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Innovation Ecosystem
a. Sustainable Energy Options
1. RE for Electricity Generation :
Geothermal. Hydro power.
Solar Wind.
Biomass direct combustion or through biogas
2. Liquid Fuels :
• BIOMASS : – Biodiesel oil : diesel fuel substitute.
» Currently 10 Biodiesel and 90 diesel oil Biosolar. – Bioethanol : for gasoline Premium, RON 88 substitute.
» Currently : 10 bioethanol and 90 premium.
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Regional Oil
Natural gas
Coal Hydro
power Geo
thermal
Java 19
6 6
34 Sumatera
69 55
50 21
47
Kalimantan 9
14 50
29
Sulawesi 1
2 14
8
Others 2
24 31
10
: Jawa island is only 7 of total Indonesia Land, but occupied by 55 of total population
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- 1,00
2,00 3,00
4,00 5,00
6,00
2000 2001
2002 2003
2004 2005
2006 2007
2008 2009
2010 2011
Final Energy Consumption per Capita BOEcapita Primary Energy Supply per Capita BOEcapita
World average energy consumption :
Page 13
Distribution share of final energy consumption by region .
Source: M.H. Hasan et al. Renewable and Sustainable Energy Reviews 16 2012
67 of consumption in Jawa and Bali, where the sources is very limited.
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No Renewable Energy
Potential MW
Install Capacity
MW Ratio
1 2
3 4
5=43
1 Large Hydro 75,670
5,705.29 7.54
2 Geothermal 29,038
1,189 4.00
3 Small Hydro Microhydro
769.69 217.89
28.31
4 Biomass 49,810
1,618.40 3.25
5 Solar 4.80
kWhm
2
day 13.5
-
6 Wind 3-6 ms
1.96 -
7 Sea 43,000
- -
data 2009 various sources
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To increase utilization of RE sources for electric power generation by private companies :
– Feed- in- tariff policy for renewable energy sources, the
tariff: • Depend location Jawa - Bali, Sumatera, Kalimantan,
etc . • Depend on energy sources solar energy, biomass,
biogas, etc.
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Background of Indonesia Biofuels Development Program
1. High bio-diversity in Indonesia, including biofuel feedstock. 2. Land availability for plantation and biofuel development.
3. Proven biofuel technology by local potential Engineering, Research and Development.
4. Biofuel industry allows community participations, including farmers.
5. High number of unemployment that could be employed in biofuel industry.
6. Biofuel is renewable, and potential for fossil oil substitution.
Source : Evita L, 2007.
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Facilities and incentives for Biofuel Development
1. Government regulation no 12007 : on income tax for investment in certain business orand certain area.
– Biofuel development included in certain business : is given income tax facility in form of net income reduction,
30 of total investment.
2. Government regulation no 82007. It is set up Indonesia biofuel fund.
– Seed capital for Indonesia Biofuel Fund : US 220 millions.
Source : Evita L, 2007
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3. Minister of Finance Regulation 117PMK 62006. On credit of Bioenergy development and Plantation Revitalization.
– Credit for bio-energy development and plantation revitalization is prepared in order to support funding for
biofuel feedstock development program and plantation revitalization.
– Plantation development that could be funded by the program includes plantation expansion, rehabilitation and
rejuvenation.
Source : Evita L, 2007
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1. Availability of biofuel development regulation and standard.
2. utilization of biodiesel oil and bioethanol as substitute of fossil oil Premium and Diesel
OilSolar.
3. Development of Energy Self Sufficient Village ESSV utilizing biofuels, currently more than
130 ESSV.
4. Biofuel production industries.
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Biofuel for Rural Communities
Small scale bio energy projects : PPO Pure plantation oil blend of jatropha oil
with Diesel Fuel : Rural tractor , Water Pump, rural transportation, fishing boat engine.
Government grant for superior seedlingnursery, small scale pilot plant, pilot
projects. e.g. Jatropha Nursery Center at West Java
Jatropha plantation was around 50,000 Ha. 2008
Source : Evita L.
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2.7 Millions kLyear.