CENTRALISED PHOTOVOLTAIC DEVELOPMENT POLICY IN INDONESIA

Transcription

1 State-Owned Electricity Company of Indonesia CENTRALISED PHOTOVOLTAIC DEVELOPMENT POLICY IN INDONESIA By Winner Sianipar Presented in Information Seminar Decentralised Photovoltaic Solar Power in Indonesia EKONID-eclareon GmbH Munchen, Germany, 12 May 2015

2 Introduction

3 PLN s Service Area by Region Eastern Indonesia Region Sumatera Region Java Bali Region

4 Corporate structure PT PLN (Persero) (Holding) consists of : 8 Directorates 37 Divisions level 36 Business Unit 6 Unit of Support PT Indonesia Power Electricity Generation PT Pembangkitan Jawa Bali Electricity Generation PT PLN Batam Regional Fully Integrated Electric Utility PT PLN Tarakan Regional Fully Integrated Electric Utility PT PLN Geothermal Geothermal Energy Generation PT Indonesia Comnets Plus Telecommunications for the Electricity Sector PT Prima Layanan Nasional Enjiniring Engineering and Construction Services PT PLN Batubara Coal Supplier for PLN PT Pelayaran Bahtera Adhiguna Shipping Activities Majapahit Holding B.V. Financial Institution PT Haleyora Power Electricity Supplier Note: Excludes Joint Ventures

5 Corporate structure PRESIDENT DIRECTOR BOD 8 DIRECTORS CONSTRUCTION & NEW ENERGY and RE DIRECTOR 37 DIVISIONS NEW ENERGY & RENEWABLE ENERGY DIVISION PLN REGIONALS UNIT OF SUPPORT Note: Excludes Joint Ventures

6 CURRENT CONDITION

7 Electrification Ratio - national 74,3% 76,2% 80,4% 84,0% 62,4% 63,8% 66,5%

8 Electrification Ratio by region NAD, 89,11% SUMUT, 87,34% SUMBAR, 76,40% BENGKULU, 78,26% RIAU, 61,15% JAMBI, 61,87% BABEL, 80,96% KALBAR 69,25% SULTENG 63,69% KALTENG, 58,79% KALTIM, 70,84% SULBAR 47,22% SULUT, 80,38% GORONTALO, 62,92% NATIONAL EAST REGION PLN (%) TOTAL (%) MALUT, 63,82% PAPUA BARAT, 62,34% PAPUA, 30,48% SUMSEL, 68,18% LAMPUNG, 72,89% BANTEN, 87,85% DKI, 99,99% KALSEL, 80,86% SULSEL 77,15% SULTRA 57,54% JABAR, 79,53% JATENG, 85,72% BALI, 77,93% MALUKU, 67,57% DIY, 80,52% JATIM, 79,21% NTB, 63,40% NTT, 48,30%

9 Why should develop Renewable Energy? A high potential of varies energy resources (hydro, geothermal, biomass, solar, sea and wind) but has not been optimally taped mainly for electricity. Archipelago countries with a high electricity national demand growth, 5 (five) provinces have electrification ratio less than 60% and thousands islands/area without access electricity Generated power in the remote areas mostly by diesel power plant, means expensive and susceptible fuel supply Trend of cost reduction and efficiency improvement on RE technologies Policy and target decision to increase the role of renewable energy

10 Renewable Energy Potential Resources No Type of Energy Potential 1 Geothermal 29,164 Mwe 2 Hydro 75,000 Mwe 3 Biomass 49,810 Mwe 4 Solar Energy 4.8 kwh/m2/day 5 Wind Energy 3-6 m/s 6 Sea Power 49,000 Mwe

11 Government Policy: Increasing role of RE Nationally Target: Decree of President about Energy Mix (Target of RE contribution in National Energy Mix) is 17% in 2025 Vision of New Energy, Renewable Energy and Energy Conservation (NREEC) General Director 25/25 ( 25% RE contribution in 2025)

12 PV DEVELOPMENT PROGRAM

13 Background of Solar PV Utilisation in PLN Abundant, free, and anywhere fuel for PV power plant. Easy to install : accelerate electrification ratio for remote area. Reducing oil dependency Reducing oil cost and increase security supply of fuel. Reducing and decelerate environmental impact. Community education in energy consumption Generate and Stimulate Local Economic Activity

14 MWp/Year PT PLN (Persero) ROAD MAP PV DEVELOPMENT Year

15 1000 Islands PV Development Program NAD: 44 lokasi, 7.4 MWp Sumut: 27 lokasi 6.1 MWp Riau: 151 lokasi 60.1 MWp Babel: 16 lokasi 35.0 MWp Kalbar: 63 lokasi 40.1 MWp Kaltim: 30 lokasi 24,9 MWp Sulut, Sulteng, Gorontalo: 39 lokasi 30.9 MWp Maluku, Malut: 29 lokasi 33.5 MWp Papua, Pabar: 66 lokasi 44.9 MWp Sumbar: 42 lokasi 7.7 MWp Sumsel, Jambi, Bengkulu: 6 lokasi 3.4 MWp Lampung: 18 lokasi 2.5 MWp Kalselteng: 96 lokasi 48.7 MWp Sulselrabar: 17 lokasi 29.7 MWp Jabar, Banten: 3 lokasi 1.1 MWp Jateng DIY: 5 lokasi 0.7 MWp Jatim: 12 lokasi 4.3 MWp Bali: 1 lokasi 0.3 MWp NTB: 15 lokasi 44.5 MWp NTT: 99 lokasi 45.2 MWp

16 Number of Location PT PLN (Persero) Distribution of PV Capacity Potential Capacity of PV-PP HIBRID ON GRID OFF GRID

17 Scheme of PV Implementation Program OPERATE OPERATE OPERATE PLANNING FUNDING PREPARATION EPC SCHEME Tourist Island PV Program - 6 locations - 0,92 MWp) Fronter Island PV Program - 8 locations -1,34 MWp) 100 Islands PV Program Stage I locations -- 7 MWp 100 Islands PV Program Stage II locations MWp 1000 Islands locations MWp 94 Locations; 19,5 MWp Hybrid Micro Grid. Funded by KfW, Germany On Grid Off Grid On Grid Off Grid On Grid Off Grid PV-Battery CENTRALISED PV HYBRID (Hybridised Existing System) IPP SCHEME IPP > 1 MWp - 80 locations MWp PV IPP (QUOTE CAP & LOCATION)

18 EPC: Location of PV Project by PLN INDONESIA -Average Solar Irradiation between 4 6 kw/m 2. Most higher radiation is in Eastern of Indonesia - Estimating, the radiation can generate energy about 3.7 kwh/kwp/day. RIAU&KEPRI Location: TAREMPA ANAMBAS Island Capacity: 200 kwp Status : Operation EAST KALIMANTAN Location: SEBATIK SEBATIK Island Capacity : 300 kwp Status : Operation EAST KALIMANTAN Location: DERAWAN Island Capacity : 170 kwp + Battery Status : Operation on March 2011 NORTH SULAWESI Location : MIANGAS Island Capacity : 30 kwp Status : Operation on Oct 2011 RIAU&KEPRI Location: MORO. KARIMUN Island Capacity: 200 kwp Status : Operation EAST KALIMANTAN Location: BUNYU BUNYU Island Capacity : 150 kwp Status : Construction 1. NORTH MALUKU Location : MOROTAI Island Capacity : 600 kwp Status: Operation on April 2012 NORTH SULAWESI Location : MARAMPIT Island Capacity : 50 kwp Status : Final Construction NORTH SULAWESI Location : BUNAKEN Island Capacity : 335 kwp + Battery Status : Operation on Feb WEST SUMATERA Location: SIMALEPET SIPORA Island Capacity: 40 kwp Status : Operation WEST NUSA TENGGARA Location : GILI TRAWANGAN Capacity : 200 kwp Status : Operation on Feb 2011 SOUTH SULAWESI Location: TOMIA Island Capacity : 75 kwp Status : Operation on May 2011 PAPUA Location: SAONEK RAJA AMPAT Islands Capacity : 40 kwp Status : Operation on Dec WEST SUMATERA Location: TUA PEJAT SIPORA Island Capacity: 150 kwp Status : Operation MALUKU Location: BANDA NAIRA Capacity : 100 kwp Status : Operation on Dec EAST NUSATENGGARA Location: LEMBATA

19 IPP 7 locations successful tender 5 mandatory letters issued 1 Location signed PPA on 9 Jan 2015 Quote Location and Capacity 80 locations 140 MWp 2 determination letter 1. 5 locations failed

20 JOINT OPERATION (in discussion): Ex Gov. Budget MEMR built and Utility contributes in O&M cost. Number of project: 5 1 MWp Bangka, Babel Pangkep, South-East Sulawesi Bangli & Karngasem, Bali Labangka, West Nusa Tenggara

21 Solar PV Energy Market: Procedure and Price

22 Preparation of Solar PV Market Encouraging the private sector (include public user) to play a part in generating Renewable Energy Providing tax exemption in RE investment and transaction. Employing a special tariff for instance Feed in Tariff (FiT) in PV generation involvement.

23 Legal Basic 1. MEMR Decree No. 17 Year 2013: Electricity Purchasing by PLN from Solar Photovoltaic Power Generation 2. General Directorate of NREEC Decree No. 979.K/29/DJE/2013: Quota of Location and Capacity Solar PV Year PLN s Director Regulation: No. 357.K/DIR/2014: Guidance of Renewable Energy Power Generation Connection into PLN s Distribution Line.

24 Quota Location & Capacity MEMR Decree No. 17 Year 2013: Quote of Capacity and Location Applicable to capacity up to 10 MW The location and capacity proposed by PLN and be established by GoI. The locations will be revised (updated) regarding local dynamic condition (existing grid condition) Land acquisition by investor.

25 Quota Location & Capacity Price and Process The process is done by tender of prices (lowest price ). Tender by MEMR cq NEREEC General Director The price established by MEMR as price should be bought by PLN (The purchasing is mandatory for PLN) The price will be fixed and premium price as the ceiling price. - US$ 25/kWh, would be - US$ 30/kWh (if solar module has local content 40%) Required guaranteed payments over a periods of years Concept of PPA prepared by PLN. IPP should submit the Yearly Energy Production Declaration

26 RE-PP Interconnection Guidence Interconnection Guidance The point of connection chosen by IPP with approval by PLN Solar PV-PP should be connected to 20 kv distribution line. Interconnection feeder length not more than 5 kmc and provided by IPP IPP makes FS either pre study or detail study Electrical Parameter Requirement

27 Challenges To create a harmonic coordination among government institution for permits, land acquisition, land use, national productivity, etc. To reduce the number, complexity and duration process of permits To have the knowledge and expertise in solar PV technology To manage the system stability due to intermittent and high fluctuation of solar PV To provide a sufficient infrastructure and access. To increase the national capacity on both skilled /expertise human resources and institution To manage the difference interest between environment sustainability and energy security (ex. Conservation area)

28 CLOSING The potential of RE development in Indonesia is challenging and promising. PV plays a role in rising electrification ratio. For remotes and small distributed islands, the hybrid of solar PV is promising solution for electricity Outside Java Bali system, it is suit for small to medium scale PV (<10 MWp) Availibility of regulation for PV and its interconnection procedure

29 THANK YOU