective: Accelerating biofuel utilization for fossil (especially oil) substitution

Instructions to 13 Ministers, Governors and Mayors to take necessary initiatives and actions for biofuel development from supply (feedstock) side until consumption/commercialization side

Coordinated by Coordinator Minister of Economic 28

Regulation on Electricity Supply and Utilization (Government Regulation No. 03/2005)

Regulating the supply and utilization of electricity

Prioritizing utilizing renewable energy for power generation

Renewable Energy for Power Generation without bidding process 29

Small Distributed Power Generation using Renewable Energy

(Ministerial Decree: No. 1122 K/30/MEM/2002)

Developer : Small Enterprises

Capacity : < 1 MW

Electricity Price by Utility :

60% x Utility’s Production Cost, if connected to the low voltage grid

80% x Utility’s Production Cost, if connected to the medium voltage grid 30

Medium Scale Power Generation using Renewable Energy (Ministerial Regulation : No. 002/2006)

   

Developer : Business Entity Capacity : 1 < Cap ≤ 10 MW Electricity Price by Utility :

 

60% x Utility’s Production Cost, if connected to the low voltage grid 80% x Utility’s Production Cost, if connected to the medium voltage grid Purchase Contract : 10 years and could be extended 31

www.djlpe.esdm.go.id

www.energiterbarukan.net

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