Transcript By: Sugiharto Harsoprayitno, M.Sc Director of Geothermal

MINISTRY OF ENERGY AND MINERAL RESOURCES
DIRECTORATE GENERAL OF MINERAL, COAL AND GEOTHERMAL
GEOTHERMAL DEVELOPMENT IN INDONESIA
By:
Sugiharto Harsoprayitno, M.Sc
Director of Geothermal Enterprise Supervision and Groundwater Management
APEC EWG 38, BALI
November 2009
OUTLINE
 Geothermal Policy
 Geothermal Development Plan
2
Geothermal Policy
Implementation of Geothermal Policies
Existing WKP
New WKP
 President Decree No 45/1991, No 49/1991,
 Law No. 27/2003
 Business structure based on JOC and ESC
 Business structure in the form of Permit:
 34% of Net Operating Income (NOI), that had
 Obligation to pay for taxes and royalty
 Project Management : Under Pertamina (JOC)
 Project Management :Under Permit Holder
 Project Type:
 Project Type:
and No 23/1992


Geothermal Mining Permit
Enterprise Permit for Electricity
included all kinds of taxes and retribution,
except personal tax.
and PLN (ESC)


Total (Integrated) Project
Partial Project
 Selling Price: In US Dollar
Total (Integrated) Project
WKP holder will be granted as generally plan
operation
 Selling Price : In Rupiah
4
Government Regulations
I. Law No. 27/2003 on Geothermal
II. Government Regulation No. 59/2007 on Geothermal Business Activities
III.Ministerial Regulations
 MEMR Regulation No. 11/2008 on Mechanism for Determining
Geothermal Working Area
 MEMR Regulation No. 02/2009 on The Guidelines for Geothermal Pre-
Survey Assignment
 MEMR Regulation No. 05/2009 on The Guidelines for Electricity
Purchasing Price by PT. PLN from Cooperation and Other Business
Entities
 MEMR Regulation No. 11/2009 on The Guidelines for Geothermal
Enterprises
5
MEMR Regulation No. 02/2009 on
The Guidelines for Geothermal Pre-Survey Assignment
 Pre-Survey Assignment to Business Entities is given to accelerate geothermal
development in green field (before determined as WKP)
 The Minister determines areas for Pre-Survey Assignment and offers them
through medias and forums by Director General
 Business Entities propose Pre-Survey Assignment request to The Minister
attn. Director General cc: Head of Geological Agency, governor and
regent/mayor
 Application process uses
first come first served system
 One Business Entity can get one area of Pre-Survey Assignment
 Pre-Survey Assignment has to be finished in one year (max)
6
MEMR Regulation No. 05/2009 * on
The Guidelines for Electricity Purchasing Price by PT. PLN from Cooperation and
Other Business Entities
 In designing the electricity purchasing, PT. PLN is obligated to make their
own estimated price based on type of generation, location, capacity
quantities, capacity factor and also some assumptions such as: level of
local content components, fuel price, exchange rate and other macro
economic indicators
 PT. PLN request for approval of the electricity purchasing price to Minister
of Energy and Mineral Resources
 The electricity purchasing price can be adjusted considering on macro
economic indicators and based on agreement (Power Purchase
Agreement)
* Under Reviewed
7
Government Regulations
Continued…
IV. Tax facilities are provided in accordance with the Tax Regulations:
 Government Regulation No. 62/2008 jo No. 1/2007 on Income Tax
Facilities for Investment in Certain Business Fields and/or Certain
Regions
→ 30% (thirty percent) net tax deduction of the total Investment, charged for 6
(six) years for 5% (five percent) annually
→ Income tax charge for dividend paid to Foreign Tax Subject shall be 10% (ten
percent), or lower tariff according to effective Double Taxation Avoid
Agreement
 MoF Decree No. 177/PMK.011/2007 on Custom Duties Exemption of
Import Items for Upstream Activities in Oil & Gas and Geothermal & MoF
Decree No. 242/PMK.011/2008 on Value Added Tax of Import Items
Covered by Government for Upstream Exploration Activities in Oil & Gas
and Geothermal on 2009 Budget
→ for the items haven’t been produced in Indonesia
→ for the items have been produced in Indonesia but they haven’t complied with
the specification needed or the amount is insufficient
8
GEOTHERMAL WORKING AREA (WKP)
9
Geothermal Development Plan
Projection of Power Generation Capacity Needed
(based on RUKN 2008 – 2027)
200,000
180,000
160,000
140,000
MW
120,000
100,000
80,000
60,000
40,000
20,000
0
Jamali
Outside Jamali
Indonesia (Total)
2009
27,483
9,072
36,555
2012
35,912
11,346
47,258
2017
57,088
16,631
73,719
2022
90,871
24,451
115,322
2027
149,632
37,541
187,173
30,345 MW → Installed Capacity as of March 2009
Assumption:
• Reverse Margin 30 %
11
Resource Potency
 Geothermal potency 27 GW or equivalent to 219 Billions barrel
of oil
 Installed Capacity 1,179 MW (4.3% of whole potency)
 Geothermal Road Map Target 9,500 MW in 2025
12
Geothermal Area Distribution Map
Source : Geological Agency, MEMR (2008)
13
Geothermal Potential Distribution
Resources (MWe)
Reserve (MWe)
Speculative
Hypothetic
Probable
Possible
Proven
Installed Capacity
(MWe)
Sumatera
4,973
2,121
5,845
15
380
12
Java
1,960
1,771
3,265
885
1,815
1,117
Bali-Nusa Tenggara
410
359
973
-
15
-
Sulawesi
875
32
959
150
78
50
Maluku
370
37
327
-
-
-
Kalimantan
45
-
-
-
-
-
Papua
50
-
-
-
-
-
8,683
4,320
11,369
1,050
2,288
Location
Total 257 Locations
13,003
Total : 1,179
14,707
Total : 27,710
14
Existing Geothermal Production Areas
in MW
No.
Location
Province
Developer
Installed Capacity
12
1
Sibayak
North Sumatera
PGE
2
Salak Mt.
West Java
PGE-CGS
375
3
Wayang Windu
West Java
PGE-SE
227
4
Kamojang
West Java
PGE
200
5
Darajat
West Java
PGE-CGI
255
6
Dieng
Central Java
GDE
60
7
Lahendong
North Sulawesi
PGE
50
Total
1,179
Remarks:
PGE : (Pertamina Geothermal Energy)
CGS : (Chevron Geothermal Salak)
CGI : (Chevron Geothermal Indonesia)
SE
: (Star Energy)
GDE : (Geo Dipa Energy)
15
The Road Map of Geothermal Development 2006 – 2025
(Based on President Decree No. 5/2006 on National Energy Policy)
2006
2008
2012
2016
2020
2025
4600 MW
6000 MW
9500 MW
(Target)
2014
852 MW
2000 MW
3442 MW
(Production)
1148 MW
Existing WKP
1442 MW
Existing WKP
1.179 MW
Current Condition
1158 MW
Existing WKP +
New WKP
1400 MW
New WKP
3500 MW
New WKP
5.795 MW
Plus Crash Program
Scenario Phase II
WKP : Geothermal Working Area
16
Geothermal Contribution on
10,000 MW Power Development Acceleration Program Phase II
AREA
PLTU
PLTGU
PLTP
PLTA
TOTAL
JAVA
OUTSIDE JAVA
2.616
2.616
26%
1.200
240
1.440
14%
2.137
2.596
4.733
48%
1.000
174
1.174
12%
4.337
5.626
9.963
100%
TOTAL
Notes:
PLTU
PLTGU
PLTP
PLTA
:
:
:
:
Coal Fired Power Plant
Combine Cycle Power Plant
Geothermal Power Plant
Hydro Power Plant
17
Distribution Area for Geothermal Development Plan 2009 – 2014
(Based on 10,000 MW Power Development Acceleration Program Phase II)
2009
2010
2011
2012
2013
2014
Total Installed
Capacity
Total Installed
Capacity
Total Installed
Capacity
Total Installed
Capacity
Total Installed
Capacity
Total Installed
Capacity
1179
1249
1407
2380
3175
5795
Additional Installed
Capacity
Additional Installed
Capacity
Additional Installed
Capacity
Additional Installed
Capacity
Additional Installed
Capacity
Additional Installed
Capacity
117
70
158
973
795
2620
Distribution Area
Distribution Area
Distribution Area
Distribution Area
Distribution Area
Distribution Area
Java - Bali
Java - Bali
Java - Bali
Java - Bali
Java - Bali
Java - Bali
117
5
-
330
445
1240
Sumatera
Sumatera
Sumatera
Sumatera
Sumatera
Sumatera
-
60
105
550
330
1240
Sulawesi
Sulawesi
Sulawesi
Sulawesi
Sulawesi
Sulawesi
-
-
45
70
-
80
Nusa Tenggara
Nusa Tenggara
Nusa Tenggara
Nusa Tenggara
Nusa Tenggara
Nusa Tenggara
-
5
8
3
20
40
Maluku
Maluku
Maluku
Maluku
Maluku
Maluku
-
-
-
20
-
20
4733 *
in MW
*) Total additional installed capacity 2009 - 2014
18
With Developing 4733 MW Geothermal Power Plant
until 2014, could:
 save about 200,000 barrel oil per day (1 MW
equivalents to 42 barrel per day)
 reduce emission about 28,398,000 t CO2/Year
(6,000 t CO2e/MW/Year)
19
New Geothermal Working Areas (WKP)
Offered Through Tender Process
(after Law No. 27/2003 on Geothermal)
NO
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
FIELD
REGENCY
PROVINCE
As of Sept 2009
DEVELOPMENT
TARGETS (MW)
Seulawah agam
Aceh Besar
Nangroe Aceh Darusallam
Jailolo
West Halmahera
North Maluku
Telaga Ngebel
Ponorogo and Madiun
East Java
Ungaran Mt.
Semarang and Kendal
Central Java
Tampomas Mt.
Sumedang and Subang
West Java
Cisolok Cisukarame
Sukabumi
West Java
Tangkuban Perahu Mt.Subang, Bandung and purwakarta
West Java
Jaboi
Sabang
Nangroe Aceh Darusallam
Sokoria
Ende
East Nusa Tenggara
Talang Mt.
Solok
West Sumatera
Blawan Ijen
Bondowoso, Banyuwangi and Situbondo
East Java
Hu'u Daha
Dompu
West Nusa Tenggara
Sipaholan Ria-ria
Noth Tapanuli
North Sumatera
Bukit Kili
Solok
West Sumatera
Sorik Marapi Roburan Mandailing Natal
North Sumatera
Marana
Donggala
Central Sulawesi
Songa Wayaua
South Halmahera
North Maluku
Atadei
Lembata
East Nusa Tenggara
Suwawa
Bone Bolanga and Gorontalo
Gorontalo
Kaldera Danau BantenSerang and Pandeglang
Banten
Rajabasa Mt.
South Lampung
Lampung
Liki Pinangawan
Muara Laboh, Solok Selatan
West Sumatera
TOTAL
160
75
120
100
50
45
100
50
30
36
270
65
75
83
200
36
140
40
110
115
91
400
2391
STATUS OF
TENDER
PROCESS
Preparation
Finished
On Going
On Going
Finished
Finished
Finished
Finished
Finished
Preparation
On Going
Preparation
On Going
Preparation
Preparation
Preparation
Preparation
Preparation
Preparation
Preparation
Preparation
On Going
The Result of WKP’s Tender
No.
GWA
Location
The Winner
1
Tampomas Mt.
Sumedang &
Subang Regency,
West Java Province
Consortium PT. Wijaya Karya PT. Jasa Sarana - PT. Resources
Jaya Teknik Management
Indonesia
2
Cisolok –
Cisukarame
3
Tangkuban
Perahu
4
Jailolo
5
Sokoria
6
Jaboi
Sukabumi Regency,
Jabar Halimun Geothermal
West Java Province
Subang, Bandung &
Tangkuban Perahu Geothermal
Purwakarta Regency,
Power
West Java Province
Halmahera Barat
Regency, North
PT. Star Energy Investment
Maluku Province
Ende Regency, East Consortium PT. Bakrie Power
Nusa Tenggara
Resources - PT. Energy
Province
Management Indonesia
Sabang Regency,
Consortium PT. Bukaka Teknik
Nangro Aceh
Utama - PT. Dian Sakti Energi - PT.
Darussalam Province Global Energi Aliansi
Price
Rp/kWh
589.00
630.00
533.60
1,727.54
1,250.69
1,705.00
21
Geothermal Pre-Survey Assignment in 2008
NO
LOCATION
COMPANY
DESCRIPTION
PT. Spring Energy Sentosa
Finished Assignment
(In process of determining WKP)
PT. Trinergy
Finished Assignment
(In process of determining WKP)
Determined as
WKP Liki Pinangawan
1.
Guci, Central Java
Province
2.
Baturaden, Central Java
Province
3.
Muara Laboh, West
Sumatra Province
PT. Supreme Energy
4.
Pematang Belirang,
Lampung Province
PT. Supreme Energy
5.
Kalianda, Lampung
Province
PT. Supreme Energy
6.
Rantau Dedap, South
Sumatra Province
PT. Supreme Energy
Determined as
WKP Rajabasa Mt.
Finished Assignment
(In process of determining WKP)
22
Geothermal Pre-Survey Assignment in 2009
NO
1.
2.
LOCATION
COMPANY
DESCRIPTION
Wai Ratai, Lampung
PT. Optima Nusantara
Energi
On Going
Simbolon-Samosir,
North Sumatera
PT. Optima Nusantara
Energi
On Going
Areas offered for Pre-Survey Assignment
No.
Location
Regency
Province
1.
Sungai Betung
Kerinci and Pesisir Selatan
Jambi and West Sumatera
2.
Sungai Tenang
Merangin
Jambi
3.
Ciseeng
Bogor and Lebak
West Java and Banten
4.
Gn. Gede/Pangrango
Bogor, Sukabumi, and Cianjur
West Java
5.
Malawa
Maros, Pangkajene Kepulauan,
Bone and Barru
South Sulawesi
6.
Gn. Dua Saudara
Bitung
North Sulawesi
7.
Sembalun
Lombok Timur
West Nusa Tenggara
8.
Ulumbu
Manggarai
East Nusa Tenggara
9.
Mataloko
Ngada
East Nusa Tenggara
23
MINISTRY OF ENERGY AND MINERAL RESOURCES REPUBLIC OF INDONESIA
DIRECTORATE GENERAL OF MINERAL, COAL AND GEOTHERMAL
DIRECTORATE OF GEOTHERMAL ENTERPRISE SUPERVISION AND
GROUND WATER MANAGEMENT
Jl. Prof. Dr. Supomo, SH. No. 10 Jakarta 12870
Phone : +62 21 83702847 Fax.: +62 21 83785103
www.djmbp.esdm.go.id