BUSINESS AND SOCIETY SUPPORT FOR RENEWABLE ENERGY DEVELOPMENT Erwin S. Sadirsan APEC Conference on Clean, renewable & sustainability use of energy Ayodya resort Bali hotel September 30 th October 2 nd 2013
OUTLINE 1 2 3 4 5 6 RE for Energy Security Investment opportunity Technology options Green Economics Strategy to achieve 25/25 vision : KEN The role of industry player : Certainty, clarity Lesson Learnt : No re invent the wheel Leadership : One command for sustainable energy summary
Renewable Energy : Investment opportunity Small enterprises 1 Size of Company : Medium enterprises Big companies 2 3 Complexity, Bureaucracy, Risk Management Porter : O, T, S, W 4 Financial access
Renewable Energy : Technology Options 1. Geothermal 2. Biomass 3. Others :Wind, PV, Ocean
Indonesia Geothermal Potential Indonesia Geothermal Potential : 28.543 MW 40% of world geothermal potential. Indonesia is the number 3 country after Philippine and USA. Sumber: PT. PERTAMINA Geothermal Energi
Time Frame of Geothermal PROSES HEAD OF AGREEMENT NOTICE OF RESORCES CONFIRMATION PROSES NEGOSIASI HARGA UAP / LISTRIK Notice Of Intend to Develop COD AMDAL / UKL / UPL Izin Lokasi Izin penggunaan lahan untuk kegiatan Eksplorasi Kemenhut SIPPA IMB FEED EPC EKSPLOITASI EKSPLORASI AMDAL Izin Lokasi Izin Pinjam Pakai Lahan SIPPA IMB PERIZINAN... TAHUN??? PERIZINAN... TAHUN??? INVENTORY WKP Sumber: PT. PERTAMINA Geothermal Energi 2-3 Tahun 3-5 Tahun Page 6
RE: Technology Options (2) NO RE Potency (SD) Capacity (KT) RATIO KT/SD (%) 1 2 3 4 5 = 4/3 1 hydro 75,670 MW 5,705.29 MW 7.54 2 geothermal 29,038 MW 1,189 MW 4.00 3 Mini/Micro Hydro 769.69 MW 217.89 MW 28.31 4 Biomass 49,810 MW 1,618.40 MW 3.25 5 PV 4.80 kwh/m 2 /day 13.5 MW - 6 wind 3 6 m/s 1.87 MW - 7 Uranium 3.000 MW (e.q. 24,112 ton) for 11 years *) 30 MW 1.00 *) Kalan West Kalimantan Sumber: Kementerian ESDM-Ditjen EBTKE
Renewable Energy : Green Economics 1 2 3 Definition Profit versus sustainability of energy CDM, Climate Change 4 Feed in Tariff 5 Economics values : IRR, PBP, NPV
Power Generation Cost ( 2005/MWh) power 2007 2020 2030 Biogas 55 215 50 200 50 190 Biomassa solid 80 195 85 200 85 205 PV 520 880 270 460 170 300 Wind onshore 75 110 55 90 50 85 Wind - offshore 85 140 65 115 50 95 Hydro small 60 185 55 160 50 145 Hydro big 35 145 30 140 30 130 Nuclear 50 85 45 80 45 80 Gas (PLTGU) 50 60 65 75 70 80 Coal (powder) 40 50 65 80 65 80 Source : : Komisi Eropa (2008), Canton dan Linden (2010); Dr. Tatang Hernas S. 9
Strategy 25/25 vision Energy Mix KEN Vision 25/25 New KEN Act Now! How? Supply- Demand Theory The devils are in the details Kadin will support by the RE Task Force
Strategy (2) BAU** PERPRES 5/2006 VISI 25/25 EBT, 3.1%, 0.0% Minyak Bumi, 43.9% EBT, 4.4% Batubara, 30.7% Gas Bumi, 21.0% Minyak Bumi, 41.7% Batubara, 34.6% Gas Bumi, 20.6% 5100 SBM EBT, 17% Minyak Bumi, 20% Batubara, 33% Gas Bumi, 30% EBT; 25% Minyak Bumi; 20% Batubar a; 32% Gas Bumi; 23% 3,1% 34.6% 3200 SBM 3200 SBM KONSERVASI ENERGI (37,25%) 1 1 1131,3 SBM 2010 * 4,4 % 30,7 21 % % 43,9% 2015 2020 Sumber: *DEN, **Blueprint PEN 2006-2025 20,6% 41.7% 2025 25 EBT % 32 Batubara % 23 Gas % Bumi 20 M. % Bumi DIVERSIFIKASI ENERGI
Kementerian Energi dan Sumber Daya Mineral Direktorat Jenderal Energi Baru Terbarukan dan Konservasi Energi Visi Energi Baru Terbarukan 25/25 Rencana Induk Konservasi Energi Nasional (RIKEN) Rencana Induk Diversifikasi Energi Nasional (RIDEN) Rencana Induk Pengembangan dan Pemanfaatan Energi Baru dan Terbarukan (RIPPEBAT) KEBIJAKAN ENERGI SEKTORAL Kebijakan Energi Sektor Rumah Tangga Kebijakan Energi Sektor Bangunan Komersial Kebijakan Energi Sektor Industri Kebijakan Energi Sektor Transportasi KEBIJAKAN KLASTERAL* Energi Baru Energi Terbarukan Kebijakan Energi Klaster Nuklir Kebijakan Energi Klaster CBM Kebijakan Energi Klaster Gasified Coal Kebijakan Energi Klaster Liquified Coal Kebijakan Energi Klaster Hidrogen Kebijakan Energi Klaster Panas Bumi Kebijakan Energi Klaster Hidro Kebijakan Energi Klaster Bioenergi Kebijakan Energi Klaster Energi Surya Kebijakan Energi Klaster Energi Angin Kebijakan Energi Klaster Samudera Sisi kebutuhan Sisi Penyediaan *Klaster sesuai dg UU 30/2007 ttg Energi Rencana Induk Rasionalisasi Energi Tak Terbarukan Energi Tak Terbarukan Kebijakan Energi Klaster Minyak Bumi Kebijakan Energi Klaster Gas Bumi Kebijakan Energi Klaster Batubara EBTKE KESDM - 2010 METI
Lesson Learnt : No re invent the wheel
1. Constraint a. Bureaucracy b. Business to Business (Require more Government Support) c. Cultures and Etiquettes d. Business as Usual 2. Proposal : a. Business Partnership Forum b. Joint Road Show c. Routine Business Meeting d. Security Assurance e. Business development Incentives (tax holiday, investment credit, etc)
Leadership : One command for sustainable energy KEN Coordination Leadership Stake Holder s support
Summary One command for sustainable energy Regulatory framework, especially implementing regulation of Law no 30/2007 and propose new Bill (RUU) of Renewable Energy Do Not re invent the wheel, adopt relevant best practices Gradually remove fossil fuel subsidies undermine the competitiveness of renewables.