Indonesia’s upcoming energy replacement strategy would mainly depend on harnessing hydropower and solar energy thereby reducing and maybe even to the extent of eliminating fossil fuel imports.
Several considerations surfaced during their internal discussions when considering the energy alternatives. The top concerns were the price of implementing the projects plus the land space required for the power plants. Eventually the discussions centered on using solar power and hydropower because these technology are considered to be relatively cheaper and do not require green field for its development.
Instead of building solar farms that require large tracts of land, the country would be focusing on retrofitting existing buildings’ rooftops with solar panels. Due to the dynamics within the country, we could expect the government to spearhead this initiative by installing solar panels on government buildings before encouraging their private sector counterparts to do so.
While these initiatives may appear to be new, Indonesia has already started installing solar panels on rooftops since 2017. This means that they would already have some understanding of the process, including operational data and this could come in handy in their upcoming commitments.
Additionally, they would also be studying how they could develop a hybrid system whereby they could harness energy from both solar power and hydropower. This is done by combining the two technology together so that it would be able to complement each other, supplying the electricity according to the energy generation and consumption trends throughout the day.
Indonesia is expected to emphasise even more on solar power technology, given their previous experience plus they have also committed to building solar panel floating platforms in late 2020. One example is their Cirata power plant which is located approximately 100km southeast from Jakarta. It would be an important part of their Electricity Infrastructure Acceleration programme. This programme would aim to shift 23% of the country’s energy consumption to be sourced from renewable resources by 2025.
A joint venture agreement was signed between UAE-based Abu Dhabi Future Energy Company PJSC and PT Pembangkitan Jawa Bali Investasi (PJBI), a subsidiary of Indonesia’s state electricity company PT Perusahaan Listrik Negara (Persero), to develop the Cirata power plant in December 2020.
Indonesia also announced its consideration for the development of an additional 60 floating photovoltaic power plants on more than 600 lakes and reservoirs in the country.
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