New feed-in-tariff scheme for renewable energy expected soon in Indonesia
Indonesia's Ministry of Energy and Mineral Resources will soon launch a new scheme of feed-in-tariffs for renewable energy projects in the country.
As reported from Indonesia this week, the Ministry for Energy and Mineral Resources in Indonesia expects to soon issue a new ruling on a new tariff scheme for renewable energy.
The planned tariff scheme, will set the feed-in-tariffs for electricity generated from renewable energy sources at no higher than 85% of the basic production cost of renewables in respective regions.
This will result in different tariffs for different regions and technologies.
The country maintains its ambitious 35,000 MW power program, with a large part of this to be sourced from renewable energy sources. The official target is to derive 23% of electricity from renewable energy by 2025. With its geothermal resources, the country is putting big hopes into geothermal energy development. The state power utility PLN expects that power plants with a total capacity of up to 26,000 MW will start operations by the end of 2019, of which only 20,000 MW have signed PPAs with PLN.
There remains a lot of criticism by industry players on the part of PLN and its inconsistency in carrying out project tenders, so Rambu Energy.
Source: Rambu Energy