Indonesian Government to Issue Regulation to Utilize Rooftop Solar PV Systems

08 Aug 2018

The Indonesian government will immediately issue a regulation regarding the rooftop solar pv systems in order to allow the users to sell unused electricity to Perusahaan Listrik Negara (PLN), Indonesian Government Owned Corporation.

Below are 2 points drafted by Indonesian Energy and Mineral Resources Ministry (EMR) to utilize Rooftop Solar PV:

  1. Solar PV capacity that can be sold to PLN is a maximum of 90%.
  2. Regulation of electricity transactions on the basis of electricity tariff formula, subscription fees, and the average electricity supply cost. 

Energy and Mineral Resources Minister (EMR) Ignasius Jonan said the regulation will allow PLN’s customers in all segment excluding industries to install rooftop solar panels. PLN customers in this segments are estimated at two-thirds of total customers. “The regulation will be issued in 1-2 weeks, we will conduct a large-scale socialization". he add.

In addition, Jonan said, the regulation will allow solar panel users to sell the excess electricity to PLN at certain regulated price. As a result, the consumers will gain savings with this scheme.

The country has set a target to achieve a 23 percent share of renewable energy in the country's energy mix by 2025 from the current share of about 13 percent.  The government plans to build 14,912 megawatts of renewable energy by 2027. Solar PV will be booming in Indonesia soon. 

In addition, the renewable energy is important as the country’s energy demand will increase to 682.3 million TOE in 2050 with the annual average assumption energy demand of 4.9 per cent in 2015-2050, According to the National Energy Council. Meanwhile, fossil fuel estimated to be only available until 2030 for petroleum, another 50 years for the natural gas, and 84 years of coal.

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