SIEW 2012: Options for the future energy mix

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Dr. Sukarna shares how Indonesia is approaching its future energy needs by focusing on developing the renewable energy sector.

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SIEW 2012: Options for the future energy mix

  1. 1. DIRECTORATE GENERAL OF NEW RENEWABLE ENERGY AND ENERGY CONSERVATION MINISTRY OF ENERGY AND MINERAL RESOURCES, INDONESIAOPTION FOR THE FUTURE ENERGY MIX By: Dr. Djadjang SukarnaSecretary of Director General for New Renewable Energy and Energy Conservation Presented at “Singapore Energy Summit 21 - 22 October 2012
  2. 2. NATURE OF ENERGY MANAGEMENT Mandate of The 1945 Constitution of The Republic of Indonesia article 33• regulations concerning the livelihood of many people• controlled natural resources for the greatest prosperity of the people Mandate of Law No. 30/2007 concerning energy• everyone has the right of access to energy•fossil energy resources, large scale hydropower, geothermal, and nuclear powercontrolled by the state• new renewable energy resources regulated by the state Energy management• universal right for everyone to access energy• controlled energy resources by the state• protection of energy resources and environment• security of the state revenues/rights• protection of energy producer and consumer Objective of energy management• to achieve sovereignty, independence and security of energy
  3. 3. ENERGY RESERVES AND PRODUCTION RESOURCES INSTALLED RATIO KT/SDNO NON FOSSIL ENERGY (%) (SD) CAPACITY (KT)1 2 3 4 5 = 4/31 Hydro 75,670 MW 5,705.29 MW 7.542 Geothermal 29,038 MW 1,189 MW 4.103 Mini/Micro Hydro 1,013.5 MW 462.0 MW 46.04 Biomass 49,810 MW 1,618.40 MW 3.255 Solar Energy 4.80 kWh/m2/day 13.5 MW -6 Wind Energy 3 – 6 m/s 1.87 MW - 3.000 MW7 Uranium (e.q. 24,112 ton) for 11 years*) *) only in Kalan – West Kalimantan RESOURCES RESERVES RATIO PRODUCTION RASIONO FOSSIL ENERGY SD/CAD CAD/PROD (SD) (CAD) (%) (PROD) (YEAR)*)1 2 3 4 5 = 4/3 6 7 = 4/61 Oil (billion barrel) 56.6 7.99 **) 14 0.346 232 Gas (TSCF) 334.5 159.64 51 2.9 553 Coal (billion ton) 104.8 20.98 18 0.254 834 Coal Bed Methane/CBM (TSCF) 453 - - - - *) with assumption there is no new found **) Cepu Block is included
  4. 4. NATIONAL COMMITMENT TO REDUCE GHG EMISSION Presidential Regulation No. 61/2011 on National Action Plan on GHGs Emission Reduction *) Own efforts 26% Own efforts and 41% international (767 million Ton) support Forestry, Peat Land, 680 million Ton Through the development of Agriculture new renewable energy, Energy Sector 30 million Ton implementation of energy Waste 48 million Ton conservation and clean fossil technology Industry and Transportation 9 million Ton*) by the year of 2020, as the Government of Indonesia’s commitment at the G-20 meeting at Pittsburg. 4
  5. 5. GHG MITIGATION ENERGY SECTOR1. Indonesia GHG emission is increasing, it is projected that emission will increase from 2.1 to 3.3 Gton CO2e between 2005-20302. Energy sector is projected to be the main drive of national GHGs emission in 2005-20303. GHGs emission from energy sector comes from each step of energy process (exploration up to utilization)4. In 2008, Indonesia energy sector emits 351 million ton CO2 from supply side and demand side (household, commercial, industry & transportation)5. Energy sector provides cost effective mitigation actions (EE and small RE projects) as well as relatively high potential emission reduction (geothermal, CCS)6. Public and private sectors has yet tap the potential of clean energy projects in the carbon market, such as CDM 5
  6. 6. PROJECTION OF INDONESIA’S ENERGY MIX (%) SCENARIO ENERGY MIX 2010 2015 2020 2025 2030 2040 2050Biomass – Biofuel 3,1 4,7 5,2 7,9 8,3 9,5 9,7Biomass from waste (for electricity) 0,0 0,5 1 2,4 4,2 5,4 5,6Geothermal 1,9 4,2 5,2 7,9 8,3 8,8 8,7Hydro Power 0,6 0,9 1,7 2,9 3,1 2,7 2,4Ocean Power 0 0 0,2 0,3 0,3 0,4 0,6Solar Power 0 0,2 0,7 1,1 1,3 1,9 1,8Other Renewable Energy Resources 0 0,1 0,3 0,4 0,4 0,5 0,5Oil 49,7 38,6 29,3 23,7 19,4 16,9 16,5Gas 20,1 19,5 19 19,7 18,8 16,2 14,3Coal 24,5 31,3 36,9 30,7 31 30 29,7New Energy (nuclear, etc.) 0 0 0,7 3,2 5 8,1 10,2Non New Renewable Energy Mix 94,30 89,40 85,00 74,10 69,10 62,70 60,50New Renewable Energy Mix 5,7 10,6 15 25,9 30,9 37,3 39,56
  7. 7. POLICY INSTRUMENTSFiscal• Fiscal incentive for NRE development (Article 20 paragraph 5 Law No. 30/2007)• Pricing for new renewable energy (Feed-in Tariff/FIT)• Renewable Portfolio Standard (RPS)Institutional• National Energy Council• Ministry of Energy and Mineral Resources (National Level)• Governor, District Mayors (Local Level)Funds• National budget (APBN, APBD, Private Budget) and International budget from partners• Clean Development Mechanism (CDM) 15
  8. 8. CONCLUSION• Global trend shows new renewable energy is going to replace the domination of non renewable energy as the primary energy resources. Based on energy potential of Indonesia as well as GHGs Emission Reduction, in the future new renewable energy is main of energy resources with non renewable energy (fossil energy) act as balancing;• Facing the situation, Indonesia is focusing on developing new renewable energy sector, especially in the fields of Geothermal, Hydro Power, Photo Voltage, and Biomass/Biofuel, while still developing the oil and gas and coal sector. As for the development of nuclear power for electricity, the Government of Indonesia commits that it will be the last option.• To enhance the development of those fields, Indonesia has set up a series of regulation on feed in tarriffs.8
  9. 9. Thank You Go Green Energy! Green energy, Future energyDIRECTORATE GENERAL OF NEW RENEWABLE ENERGY AND ENERGY CONSERVATION MINISTRY OF ENERGY AND MINERAL RESOURCES, INDONESIA Jalan Jenderal Gatot Subroto, Kav. 49 Jakarta 12950; Phone/Fax : 021-5250575 www.ebtke.esdm.go.id 9
  10. 10. PROJECTION OF INDONESIA’S ENERGY MIX (MTOE) SCENARIO ENERGY MIX 2010 2015 2020 2025 2030 2040 2050 TOTAL Energy 159 215 290 380 480 740 980 Biomass – Biofuel 5 10 15 30 40 70 95 Biomass from waste (for electricity) - 1 3 9 20 40 55 Geothermal 3 9 15 30 40 65 85 Hydro Power 1 2 5 11 15 20 24 Ocean Power - - 0,5 1 1,4 3 5 Solar Power - 0,5 2 4 6 14 18 Other Renewable Energy Resources - 0,2 1 1,5 2 4 5 Oil 79 83 85 90 93 125 162 Gas 32 42 55 75 90 120 140 Coal 39 67 107 117 149 222 291 New Energy (nuclear, etc.) - - 2 12 24 60 100 Subtotal of Biomass 5 11 18 39 60 110 150 Subtotal of NON Biomass Renewable 4 12 24 48 64 106 137 Energy Subtotal of Renewable Energy 9 23 42 87 124 216 287 TOTAL of New Renewable Energy 9 23 44 99 148 276 38710

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