Electricity Power Development in Indonesia

Presented by : I Made Ro Sakya – PT PLN (Persero)

PT PLN (Persero)|

Total

Hydro 3,524 MW

Geothermal 439 MW

Steam-

turbine

12,671 MW

Combined

Cycle

7,704 MW

Gas-turbine 3,224 MW

Diesel 3,267 MW

Others 39 MW

IPP 5,389 MW

TOTAL 36,257 MW

Java-Bali

Hydro 2,399 MW

Geo 375 MW

Steam-

turbine

12,530 MW

Combined

Cycle

6,786 MW

Gas turbine 2,114 MW

Diesel 120 MW

IPP 4,9147MW

TOTAL 28,471 MW

NTB

Diesel 141 MW

Hydro 1 MW

TOTAL 142 MW

NTT

Diesel 53 MW

Geothermal 4 MW

Hydro 1 MW

TOTAL 58 MW

Papua

Diesel 266 MW

Hydro 4 MW

TOTAL 270 MW

Maluku

Diesel 198 MW

TOTAL 198 MW

Sulawesi

Hydro 220 MW

Geothermal 60 MW

Steam-

turbine

100 MW

Gas-turbine 123 MW

Diesel 567 MW

IPP 384 MW

TOTAL 11,409 MW

Kalimantan

Hydro 32 MW

Steam-

turbine

201 MW

Combined

Cycle

60 MW

Gas-

turbine

113 MW

Diesel 969 MW

Others 39 MW

IPP 56 MW

TOTAL 1,470 MW

Sumatera

Hydro 867 MW

Geotherm

al

0 MW

Steam-

turbine

1,175 MW

Combined

Cycle

858 MW

Gas-

turbine

874 MW

Diesel 953 MW

IPP 802 MW

TOTAL 5,556 MW

As of 31 Mar 2012, PLN has an extensive generation portfolio with total installed capacity of 32,158 MW across Indonesia

Sumatera

Kalimantan

Sulawesi

Maluku

Papua

NTT NTB Java-Bali

PLN’s Generation Asset Portfolio

Note: As of 31 Mar 2012

PT PLN (Persero)|

100% 100% 99% 99% 99% 98%90%

77% 75% 73%

62%55%

44%

Singapore Brunei China Malaysia Thailand Vietnam Philippines Sri Lanka India Indonesia Pakistan Laos Nepal

Electrification Ratio – Asian Countries

Electrification Rate for Asian Countries (2009)

Low electrification ratio of 73,7 % (as of year-end 2011) underscores undersupply

PLN is mandated to implement Fast Track Programs for capacity expansion to meet Indonesia’s growing demand

– Aim to achieve 86% electrification rate by end-2016

2016 target: c. 86% (2)

Ample room for growth in the electricity sector based on the current electrification rate(1) in Indonesia

Source: IEA. (1) Percentage of population with electricity access. (2) Include non-PLN customers. (3) 2011 value.

(3)

PT PLN (Persero)|

Electrification Ratio (%)

4

62.4 63.8 68.3

71.2 73.3 75.1

78.2 81 83.4

0

10

20

30

40

50

60

70

80

90

2008 2009 2010 2011 2012E 2013E 2014E 2015E 2016E

Rasio Elektrifikasi

2008 2009 2010 2011 2012 Target

2012E

2013E 2014E 2015E 2016E

PLN 62.4 63.8 68.3 71.2 71.2 73.3 75.1 78.2 81.0 83.4

(PLN+ Non PLN)

73.7 73.7 75.9

PT PLN (Persero)|

PT PLN (Persero)|

Electrification Ratio ( as of June 2012)

5

SUMUT: 84.8%

SUMBAR: 74.8%

RIAU:73.4%

SUMSEL: 63.0%

BENGKULU: 65.1%

BABEL: 88.0%

LAMPUNG: 65.2%

DKI: 93.9%

BANTEN: 77.1%

JABAR: 72.8%

JATENG:78.1%

JAMBI: 67.4%

DIY: 76.0% JATIM: 72.2% BALI:71,0% NTB: 49.0%

NTT: 43.5%

KALBAR: 68.4%

KALTENG: 52.1%

KALSEL:72.8%

KALTIM:71.1%

SULUT: 74.0%

GORONTALO:54.9%

SULTENG:62.8%

SULTRA:56.8%

SULSEL: 74.1%

MALUT: 62.8%

MALUKU: 67.1%

PAPUA: 30.4% SULBAR: 63.2%

R/E 2012

Target 2012 H1

2012 Pred

PLN 71.2% 70.5% 73.3%

(PLN+ Non PLN) 73.7% 72.8% 75.9%

NAD: 88.1%

PT PLN (Persero)|

Die se l

2 %

Ge o-

the rma l

5 %

Hydro

10 %

Coa l

5 8 %

Ga s

2 5 %

121 129135

147 158172

196213

0

50

100

150

200

250

300

2007 2008 2009 2010 2011 2012E 2013E 2014E

(TWh)

Die se l

2 3 %

Ge o-

the rma l

3 %

Hydro

8 %

Coa l

4 2 %

Ga s

2 4 %

Die se l

2 %

Ge o-

the rma l

2 %

Hydro

6 %

Coa l

6 4 %

Ga s

2 6 %

Generation Fuel Mixed

Installed Capacity by Fuel Type

(GW)

Total Installed Capacity

Generation by Fuel Type Total Energy Sold

Ge o-

the rma l

1%

Die se l

2 5 %

Hydro

11%

Coa l

3 8 %

Ga s

2 5 %

2016E 2011

2016E 2011

25 25 26 2627

31

37

4143

0

5

10

15

20

25

30

35

40

45

50

2006 2007 2008 2009 2010 2011 2012E 2013E 2014E

Source: RUPTL

PT PLN (Persero)| Current Status of Energy Production 1. BASED ON POWER SOURCES

2. BASED ON PRIMARY ENERGY

7

Fuel oil, 23.%

Hydro,8%

Nat.Gas, 24%

Coal, 42%

Geothermal and other,

3.%

Owned ; 71,34%

Lease Fuel Oil; 6,82%

Lease Gas;

0,98%

IPP; 20,86%

• PLN is the biggest producer for electricity in Indonesia.

• Fossil power plant remain dominant ( 89 % ), mainly Coal Steam Power Plant, Oil and Natural Gas with 42 %, 24 % and 23 % share respectively.

• Share of renewable energy is 11 %, which consist of Hydro ( 8 % ) and Geothermal & Other RE ( 3 % ) .

PT PLN (Persero)|

Projection of electricity demand is driven by three main things :

Electrification program, To support government program to accelerate electrification ratio

Economic growth, To support manufacturing and service companies to produce products and services

Captive taking over / meet large consumer demand, To take over captive and to meet large customer demand

Demand of electricity is expected to grow fast

IB : 10,2 %

24

TWh

55 TWh

IT : 10,8 %

13 TWh 31 TWh

JB : 7,8 %

125 TWh 241 TWh

2011 2020

National demand growth 8,46% per year (Jawa-Bali 7.8%, West Indonesia 10,2% dan East Indonesia 10,8%)

PT PLN (Persero)|

9

Power Generation Additional Capacity

9

5.268

7.192

4.971

4.274

5.944

7.164

6.436

4.181

5.034 4.882

-

1.000

2.000

3.000

4.000

5.000

6.000

7.000

8.000

2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

CFPP GeoPP HEPP CCPP GTPP DiePP Others

• RUPTL ( Power Sector Develepmont Plan ) 2011 – 2020 stipulated that 55,3 GW is needed to cater the demand of electricity in Indonesia.

• The power plant will be dominated by Coal PP (64%). The power plant composition will be : Coal PP 35,6 GW, Hydro PP : 5,7 GW; Geothermal PP : 6,2 GW; Combine Cycle (Gas) : 3,3 GW; Gas Turbine (Gas) : 4,1 GW and others.

• Private participations are very welcome in the power development of Indonesia. It is estimated that private participation ( IPP ) will contribute 43% of total capacity needed. ( PLN 31,5 MW and IPP 23,9 GW).

4,477

5,372

4,283

2,357 2,254 1,992 1,780 1,718

3,019

4,102

1,106

1,505

688

1,917

3,690

5,172

4,656

2,463

2,015

780

-

1,000

2,000

3,000

4,000

5,000

6,000

7,000

2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

IPP

PLN

PT PLN (Persero)|

Fuel Mix Indonesia 2011-2020

Gas

Geothermal

Hydro

LNG

HSD MFO

Coal

-

50,000

100,000

150,000

200,000

250,000

300,000

350,000

400,000

2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

GW

h

Impor Biomass Surya/Hybrid HSD MFO LNG Gas Batubara Geothermal Hydro

10

Hydro

Geothermal

Coal

Gas

LNG

Oil

Source : RUPTL 2011-2020

• PLN will reduce reliance on fuel oil as a fuel source. Fuel oil as a generating fuel source is more expensive on a Rupiah-per-kilowatt basis than coal, natural gas and geothermal energy. In addition, Indonesia has a substantial amount of coal which can be sourced domestically.

• PLN will prioritize on the development of green power plant technology such as Geothermal, hydro , solar and other form of renewable energy.

• PLN will further to utilize more efficienct & Reliabile technology of fossil fuel power plant technology : Supercritical Technology, Coal Upgrading, Fuel Switching.

36%

25%

22% 23%

9% 8%

12%

7%

3% 3% 3% 5%

17%

25% 25%

21%

35%

39% 38%

44%

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

50%

2008 2009 2010 2011

Oil Hydro Geothermal Gas Coal

PT PLN (Persero)|

Gas

Geothermal

Hydro

LNG

HSD MFO

Coal

• Share of renewable energy will increase from 11 % ( 2011 ) to be 19 % ( 2020).

• Fuel Oil contribution will br reduced from 23 % ( 2011) to 5 % by 2013.

• Development of renewable energy resources will be thefirst priority. Hydropower and geothermal will dominate RE development .

11

PLN Electricity Development Plan (2011 -2020 )

81%

11% 8%

2020

Non-ReNEW Hydro Geothermal

PT PLN (Persero)| Renewable Energy Development Plan

12 12

• The utillisation of Renewable Energy has been planned, mainly hydro power : 5,722 MW, geothermal : 6,247 MW and other small RE ( 253 MW ). Total RE capacity : 12,223 MW, 55 % expected from IPP.

PT PLN (Persero)| DEVELOPMENT PLAN OF SMALL SCALE POWER GENERATION UTILIZING GREEN & NEW ENERGY

No RE Plant unit

Year

2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 TOTAL

1 Mini Hydro MW 23 37 198 126 46 193 203 214 225 235 1500

2 Solar PV MWp*) 2 30 50 60 70 70 75 75 80 80 592

3 Wind Power MW 0 0 10 10 15 15 20 20 25 25 140

4 Biomass MW 16 33 35 35 35 40 40 45 45 50 374

5 Sea Current MW 0 0 2 0 0 5 5 5 5 5 27

6 Bio-Fuel MW**) - 10 15 15 14 8 7 7 8 9 93

7 Coal Gasification MW 6 32

81

43

22

7

22

14

6 10 243

TOTAL MW 47 142 391 289 202 338 372 380 394 414 2,969

PT PLN (Persero)| Summary

Ample room for growth in the electricity sector based on the current electrification rate in Indonesia

Coal will still the most dominant energy source of electricity, but PLN will utilize more efficient, reliable and cleaner technology of fossil fuel power plant technology : Ultra Supercritical Technology, Coal Upgrading.

PLN will prioritize on the development of green power plant technology such as Geothermal, hydro , solar and other form of renewable energy.

PT PLN (Persero)|