Indonesia Geothermal Country Update 2019 Wini Rizkiningayu NZTE

Indonesia Geothermal Country Update 2019 Wini Rizkiningayu NZTE Business Development Manager - Indonesia New Zealand Geothermal Workshop University of Auckland, New Zealand 26 November 2019

Indonesia is one of the world’s fastest growing country energy consumer 91. 16% 80% Electrification rate by 2016. 35 GW Government program on power generation by 2024 65% 2030 2014 2000 . . . But it is not just business as usual

22. 75 MTon - Others [VALUE]M ton Renewable Energy Renewable 39. 8 TW Energy 39. 8 TW [VALUE] MTon Energy Transportation [VALUE]Mton Fossil Fuel 225 TW 497 Mton Forestr y Power Generation [VALUE]MTo n 23% Renewable Energy Mix Target by 2025. 7. 2 GW Power generation target from Geothermal energy *Accord de Paris, 2016 . . but also about commitment to reduce emission*

220 nd 2 Indonesia Geothermal Projects, Biggest geothermal 8, 053. 5 MW, 2019 -2030 potential worldwide. Geothermal Power Generation 35 yrs Direct Use NZ-ID Relationship in Geothermal since Kamojang powerplant. NZ is considered as technical expert and advisor for Government and private sector

From Ministry of Energy & Mineral Resources…

Environmental Challenges Funding, Financial & Investment Policy and Government Support Socio-Economic Challenges Exploration Risk

Roadmap 2019 -2030

Energy 39. 8 TW Fundings

Energy 39. 8 TW Funding

Energy 39. 8 TW Pertamina Geothermal Energy & World Bank on Geothermal Direct Use: From CSR to Commercial Direct Use Of Geothermal

Energy 39. 8 TW • Stakeholders Alignment • Government to treat geothermal as a national strategic project: ü Right regulations ü Improve tariff policy & non-bankable terms– (fiscal or other incentives) ü Improve PPA process & certainty prior to exploration with PLN ü Simplify bureaucratic process for permits ü Possibly providing non-recourse financing facilities for exploration • Promote Collaborative Partnerships • Technology breakthrough, Strategic Alliances/Partnerships, Cost Reduction Efforts Ways Forward

Renewable Energy 39. 8 TW NZTE : Active partner of INAGA

From strategic breakfast meeting Renewable Energy 39. 8 TW to NZ Pavilion @ IIGCE 2019 NZTE Activities 2019

Renewable Energy 39. 8 TW With immersive breakfast, Panel discussion, Masterclasses and NZ Alumni Dinner in between NZTE Activities 2019

Energy 39. 8 TW Geothermal TPPO training development Geo-INZ NZinc Activities 2019 NZAID Geothermal Project Management Short Courses

2020 Renewable 1. New cabinet, new minister of energy & mineral Energy 39. 8 TW resources – roadmap 2019 -2030 2. Mo. F initiatives on incentives / subsidy 3. Country wide focus on capacity building 4. WB & other development banks funds to de-risk exploration 5. NZTE initiatives : • NZ Story and NZ business directory in INAGA website • NZTE – INAGA industry lunch 2020 • IIGCE 2020 • …. etc Looking Ahead : What to expect?