Indonesian Gov’t Going All Out to Attract Renewables Investment
MINISTRY OF ENERGY AND MINERAL RESOURCES
REPUBLIC OF INDONESIA
PRESS RELEASE
NUMBER: 365.Pers/04/SJI/2020
Date: 23 November 2020
Indonesian Gov't Going All Out to Attract Renewables Investment
The Indonesian Government has prepared various regulations and programs to attract investment in renewable energy, Minister of Energy and Mineral Resources (EMR) Arifin Tasrif has said on Monday (23/11).
The first program is the creation of a new market for renewable energy under the Renewable Energy Based Industrial Development (REBID) and Renewable Energy Based on Economic Development (REBED) schemes.
The REBID refers to the development of large-scale hydropowers and geothermal power plants that are integrated with industries and economic clusters. These economic clusters include Special Economic Zones (KEK), Industrial Parks, and Top Tourist Attractions.
Meanwhile, the REBED is the use of new, renewable energy to trigger economic growth in frontier, outermost, and least developed (the 3T) regions in Indonesia. Under the REBED scheme, the Indonesian Government has launched Flores Geothermal Island project. This is a platform designed to optimize the use of geothermal energy available in Flores Island to meet its electricity need.
"The second program is to increase the capacity of renewable power plants. We've made sure that the increase is in accordance with the Electricity Supply Business Plan (RUPTL) of the State Electricity Company PT PLN and that all relevant parties are committed to it," said Arifin, adding that the development of solar and wind power plants is included in the second program.
The next program is to maximize the use of bioenergy, for example by speeding up the construction of waste-to-energy plants in 12 cities, applying co-firing of coal and biomass at steam-fueled power plants, using B30 biodiesel (biodiesel containing 30% palm-based fuel), and constructing green refineries (refineries with the technology to convert biological feedstock such as vegetable oil, biomass, etc. into oil and gas products such as green diesel, green LPG, green naphtha, etc.).
"We've also arranged low-cost funding facility for renewable energy investment. Finally, we've used existing reservoir for floating solar systems according to Regulation of Minister of Public Works and and Public Housing Number 6 of 2020," Arifin concluded. (IY)
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