Scribd Logo
Upload

Welcome to Scribd!

  • 40 views

    Electrifying The Indonesian Archipelago: Business Models For Renewables in Coastal Areas

    Uploaded by

    rabbit_39
    Indonesia has significant potential for renewable energy but currently relies heavily on fossil fuels, especially in remote areas. The document outlines several business models for increasing renewable energy penetration in coastal areas through partnerships with Indonesia's state-owned utility PLN or private off-grid projects. These models include power purchase agreements to sell electricity to PLN's on-grid systems or manage off-grid microgrids, as well as energy-as-a-service agreements for private companies. Realizing Indonesia's renewable energy goals will require addressing challenges of financing, risk management, and developing win-win public-private partnerships.

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd

    Electrifying The Indonesian Archipelago: Business Models For Renewables in Coastal Areas

    Uploaded by

    rabbit_39
    40 views14 pages
    Indonesia has significant potential for renewable energy but currently relies heavily on fossil fuels, especially in remote areas. The document outlines several business models for increasing renewable energy penetration in coastal areas through partnerships with Indonesia's state-owned utility PLN or private off-grid projects. These models include power purchase agreements to sell electricity to PLN's on-grid systems or manage off-grid microgrids, as well as energy-as-a-service agreements for private companies. Realizing Indonesia's renewable energy goals will require addressing challenges of financing, risk management, and developing win-win public-private partnerships.

    Original Description:

    Indonesia Renewable Energy Business Model

    Original Title

    20180828

    Copyright

    © © All Rights Reserved

    Available Formats

    PPTX, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    Indonesia has significant potential for renewable energy but currently relies heavily on fossil fuels, especially in remote areas. The document outlines several business models for increasing renewable energy penetration in coastal areas through partnerships with Indonesia's state-owned utility PLN or private off-grid projects. These models include power purchase agreements to sell electricity to PLN's on-grid systems or manage off-grid microgrids, as well as energy-as-a-service agreements for private companies. Realizing Indonesia's renewable energy goals will require addressing challenges of financing, risk management, and developing win-win public-private partnerships.

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    40 views14 pages

    Electrifying The Indonesian Archipelago: Business Models For Renewables in Coastal Areas

    Uploaded by

    rabbit_39
    Indonesia has significant potential for renewable energy but currently relies heavily on fossil fuels, especially in remote areas. The document outlines several business models for increasing renewable energy penetration in coastal areas through partnerships with Indonesia's state-owned utility PLN or private off-grid projects. These models include power purchase agreements to sell electricity to PLN's on-grid systems or manage off-grid microgrids, as well as energy-as-a-service agreements for private companies. Realizing Indonesia's renewable energy goals will require addressing challenges of financing, risk management, and developing win-win public-private partnerships.

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    of 14

    ELECTRIFYING THE

    INDONESIAN
    ARCHIPELAGO
    BUSINESS MODELS FOR RENEWABLES IN COASTAL AREAS
    Indonesia’s Installed Generation Capacity (2017)

    Java-Bali, Total Indonesian


    Sumatra, Nusa Renewable
    Energy potential
    Tenggara at 23%
    (29GW+16GW) penetration
    45GW (12.9GW)

    Current Renewable Energy power mix : 12%

    Source: PLN
    Rest of
    Indonesia
    7.4GW of renewable energy to be installed by 2025
    (11 GW)
    Almost 1GW of renewable per year
    Source: PLN
    PLN’s 2016 and 2017
    Generation Cost per Region

    2016 2017
    National Average Generation Cost 2016 : 7.39 cUSD/kWh
    National Average Generation Cost 2016 : 7.66 cUSD/kWh
    Renewable Energy Purchase Tariff Cap
    Indonesia’s Electricity Sector Stakeholders
    ELECTRIC POWER
    GENERATION
    LICENSE
    Business Models:
    1.Selling to PLN (on-grid)
    2.Off-grid
    3.B2B with private sector
    PLN PPA Business Model #1 PLN PPA Business Model #4
    • ESCO Model – Shared fuel savings with • Grid System Management – Manage
    PLN by developing projects to save fuel a minigrid for PLN including
    from PLN diesel power plants distribution system
    PLN PPA Business Model #2 PLN PPA Business Model #5
    • Multiple Revenues – Separate • Take over existing generation
    generation revenues from storage and management – Replace all
    ancillary services generation plants in a minigrid
    PLN PPA Business Model #3 PLN PPA Business Model #6
    • Dispatchable Renewable Energy – • Off-grid area management –
    Provide renewable energy systems that Electrify unserved areas for PLN
    can be dispatchable to PLN’s grid while they manage the consumers
    Selling to PLN – Ministry of Energy and
    Mineral Resources Regulation 50/2017:
    • Solar PV and wind procurement are direct
    selection based on capacity quota
    • Hydro, biomass, biogas and tidal procurement
    are direct selection
    • Build, Own, Operate and Transfer agreement
    • Price agreement needs ministerial approval
    Microgrid Business Model #1 Microgrid Business Model #4
    • Community IPP - Offset own use within • Demand management – Being paid
    the community (avoid high utility tariff) an incentive for being off the grid as
    and sell the excess to the utility required, cost savings otherwise
    Microgrid Business Model #2 Microgrid Business Model #5
    • Mini IPP – Create a microgrid/mini grid • Multiple Revenues – Provide water,
    for the community and sell electricity sanitation and telecommunication
    to the community services as a bundle
    Microgrid Business Model #3 Microgrid Business Model #6
    • Anchor Tenant – Selling electricity to • Community ownership – Developer
    an anchor tenant at a premium and own a minority stake to spread
    provide electricity to the community default risk and develop many grids
    Off-grid – Ministry of Energy and
    Mineral Resources Regulation 38/2016:
    • Selling electricity directly to the public not currently
    served by PLN
    • Require a business area license
    • Possibility to apply for a subsidy
    • Subsidy maxed out at 84kWh monthly usage
    B2B Agreement with Private
    Sector :
    • Equipment rental is the best business model
    • Energy as a service is also possible
    • Ice making or cold storage
    • Drinking water bottling plant
    • Reverse osmosis plant for municipalities
    • O&M agreement
    Putting it All Together:
    • Indonesia has a huge potential for renewable energy even
    just to meet its 2025 targets
    • Several ways to help the Indonesian government:
    • PPA with PLN
    • Serving off-grid areas
    • B2B agreement with the private sector
    • Technology is not a barrier:
    • Financing
    • Risk management
    • Be a good partner – win-win solutions
    Andre Susanto
    [email protected]
    www.pt-inovasi.com
    +62 811 911 0427
    https://id.linkedin.com/in/andres
    usanto

    EMPOWERING rural communities through INNOVATION

    You might also like