Gov’t Prepares Incentives for Renewable Energy Power Plants

Senin, 25 Februari 2013 | 08:58

High demand of diesel for power plant has prompted Ministry of Energy and Mineral Resources (MEMR) to prepare several incentives for development and usage of new and renewable energy in power plant. General Director of New Energy and Renewable Energy and Energy Conservation, Rida Mulyana said the Directorate has proposed incentive in form of electricity feed in tariff from solar power to replace diesel power plant (PLTD).

Therefore, it is expected to reduce diesel usage, because solar power plant power can supply electricity and replace PLTD in daylight.

In MEMR draft regulation, Rida said has proposed the electricity feed in tariff as much as US$0.25-US$0.30 kilowatt hour (kwh). “For power plant with domestic target by 40%, it is entitled feed in tariff by US$0.30,” he said, Jakarta, last week.

Rida revealed the feed in tariff is expected to encourage private sector to develop solar panels in Indonesia. Because until now solar power plant still relatively expensive. Because solar technology still expensive, the Ministry only uses solar panels without batteries, so it can supply electricity during the day.

“We will use solar panels without batteries, because it’s expensive and only can use by 3 years. In addition, the panels don’t use solar detection as in China and Europe, so it can’t move,” she explained.

At the beginning, the Ministry didn’t want to equate electricity feed in tariff of solar plant in all regions. Therefore, each region has different characteristic of solar reserves such as geography, humidity and clouds form.

However, the categorization is considered less scientific and potentially complicate the solar investment, thus the directorate proposed equating the feed in tariff.

Bioenergy Director of the Ministry of Energy and Mineral Resources, Dadan Kusdiana said for the initial phase it will develop solar power plant with a total capacity of 100 MW. The power plant will be built in several potential areas through selection process of developers who are interested.

The solar power plant is required large land areas. Because the land issue caused the power plant which developed by the Government still for a relatively small capacity. (25/t08/aph/tw)

by Lili Sunardi, Elok Ani Riani