Tapping Indonesia s agro-waste potential with innovative technology
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1 Tapping Indonesia s agro-waste potential with innovative technology PEP Information Workshop 10 September
2 Waste to Energy in Indonesia - Market potential and project opportunities Dr. Rudolf Rauch, Director Renewable Energy Program, GIZ Indonesia Tapping Indonesia s agro-waste potential with innovative technology PEP Information Workshop 10 September
3 Renewable Energy Program Indonesia 11/09/2014 Renewable Energy for Indonesia: Great Potential - Big Challenges
4 Background information agro industry Indonesia Indonesien Basisdaten Palm oil world s largest palm oil producer (>600 POMs), 70% in Sumatra sugar: 62 mills, Java & Sumatra rice mills, Java&Sum 2000 >3t/h Sugar Rice
5 Background Indonesia worlds largest island nation (17000 islands) Largest among the 10 ASEAN nations (240 Mio people) 6% economic growth/a, 8.5 %/a increase of electricity demand Electrification ratio 70%, 70 Mio people without electricity PLN state utility > 5000 power plants, 5 MW/plant Average electricity generation cost of PLN: 0.10 Euro/kWh In remote areas: Euro/kWh (Diesel) Land area: 6 times Germany Bio energy potential: Tropical country! ten times Germany? Presently grid connected bioenergy: < 50 MW
6 History and Goals of Renewables / Solar in Indonesia History Low electrification ratio challenge to electrify islands Indonesia first comer, started solar in 1980ties Cheap oil Curse and Blessing Subsidies: oil = 20 Billion USD/a, electricity: 10 bil. USD/a Goals Increase rural electrification from 70% now to 90% by 2020 Decrease CO2 emissions by 26% (relative) till 2020 Increase share of renewables from 6% (2006) to 17% (2020) Substitute diesel in power generation from 21% now to 3% (2015)
7 How realistic is the 17% RE Goal? installed capacity [GW] 1200,0 1000,0 800,0 600,0 400,0 200,0 Forecast installed power in Indonesia (8% growth/a) 6750 kwh/cap/a 0,
8 Policy Framework / Feed in Tariff (FiT) Since 4/2012 FiT for Bioenergy (biomass and biogas) Existing tariff: 975 IDR (0.06 Euro/kWh) X regional factor (Java, Sumatra 1, Kalimantan,.. 1.1, Papua, Maluku 1.2) Existing tariff too low, presently under revision Expected new tariff: Base tariff: 1200 IDR Regional factors: Java (1) up to 1.3 for remote areas Adder for diesel replacement: 400 IDR Expected FIT range: IDR ( Euro/kWh)
9 Potential Market Segments Waste utilization before energy crops! Agroindustry Palm oil (>600) Sugar (70) Rice mills (180000, 2000 bigger) Tapioca Forest Industry Saw mills Ply wood Furniture Plantations
10 Example Palm Oil Power Potential from POM Residues (10 MW / mill) now open ponds, or flared now incinerated or back to plantation now 0.7 MW now 47% burned in boiler for own use another 7 MW from 50% of the leaves (fronds)
11 Power exporting POM FiT - A game changer Modifying PKS design to generate power for export while keeping CPO production unchanged
12 POM Steam and Heat Usage
13 Optimizing POMs Recycling of steam & condensate Reducing process steam usage Reducing heat losses Heat recovery POME digester > biogas > gas engine Using biogas CHP heat Secondary EFB pressing
14 Benchmarking Study Biogas Plants in Indonesia strong variations in biogas yield > potential for improvement gas is flared from POMs Only 2 grid-connected power plants under FIT in operation
15 Power Plant Specification High pressure boiler for fuel mix Condensing extraction turbine Operation > 8,000 h/a Fuel storage and management Faster POM start-up time No start-up Diesel demand Replantation > trunk harvesting Frond utilization
16 Example Power POM Example for: 250,000t FFB p.a. PKS & trunks 10MWe = IDR1,000,000/MWh Fuel portion for power generation Trunks Fronds EFB Fiber Shell Biogas
17 Potential Technologies Solutions for problematic waste materials i.e. empty fruit bunches (EFB) Biogas plant technology, automation and optimization Biogas engine technology with CHP Combustion technology and heat recovery CHP technologies (eg. tapioca starch industry) Process automation and integration Efficient Process Technology Other use: pellets, plywood, etc.
18 Key to market development Diverse Market Meet customer needs Competitive product, not only technical but also by cost Good replication and standardization potential Service structure which satisfies customer Good local representative Good demonstration project Advantage: private customers Timing: When to enter the market?
19 Bioenergy Development Guidelines minimum procedure 245 days! GIZ/EBTKE support for developers
20 Waste to energy in Indonesia: market potential and project opportunities Come to Indonesia Stop the Waste! Turn it into Profit! Sell the Electricity!
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