Indonesian Electricity Sector Current Power Industry and Power

Indonesian Electricity Sector

Current Power Industry and Power Market • Wholesale market (but up to now the implementation most likely single buyer which is PLN as majority of market concession) • Current Interconnection : West Kalimantan – Sarawak (275 k. V, 230 MW) • Future Interconnection : – North Kalimantan – Sabah : Mo. U, Joint Study, COD 2022 – Sumatera – Peninsular (Malaysia) : Under Review, COD after 2021

Projection of Electricity Demand 2017 -2026 64 26 TWh 480 TWh 3592 TWh TWh 11, 2% SUMATERA 10, 8% INDONESIA TIMUR 326 174 234 TWh 10, 1% KALIMANTAN TWh 7, 2% JAWA - BALI 11, 7% SULAWESI 9, 9% NUSA TENGGARA 12, 1% MALUKU 10, 5% PAPUA 2017 2026 8, 3% INDONESIA 3

Policy Initiatives to Support Power Market • Open market (concession) • Energy policy (target fuel mix from renewable energy) • Power wheeling (implementation at the moment at the national level and need to bring to regional level)

Projection of Energy Mix Other RE 2017 LNG RE : 11. 9% GAS: 25. 8% Gas Oil RE : 22. 4% GAS: 26. 7% Coal Geothermal 2026 Hydro 5

Renewable Energy (RE) Development Plan and Potential RE Projects 2017 -2026 Indonesia Reg. Kalimantan Reg. Sumatera Reg. Sulawesi & Nusa Tenggara Reg. Maluku & Papua Reg. Jawa-Bali Note: RE Potential resources are not included in the RUPTL project list 6

Good Practices & Opportunity • Working Group under ASEAN – Lesson Learned – Find Solution (Policy and Regulatory) – Technical and knowledge exchange • Market and energy resources opportunity • ASEAN cooperation

Challenges and Recommendations • Policy framework : Enhance and adjust policy framework to the level playing field in the regional • Market structure should be improved • Infrastructure : Transmission and distribution need to be enhanced

Electricity Infrastructure Development Plan 2017 -2026 SULAWESI & NUSA TENGGARA KALIMANTAN Power Plant 6. 9 GW Transmission 10. 611 kms Substation 7. 590 MVA Power Plant 8. 6 GW Transmission 12. 805 kms Substation 11. 582 MVA MALUKU & PAPUA Power Plant 2. 1 GW Transmission 2. 479 kms Substation 2. 100 MVA SUMATERA Power Plant 21. 0 GW Transmission 23. 077 kms Substation 45. 620 MVA TOTAL INDONESIA JAWA-BALI Power Plant 39. 1 GW Transmission 18. 494 kms Substation 98. 339 MVA Power Plant Transmission Substation 77. 9 GW 67. 465 kms 165. 231 MVA 9