Jumat, 13 April 2018

GOVERNMENT CONTINUES TO DEVELOP RENEWABLE ENERGY

 by Andi Abdussalam
          Jakarta, April 13 (Antara) - The energy sector is one of the crucial fields that has been instrumental in driving economic activities and boosting growth in the country.
         Today, energy is no longer merely a commodity but has served as a driving force for economic development. Hence, to replace the depleting conventional energy sources, the Indonesian government is going all out to exploit its new and renewable energy potential.
         With the shift in paradigm from energy as a commodity to energy as a driver, economic growth must be complemented with reforms in the oil and gas industry.
         "We are now working hard to attract as many investors as possible to work jointly with us in conducting exploration activities, increasing production, and developing energy infrastructure," Deputy Minister of Energy and Mineral Resources Archandra Tahar noted in Jakarta on Thursday (Apr 12).
         Indonesia is confident of being able to exploit more of its renewable energy in future, with its measured program to achieve its energy mix targets.
         "Indonesia should ensure it still has the opportunity to enjoy more than what it is having today, " Tahar stated at a workshop on the energy sector.



         Tahar also highlighted the need to ensure the role of oil and gas in promoting sustainable economic growth by inviting more investment.
         "We have simplified and reduced the number of oil and gas regulations, from 104 to six. On the upstream side, we have revised the cost recovery scheme into a gross split scheme," Tahar explained.
         The government, through the Ministry of Energy and Mineral Resources (ESDM), has targeted a 23 percent energy mix in the transportation and electricity sectors in 2025.
         "Currently, it is 12-13 percent for electricity, but it is still lesser in the transportation sector. I think it is still 10-11 percent," ESDM Minister Ignatius Jonan stated after delivering a public lecture in Surabaya on Thursday.
          The government has been successful in achieving and exceeding its renewable energy mix target in 2017 after failing to realize the environment-friendly energy target set in 2015 and 2016. In 2016, the government had set a renewable energy mix target at 10.4 percent but only managed to achieve 7.7 percent of the renewable energy portion.
         The government's energy mix target has, so far, not been achieved, as in 2015, it had reached only five percent, and in 2016, it was seven percent. Due to its failure, the government has tasked the Ministry of Research, Technology, and Higher Education with encouraging its research and development center to conduct further studies on renewable energy sources, including the Geothermal Electricity Generator technology.
         Indonesia's energy development vision in future lays emphasis on the use of new and renewable energy.
         In 2015, the national energy mix had comprised 39 percent oil, 22 percent gas, 29 percent coal, and 10 percent new and renewable energy.
          Indonesia is planning to achieve an energy mix of 25 percent oil, 22 percent gas, 30 percent coal, and 23 percent new and renewable energy in 2025.
          In 2050, the energy mix will comprise 20 percent oil, 24 percent gas, 25 percent coal, and 31 percent new and renewable energy. The government has admitted that it was not easy to achieve the target.
         The targets seem to be difficult to achieve owing to the fact that until recently, the government has only achieved about eight to nine percent. Viewing the performance, it could probably only achieve 12 to 13 percent in 2019.
         However, Indonesia is resolved to reduce its use of conventional fossil fuels and continues to promote new and renewable sources of energy and increase the share of renewables in its energy mix to 23 percent by 2025.
         "Indonesia is resolved to increase its energy mix to 23 percent in 2025 in line with its commitment to reducing its greenhouse gas emissions it had made during the COP 21 conference in Paris in 2015," Minister Jonan had stated early last year.
        Indonesia has planned to reduce its emissions by 26 percent by 2020 and 29 percent by 2030.
        Hence, during a lecture titled "Justice for People's Welfare, Economic Growth and Investment Sustainability" at Airlangga University, Surabaya, on Thursday, Jonan explained that the government had encouraged the development of power plants using renewable energy in order to achieve the target, especially in the electricity field.
         President Joko Widodo had firstly encouraged the use of water due to the presence of several rivers; secondly, solar energy, as Indonesia is a tropical country, and thirdly, geothermal energy, since Indonesia has large geothermal reserves.
          In the field of transportation, the Ministry of Energy and Mineral Resources had encouraged the use of bio-diesel oil mixed with palm oil.
          Jonan revealed that a recent decision was made that trains will use a palm-oil based bio-diesel mix of five percent, effective from May 1.
          Heavy equipment for mining will also use bio-diesel, with a mixture of 15 percent. Moreover, there will nearly be one million kiloliters per year starting from May 1, 2018. In future, public vehicles, such as buses, will also be driven using bio-diesel, with a mixture of 15 percent.
         "This will be carried out slowly in cooperation with car manufacturers and the transportation industry," he added.***3*** (A014/INE)EDITED BY INE/H-YH(T.A014/A/BESSR/A/Yosep) 13-04-2018 13:36:

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