WIND ENERGY DEVELOPMENT POLICY IN INDONESIA
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1 MINISTRY OF ENERGY AND MINERAL RESOURCES OF THE REPUBLIC OF INDONESIA DIRECTORATE GENERAL OF NEW, RENEWABLE ENERGY AND ENERGY CONSERVATION WIND ENERGY DEVELOPMENT POLICY IN INDONESIA DIRECTORATE OF VARIOUS NEW ENERGY AND RENEWABLE ENERGY ESDM Energy untuk and Mineral KesejahteraanRakyat Resources for the People s Welfare Bandung, 2 December 2013
2 1 2 3 INTRODUCTION TABLE OF CONTENTS WIND ENERGY DEVELOPMENT POLICY WIND ENERGY UTILIZATION IN INDONESIA 4 WIND ENERGY DEVELOPMENT AGENDA 5 CLOSING ESDM untuk KesejahteraanRakyat
3 1 INTRODUCTION 231 ESDM Energy untuk and Mineral Kesejahteraan Resources Rakyat for the People s Welfare
4 THE DEMAND FOR ENERGY CONTINUES TO INCREASE Economic Growth GDP (Trillion Rp) 200 3, ,177 % Energy Demand Growth Energy Demand (Million BOE) 1 2 1,316 0 Population Growth Population (Million) % % ESDM untuk Kesejahteraan Rakyat
5 ENERGY RESERVES ARE VERY LIMITED TYPE OF FOSSIL ENERGY RESERVES (Proven + Possible) PRODUCTION (per YEAR) RESERVES/PRODUCTION RATIO (Without New Exploration) YEAR OIL 7,76 billion bbl 346 million bbl GAS 157,14 TSCF 2,95 TSCF 53 COAL 21,13 billion tons 254 million tons 83 ESDM Energy untuk and Mineral Kesejahteraan Resources Rakyat for the People s Welfare
6 Nanggroe Aceh Darussalam 90,96 % ELECTRIFICATION RATIO DEVELOPMENT UNTIL 2012 North Sumatera 86,70% Riau 85,09% Riau Islands 83,56% West Kalimantan 71,46% Central Kalimantan 73,32% East Kalimantan 73,08% Gorontalo 60,99% North Sulawesi 76,22% North Maluku 74,12% Category : > 60 % % % West Papua 67,88% West Sumatera 76,14% Jambi 70,37% Bengkulu 79,37% Lampung 74,91% Banten 77,52% South Sumatera 73,97.% Babel 94, 13% West Sulawesi 66,65% Jakarta South 99,99% Kalimantan Bali 76,74% 74,31% South Sulawesi 76,29% Central Sulawesi 66,83% Southeast Sulawesi 60,53% Maluku 72,07% Papua 34,62% West Java 76,03% Central Java 79,95% Special Region of Yogyakarta 77,26% East Java 74,31% West Nusa Tenggara 53, 63% East Nusa Tenggara 53,42%
7 WIND ENERGY POTENTIALS IN INDONESIA 1. Naturally, wind energy potentials in Indonesia are relatively small because Indonesia lies on the equator. 2. However, there are areas that are geographically wind areas because they are nozzle effect areas or a narrowing between two islands or a mountain slope between two adjacent mountains. ESDM Energy untuk and Mineral KesejahteraanRakyat Resources for the People s Welfare
8 WIND ENERGY POTENTIALS IN INDONESIA Global Mean Wind Speed at 80m ESDM untuk KesejahteraanRakyat
9 WIND ENERGY POTENTIALS IN INDONESIA Wind Energy Potential Small scale 3,0 Medium scale 4,0 Wind Speed (m/s) Specific Power (W/m 2 ) Location 4,0 < 75 Maluku, Papua, Sumba, Mentawai, Bengkulu, Jambi, West Nusa Tenggara, East Nusa Tenggara, South Sulawesi, North Sulawesi, North Sumatera, Central Java, Special Region of Yogyakarta, Maluku, Lampung, Kalimantan 5, Central Java, Special Region of Yogyakarta, East Java, Bali, Bengkulu, West Nusa Tenggara, East Nusa Tenggara, South Sulawesi, North Sulawesi Large Scale > 5,0 > 150 Banten, Special Capital Region of Jakarta, Central Java, Special Region of Yogyakarta, West Nusa Tenggara, East Nusa Tenggara, South Sulawesi, North Sulawesi, Maluku. Source: Wind Data from the National Institute of Aeronautics and Space of Indonesia (Lapan) ESDM Energy untuk and Mineral KesejahteraanRakyat Resources for the People s Welfare
10 2 WIND ENERGY DEVELOPMENT POLICY ESDM untuk KesejahteraanRakyat
11 DIRECTION OF POLICIES AND REGULATIONS 1. ENERGY CONSERVATION: to increase energy efficiency on the supply and demand in industrial, transportation, household and commercial sectors 2. ENERGY DIVERSIFICATION: to increase the role of new and renewable energy in the energy mix NEW ENERGY a. Liquefied Coal, b. Coal Bed Methane, c. Gasified Coal, d. Nuclear, e. Hydrogen. RENEWABLE ENERGY a. Geothermal, b. W ater, c. Bio-energy, d. Solar, e. Wind, f. Ocean currents and waves ESDM Energy untuk and Mineral KesejahteraanRakyat Resources for the People s Welfare
12 DIRECTION OF POLICIES AND REGULATIONS Article 20 (1) letter d Energy supply is conducted through the diversification, conservation, and intensification of energy sources and energies. Article 20 (2) Energy supply by the Government and/or local governments is prioritized in underdeveloped areas, remote areas, and rural areas by using local energy sources, especially renewable energy sources. ESDM Energy untuk and Mineral KesejahteraanRakyat Resources for the People s Welfare
13 DIRECTION OF POLICIES AND REGULATIONS Article 6 (1) Primary energy sources found within the country and/or originating from abroad must be utilized optimally in accordance with the national energy policy to ensure sustainable electric power supply Article 6 (2) The utilization of primary energy sources as referred to in paragraph (1) must be carried out with priority placed on new energy and renewable energy sources ESDM Energy untuk and Mineral KesejahteraanRakyat Resources for the People s Welfare
14 DIRECTION OF POLICIES AND REGULATIONS Primary Energy Mix in 2011 Targets in 2025 Biofuel 5% Nuclear, Geothermal 5% Hydro, Solar, Wind, and Other NRE 5% Liquified Coal 2% ESDM Energy untuk and Mineral KesejahteraanRakyat Resources for the People s Welfare
15 GEOTHERMAL POWER PLANT DEVELOPMENT No Development Geothermal Development 1. Added Capacity (MW) Installed Capacity (MW) Note: - CF Geothermal Power Plant = 90% 15 ESDM Energy untuk and Mineral KesejahteraanRakyat Resources for the People s Welfare
16 Installed Capacity (MW) NATIONAL ENERGY POLICY PLAN VS. WIND POWER PLANT DEVELOPMENT : Development : National Energy Policy Plan ESDM untuk KesejahteraanRakyat
17 CHALLENGES IN WIND ENERGY DEVELOPMENT IN INDONESIA 1. Comprehensive wind energy potential map and wind data are not yet available 2. Wind power plant investment is relatively high (energy prices are still high) compared to conventional power plant investment and the source of funding generally comes from the State Budget (APBN) 3. No industries have dared to invest 4. There is not yet any adequate institution and policy uniformity among agencies for wind power plant management 5. Lack of publilc education/socialization on the application of wind power plants ESDM Energy untuk and Mineral KesejahteraanRakyat Resources for the People s Welfare
18 3 WIND ENERGY UTILIZATION IN INDONESIA ESDM untuk KesejahteraanRakyat
19 WIND ENERGY UTILIZATION IN INDONESIA 1. Utilization of wind energy for power generation has long been done, but on a small scale. Wind power plants with sufficiently large capacities ( kw) per unit began to be developed since The plan developed at present is a centralized system with the possibility for being combined (hybrid) with a Diesel Power Plant and/or Solar Power Plant. 2. The source of funding generally comes from the State Budget (APBN). 3. The current installed capacities of wind power plants are approximately 1,82 MW. 4. Agencies that develop wind power plants include the Energy and Mineral Resources, Agency for the Assessment and Application of Technology (BPPT), Indonesian Institute of Sciences (LIPI) and the National Institute for Aeronautics and Space (LAPAN) as well as the private sector. Installed Capacities of Wind Power Plants and Hybrid Solar-Wind Power Plants (kw) Until Wind Power Plants Hybrid Power Plants ESDM Energy untuk and Mineral KesejahteraanRakyat Resources for the People s Welfare
20 4 WIND ENERGY DEVELOPMENT AGENDA Energy and Mineral Resources for the People s Welfare
21 WIND ENERGY DEVELOPMENT AGENDA 1. Energy infrastructure development improvement through the mechanisem stated in the Regulation of the Minister of Energy and Mineral Resources Number 10 of 2012 regarding Implementation of Physical Activities of New Energy and Renewable Energy Utilization: Development of local renewable energy power plants in order to meet energy demands in rural areas, outermost islands and border regions (off-grid) 2. Preparation of Feed in Tariff (FiT) policy for wind energy according to its economic price (revision process of the Regulation of the Minister of Energy and Mineral Resources Number 4 of 2012 regarding purchase of electricity from renewable energy power plants by PT. PLN (Persero)) 3. Increased domestic and overseas cooperations as well as investments in wind energy development ( MoU between the Directorate General of New, Renewable Energy and Energy Conservation and UPC Renewables Indonesia Limited -* Development of a wind power plant with total capacity of 50 MW in Samas Beach, Bantul, Special Region of Yogyakarta) ESDM untuk KesejahteraanRakyat
22 4 CLOSING ESDM Energy untuk and Mineral KesejahteraanRakyat Resources for the People s Welfare
23 CLOSING 1. To increase the National Energy Security in providing energy to the nation and the state, wind energy needs to be researched and developed for local, regional and national requirements. 2. Compared to other renewable energy sources, wind energy utilization in Indonesia is still relatively behind. 3. Indonesia as a tropical country requires a wind turbine with a design that is different from those in the northern /southern countries which wind speeds are higher. 4. Since the wind does not always blow, it is therefore necessary to develop a hybrid system. 5. Synergic cooperation among stakeholders is necessary to accelerate the development of wind energy. 6. The main priority activities that need to be done are constructing a comprehensive wind energy potential map and developing wind turbines that can operate at low wind speeds. ESDM untuk KesejahteraanRakyat
24 Thank You Go Green Indonesia! green energy, future energy MINISTRY OF ENERGY AND MINERAL RESOURCES OF THE REPUBLIC OF INDONESIA DIRECTORATE GENERAL OF NEW, RENEWABLE ENERGY AND ENERGY CONSERVATION Jalan Jenderal Gatot Subroto, Kay. 49 Jakarta 12950; Tel/Fax :
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