Directorate General of Electricity Ministry of Energy and Mineral Resources Republic of Indonesia COUNTRY REPORT 2012 Rural Electrification in Indonesia Target and Development Ashary Teguh Winoto Elif Doka Marliska M. Himawan Prasetyo Sahat Simangunsong
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Rural Electrification in Indonesia Target and Development
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Directorate General of Electricity
Ministry of Energy and Mineral Resources
Republic of Indonesia
COUNTRY REPORT 2012
Rural Electrification in Indonesia Target and Development
Ashary Teguh Winoto
Elif Doka Marliska M. Himawan Prasetyo Sahat Simangunsong
Objective of Electricity Development
To ensure the availability of electricity in sufficient quantity, good quality and
reasonable price in order to improve the welfare of the people.
Utilization of Primary Energy Sources :
Primary energy sources from domestic and overseas shall be used optimally in
accordance with National Energy Policy to ensure a sustainable supply of
electricity.
Utilization of primary energy sources must be implemented with emphasis
on new energy sources and renewable energy.
Utilization of domestic energy sources will be prioritized for national interests.
GOVERNMENT POLICY ON ELECTRICITY SECTOR (Base on Electricity Law No. 30 Year 2009)
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Electricity Law No. 30 Year 2009 about Electricity article (4)
Government and Local Governments provide funding for :
a) Poor people;
b) Electricity supply in underdeveloped areas;
c) Electric power in remote and border areas;
d) Rural electrification.
Policies on Rural Area
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Challenges in Electricity Sectorvelopmet
Development
Mismatch between primary energy resources versus population
density:
80% population located in Java-Bali;
majority source of primary energy in other islands.
Dependency on oil as primary energy for electricity generation :
abundance coal reserve, but many electricity generations still use
fuel oil.
Lack of supporting infrastructures:
gas pipe networks;
coal transportation and distribution;
electricity transmission networks, especially in outer islands.
Limited financial budget to develop electricity sector:
Electrification ratio is still low;
Funding is needed for the development of additional generation
capacity (crash programs), transmission and distribution networks.
Challenges in Gaining Target
Goverment subsidiary on electricity sector.
electricity price is under its economical level
Subsidiary reduces government capability to invest in electricity
sector
2006 2007 2008 2009 2010 2011 2012 2013 2014
Electrif icat ion Ratio 63% 64.3% 65.1% 65.8% 67.2% 72.95% 75.9% 78.0% 80.0%