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Results for annual geothermal production bonus in Indonesia

Results for annual geothermal production bonus in Indonesia Steamfield at Lahendong geothermal plant, Indonesia (source: Sumitomo Corp.)
Alexander Richter 4 Mar 2021

Indonesia is collecting a production bonus from geothermal operations payable directly to the regencies in which the plants are located. For 2020, the total bonus has reached $7 million.

The Directorate General of New, Renewable Energy and Energy Conservation (EBTKE) in Indonesia has announced that through geothermal exploitation activities, namely Geothermal Power Plants (PLTP), the total production bonus from quarter 1 to 4 of 2020 reached IDR 101,521,867,351 (around $7 million).

This figure is calculated by reconciling the calculation of the production bonus amount for 16 geothermal power plant in geothermal working areas (WKP) areas that have been producing commercially, and are managed by existing developers (Proxy & Joint Operation Contract / KOB) and Geothermal Permits (IPB). The calculation of the production bonus refers to Article 12 Paragraph 1 and Article 13 of the Minister of Energy and Mineral Resources Number 23 of 2017 as well as the percentage of producing regions in 2020 according to the Minister of Energy and Mineral Resources Decree Number 115 of 2020.

“From today’s reconciliation results, the production bonus for the fourth quarter of 2020 is Rp 29,476,861,948, bringing the total for 2021 to approximately Rp. 101 billion. This production bonus must be paid directly by the geothermal developer to the producing regency / municipal government, and there are 26 districts / cities as the recipients of the production bonuses, “explained Budi Herdiyanto, Coordinator of Geothermal Exploration and Exploitation Supervision in a written statement this week.

Source: Detik.com