EXPANDING OPPORTUNITIES GEOTHERMAL DEVELOPMENT
IN INDONESIA
GRC ANNUAL MEETING 2017
Salt Lake City , 1 - 4 October 2017
ABADI POERNOMO PRIJANDARU EFFENDI
Indonesian Geothermal Association
CURRENT ENERGY CONDITION
A. High dependency on fuel. B. Indonesia energy mix 2015: oil (46%); coal (26%); gas
(23%); nre (5%). C. Indonesia has been a net oil importer since 2004.
Production (287 mboe); consumption (420 mboe); oil fuel import (195 mboe); crude oil import (121 mboe); refinery capacity of ± 1 million barrels per day.
D. Energy consumption per capita is still low (5,4 mboe/cap); consumption of electricity (865 kwh/cap); electrification ratio (88.3%); power generation capacity (53 GW).
E. Very high energy subsidies F. Energy is still used as an export commodity: Gas:+
42%, exported Coal: + 82% exported G. Fuel operational reserves only for 20-25 days and there
are no reserves of energy buffer. H. The final energy elasticity is above 1 I. Supporting infrastructure has not been developed
optimally J. The development of new and renewable energy is not
optimal.
0
Government Regulation number 79 of 2014 On National Energy Policy, target of the energy mix by 2025 :
– Oil : < 25%, – Gas : > 22% – NRE : > 23% – Coal : > 30%
ENERGY MIX 2015
NRE
Oil Gas Coal
46%
26%
23%
5%
166 MTOE
INDONESIA ENERGY MIX 2025 2050
Energy Role as the national capital development
NRE on Energy Mix > 23% > 31%
Energy Supply > 400 MTOE > 1.000 MTOE
Power plants > 115 GW > 430 GW
Energy Elasticity < 1 < 1
Electricity /capita/years 2.500 kWh 7.000 kWh
Electrification Ratio ∼100% ∼100%
46%
26%
23%
5%
2015 166 MTOE
23%
25%
30%
22%
2025 412 MTOE
31%
20%
25%
24%
2050 1.030 MTOE
NRE Crude Oil Natural Gas Coal
TARGET 2025
TARGET 2050
NEW AND RENEWABLE ENERGY TARGETS
2025
23% NRE mix
92,2 MTOE
23,0 MTOE
Biofuel 13,9* mio KL
Biomass 8,4 mio ton
Biogas 489,8 mio M3
CBM 46,0 MMSCFD
ELECTRICITY 45,2
GW 69,2 MTOE
2050
31% NRE mix
315,7 MTOE
79,4 MTOE
Biofuel 52,3* mio KL
Biomass 22,7 Mio ton
Biogas 1.958,9 mio M3
CBM 576,3 MMSCFD
ELECTRICITY 167,7
GW 236,3 MTOE
FOSSIL ENERGY POWER PLANT
FOSSIL ENERGY POWER PLANT
2015 2020 2025 2030 2035 2040 2045 2050
135
443
60
FOSSIL ENERGY POWER PLANT
NRE POWER PLANT
TYPE 2015 2020 2025 2030 2040 2050
NRE 8.6 16.2 45.2 69.7 118.6 167.6 14.3% 19.4% 33.3% 36.6% 37.4% 37.8%
FOSSIL 51.5 67.3 90.4 120.6 198.6 275.4 85.7% 80.6% 66.7% 63.4% 62.6% 62.2%
Total 60.1 83.4 135.5 190.2 317.2 443.1
CURRENT PROGRESS OF GEOTHERMAL
Geothermal Potential
Geothermal Working area
Regulation
70 GWA • Existing 19 GWA • New 51 GWA
Resources 11.073 MW Reserves 17.506 MW Geologi Agency, December 2016
• Law No. 21/2014 : Geothermal • GR No. 28/2016 : Amount and
Procedure of Production Bonus • GR No. 7/2017 : Indirect Use • MREMR No. 21/2017 : Waste of Mud and
Boreholes • MREMR No. 23/2017 : Production Bonus • MREMR No. 36/2017 : Preminaliry
Survey and Preminaliry Survey Plus Exploration
• MREMR No.37/2017 : GWA
Intalled Capacity 1.698,5 MW • 12 GPP on 10 GWA • Utilization 9.3% from
Geothermal reserves
Electricity Production
4.78 GWh • 41% from the target
11.6 GWh on 2017 (data on June 2017)
Steam Production
35.89 M Ton • 41% from the target
88.72 M Ton on 2017 (data on June 2017)
No Location Location Number Potential Energy (Mwe)
Installed Resource Reserve Speculative Hypotetic Probable Possible Proven
1 Sumatera 97 2.893 1.935 5.097 930 917 342 2 Java 73 1.410 1.689 3.949 1.373 1.865 1.224 3 Bali 6 70 22 122 110 30 0 4 Nusa Tenggara 27 225 409 848 - 15 12,5 5 Kalimantan 14 152 17 13 - - 0 6 Sulawesi 78 1.221 314 1.242 80 140 120 7 Maluku 33 560 91 775 - - 0 8 Papua 3 75 - - - - 0
Total 331
6.596 4.477 12.046 2.493 2.967 1.698,5 11.073 17.506
GEOTHERMAL POTENTIAL IN INDONESIA
2015 2016 2017 2018 2019 2020 2025 2030 2040 2050
Geothermal 1.438,5 1.653,5 1.908,5 2.133,5 2.493,5 3.109,5 7.241,5 9.300 13.423 17.546
Hydro and Micro Hydro
5.024 5.119 5.236 5.491 7.009 7.889 20.960 25.844 35.611 45.379
Bioenergy 1.740 1.886 2.093 2.359 2.674 3.024 5.532 9.651 17.887 26.123
Solar 79 229 429 679 979 1.379 6.379 14.103 29.551 45.000
Wind 7 57 107 207 307 507 1.807 7.167 17.887 28.607
Other NRE 372 1.860 1.860 1.860 1.861 1.863 3.128 3.779 5.081 6.383
Total 8.660 10.804 11.728 12.939 15.807 18.475 45.044 69.843 119.440 169.038
RENEWABLE ENERGY DEVELOPMENT PLANT
Geothermal development target can be achieved required by: 1. Optimize geothermal potential in large fields especially in GWA managed by Pertamina 2. Electricity prices from geothermal are suitable with economy of field development; 3. Simplification of permit in geothermal sector 4. Fiscal incentives for geothermal development
TARGET AND MILESTONE OF GEOTHERMAL DEVELOPMENT
1.698,5 MW additional capacity from 2500
4. GPP Sarulla Unit 2 (110 MW) 5.000,0
500
Capa
city
(MW
)
Addi
tiona
l Cap
acity
(MW
)
1. GPP Ulubelu Unit 4 (55 MW) (COD 25 April 2017) 2. GPP Karaha Unit 1 (30 MW) 3. GPP Sorik Marapi (Modular, 20MW)
0
37
110
7,5
60
35
8.000,0
7.000,0
6.000,0
4.000,0
3.000,0
2.000,0
1.000,0
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2021 2022 2023 2024 2020
Rencana Kapasitas Tambahan Kapasitas
3000
2000
1500
1000
0
GEOTHERMAL WORKING AREA STATUS OPERATION:
10 GWA(1.698,5 MW) Development Plans (1.153 MW) PRODUCTION:
10 GWA (1.698 MW) Development plans (1.135
MW)
(12 MW) (220 MW) (377 MW) (282 MW) (505 MW)
(60 MW) (120 MW)
(10 MW) (2,5 MW)
(110 MW)
EXPLOITATION: 8 GWA (1.135 MW)
1. 2. 3. 4. 5. 6. 7. 8.
Sungai Penuh Lumut Balai Hululais Karaha Cakrabuana Cibuni Tabanan Tulehu Muaralaboh
(145 MW) (285 MW) (340 MW)
(50 MW) (10 MW) (65 MW) (20 MW)
(220 MW)
EXPLORATION & EXPLOITATION:
26 GWA ( 2.970 MW) PPA SIGNATURE
13 GWA (1.485 MW) 70 GWA (7.503 MW) 1.
2. 3. 4. 5. 6. 7. 8. 9.
Gn. Rajabasa Rantau Dedap Blawan-Ijen Gn.Ungaran Telaga Ngebel Baturaden Guci Kaldera Danau Banten Cisolok Sukarame
(220 MW) (220 MW) (110 MW)
(55 MW) (165 MW) (180 MW)
(55 MW) (110 MW)
(45 MW) (45 MW)
(240 MW) (10 MW) (30 MW)
EXPLORATION: 18 GWA (1.835 MW)
LICENSEE PROCESS : 1 GWA (110 MW) 10. Tampomas
11. Sorik Marapi 12. Jaboi 13. Sokoria
1. Seulawah Agam (110 MW)
READY TO ASSIGNMENT / TENDER:
33 GWA (1.590 MW)
Sibayak Ulubelu Cibeureum Parabakti Pangalengan Kamojang Darajat Dieng Lahendong Tompaso Ulumbu Mataloko Sibual-Buali
1. 2. 3. 4. 5. 6. 7. 8. 9.
10.
PPA SIGNATURE PROCESS: 5 GWA (330 MW)
1. 2. 3. 4. 5.
Gn. Talang - B. Kili Gn. Lawu Way. Ratai Candi Umbul Telomoyo Gn. Arjuno Welirang
(20 MW) (110 MW)
(55 MW) (55 MW)
(110 MW)
GEOTHERMAL DEVELOPMENT BREAKTROUGH
Assignment on SOE
PSA+ Exploration
Incentive (Fiscal & Non Fiscal)
Simplification of Licensing
Government drilling & Geothermal Fund
Optimizing of Potential Development in the Large Field
CHALLENGES
Social Matters issues Geothermal Location Within the Forest Area
Pricing Licensing
Funding
• Given that Indonesia retains the largest reserves of geothermal resources globally, which is currently only 5% being utilized, opportunity to invest is very sexy
• Through a National Energy Policy on targeting the Energy Mix by 2025, Government is
seriously attempting to accelerate the geothermal development by simplifying and shortening bureaucratic of all permits and commercial process with the Buyer (PLN)
• Development of a pricing policy that is aimed to meet the expectation of developer, but still in
a competitive range with PLN's production cost, is underway; it is aimed to combine pricing policy with fiscal incentives
• Indonesian Geothermal Association (INAGA) will always take an important role of geothermal
development in Indonesia by cooperating in working relationships with all stake holders for the benefit of geothermal development
• In order to succeed in Indonesia; it requires good local knowledge, patience and
determination
CLOSING REMARKS
Source : Presidential Decree No.22/2017 : Energy Road Map Geological Agency, MEMR 2016 Directorat General NRCE, MEMR 2017 Handboof of Energy Indonesia, Pusdatin MEMR 2015