DIRECTORATE GENERAL OF NEW RENEWABLE ENERGY AND ENERGY CONSERVATION
MINISTRY OF ENERGY AND MINERAL RESOURCES
GEOTHERMAL POWER PLANT DEVELOPMENT IN INDONESIA by:
Jarman Directorate General of New, Renewable Energy and Energy Conservation
Presented at: “Forum for East Asia-Latin America Cooperation” November 13th, 2012 Tokyo, Japan
Ministry of Energy and Mineral Resources Directorate General of New Renewable Energy and Energy Conservation
OUTLINE I. II. III. IV. V.
Background Geothermal Policy Geothermal Program Geothermal Development Investment Opportunities
Direktorat Jenderal EBTKE
Ministry of Energy and Mineral Resources Directorate General of New Renewable Energy and Energy Conservation
I. Background
Direktorat Jenderal EBTKE
Ministry of Energy and Mineral Resources Directorate General of New Renewable Energy and Energy Conservation
Direktorat Jenderal EBTKE
BACKGROUND
Geothermal is a thermal energy that naturally formed beneath the earth's surface;
Geothermal energy is a green energy because it produces lower green house gasses (GHG) than fossil fuel. In addition, when managed properly, geothermal is also consider as a renewable energy;
Geothermal energy is site specific, can not be stored, and also can not be transported;
Implementation of geothermal activity in line with the mandate of the Law 1945;
Geothermal utilization are in forms of direct and indirect use;
Authority for geothermal management distributed to Minister, The Governor, and/or Regent/Mayor in accordance with their authority.
Constraints and Barriers:
Pricing Electricity price from geothermal energy still considers has not reached its economical value;
Land-use Issues Geological Agency has been identified that more than 70% of geothermal areas are partially or completely overlapping with forestry areas (conservation forest, protected forest and production forest)
Direktorat Jenderal BACKGROUND EBTKE
Direktorat Jenderal Energi Baru, Terbarukan dan Konservasi Energi Kementerian Energi dan Sumber Daya Mineral
CURRENT ENERGY CONDITION 1. Electrification ratio in 2011 is 72,95%;
2011
2025
2. Energy consumption growth is 7% per year, which not balance with energy suppy;
Gov. Reg. NO. 5/2006
3. The dependence on fossil energy is high, but the energy reserve is limited;
Oil 20 %
4. Fossil subsidy is increasing; 5. The utilization of renewable energy and implementation of energy conservation has not been optimized;
Gas 30 %
NRE 17 %
Oil 49,7 %
6. Link with environmental issue: a. Climate change mitigation; b. Clean energy initiative: National commitment to reduce emission by 26% in 2020;
7. Funding for energy development is limited
Gas 20,1 %
Coal 24,5 %
Coal 33 %
NEP Draft By NEC NRE 5,7 %
Oil 23,7 %
Gas 19,7 %
NRE 25,9 %
Note: NRE = New and Renewable Energy NEP = National Energy Policy NEC = National Energy Council
Coal 30,7 %
Direktorat Jenderal BACKGROUND EBTKE
Ministry of Energy and Mineral Resources Directorate General of New Renewable Energy and Energy Conservation
GEOTHERMAL POTENTIAL
RESOURCES (MWe) Speculative Hypothetical 8.231
4.964
RESERVE (MWe)
%
45.17%
Possible
Probable
Proven
12.909
823
2.288
13.195
16.020
29.215
Source : Geological Survey, MEMR(2011)
%
Note: 54.83%
Preliminary Survey
Ready to Developad
Detail Survey
Already Developed
Ministry of Energy and Mineral Resources Directorate General of New Renewable Energy and Energy Conservation
II. Geothermal Policy
Direktorat Jenderal EBTKE
Direktorat Jenderal Energi Baru, Terbarukan dan Konservasi Energi Kementerian Energi dan Sumber Daya Mineral
Direktorat Jenderal EBTKE
GEOTHERMAL POLICY Policy Directions: • The paradigm of national energy management is shifting from Supply Side Management to demand side management Management; • Supply Side Management on fossil focused energy sources; • Demand Side Management focused on optimizing energy efficiency and new renewable energy sources; • The Law No. 30/2007 on Electricity, emphasis on diversification and energy conservation. Opportunities:
• Environmental issues and sustainable development; • A paradigmatic shifting in the management of the national energy; • Indonesia has huge of renewable energy potential;
• High potential for energy savings.
Direktorat Jenderal Energi Baru, Terbarukan dan Konservasi Energi Kementerian Energi dan Sumber Daya Mineral
Direktorat Jenderal EBTKE
GEOTHERMAL POLICY 1. Revision of Law 27/2003 on Geothermal:
GoI is revising the law 27/2003 on Geothermal, law 5/1990 on Conservation of Natural Resources, and law 41/1999 on Forestry. 2. MoU Between MEMR – Minister of Forestry MEMR and Minister of Forestry have signed MoU regarding the acceleration of geothermal utilization permit within production forest, protected forest, and conservation forest . 3. Feed-in Tariff: Feed-in Tariff is a Government policy to set the price of electricity from geothermal power plant which is final and can not be negotiated by PT. PLN 4. Funding incentives : • Government guarantee on the feasibility of PT. PLN; • “Geothermal Fund" for geothermal exploration; • Green Banking Program. 9
Ministry of Energy and Mineral Resources Directorate General of New Renewable Energy and Energy Conservation
Direktorat Jenderal EBTKE
III. Geothermal Program
Direktorat Jenderal EBTKE
Ministry of Energy and Mineral Resources Directorate General of New Renewable Energy and Energy Conservation
GEOTHERMAL PROGRAM POWER PLANT DEVELOPMENT 2010 – 2015
Development
2010
2011
2012
2013
2014
2015
37
115
3
375
1.797
1.226
1.341
1.344
1.719
3.516
Geothermal Development 1. Added Capacity (MW) 2. Installed Capacity (MW)
1.189
Note: - Capacity Factor of Geothermal Power Plant = 90%
Direktorat Jenderal EBTKE
Ministry of Energy and Mineral Resources Directorate General of New Renewable Energy and Energy Conservation
GEOTHERMAL WORKING AREA FOR TENDER No
Geothermal Working Area (GWA)
Location
Potential Capacity (MW)
1
Gn. Talang
West Sumatera
36
2
Songa Wayaua
North Maluku
140
3
Danau Ranau
Lampung & South Sumatera
210
4
Mataloko
East Nusa Tenggara
63
5
Gn. Endut
Banten
80
6
Way Ratai
Lampung
105
7
Candi Umbul Telomoyo
Central Java
72
8
Simbolon Samosir
North Sumatera
155
9
Bora Pulu
Central Sulawesi
123
10
Gn. Lawu
Central Java
195
Direktorat Jenderal EBTKE
Ministry of Energy and Mineral Resources Directorate General of New Renewable Energy and Energy Conservation
PRELIMINARY SURVEY ASSIGNMENT’S AREA 2012 No
Geothermal Working Area (GWA)
District/ City
Province
1
Gn. Hamiding
West Halmahera, North Halmahera
North Maluku
2
Pentadio
Gorontalo, Bone Bolango, Gorontalo City'
Gorontalo
3
Graho Nyabu
Merangin, Kerinci, Muko-Muko
Jambi and Bengkulu
4
Gn. Wilis
Ponorogo, Madiun, Nganjuk, Kediri, Tulungagung, Trenggalek
East Java
5
Gn. Geureudong
Central Aceh, Bener Meriah, North Aceh
Nanggroe Aceh Darussalam
Ministry of Energy and Mineral Resources Directorate General of New Renewable Energy and Energy Conservation
Direktorat Jenderal EBTKE
IV.Geothermal Development
Distribution of GWA
Ministry of Energy and Mineral Resources Directorate General of New Renewable Energy and Energy Conservation
GEOTHERMAL DEVELOPMENT Total : 58 GWA ACEH 2 WKP Jaboi: 70 MW Seulawah Agam: 130 MW NORTH SUMATERA 5 WKP Sibayak – Sinabung: 130 MW Sibual – Buali: 750 MW Sipaholon Ria-ria: 75 MW Sorik Marapi: 200 MW Simbolon Samosir : 155 MW
NORTH SULAWESI 2 WKP Kotamobagu: 410 MW Lahendong-Tompaso: 358 MW GORONTALO 1 WKP Suwawa: 110 MW
JAMBI 1 WKP Sungai Penuh: 70 MW
NORTH MALUKU 2 WKP Jailolo: 75 MW Songa Wayaua: 140 MW
SOUTH SUMATERA 3 WKP Lumut Balai: 250 MW Rantau Dedap: 106 MW Danau Ranau: 210 MW
WEST SUMATERA 4 WKP Bukit Kili: 83 MW Gn Talang: 35 MW Liki Pinangawan: 400 MW Bonjol: 200 MW
BANTEN 2 WKP Kaldera Danau Banten: 115 MW G. Endut: 80 MW
BENGKULU 2 WKP Tmbg Sawah-Hululais: 873 MW Kepahiang: 180 MW LAMPUNG 4 WKP Gn.Rajabasa: 91 MW Suoh Sekincau: 230 MW Waypanas – Ulubelu: 556 MW WEST JAVA 10 WKP Ciater - Tgkban Perahu: 60 MW Danau Ranau: 210 MW Cibeureum–Parabakti: 485 MW Way Ratai :105 MW Cibuni: 140 MW Cisolok Cisukarame: 45 MW Gn. Tampomas: 50 MW Gn. Tgkuban Perahu: 100 MW Kamojang-Darajat: 1465 MW Karaha Cakrabuana: 725 MW Pangalengan: 1106 MW G. Ciremai: 150 MW
CENTRAL SULAWESI 2 WKP Marana: 35 MW Bora Pulu : 152 MW
BALI 1 WKP Tabanan: 276 MW
CENTRAL JAVA 5 WKP Baturaden: 175 MW Dataran Tinggi Dieng: 780 MW Guci: 79 MW Gn. Ungaran: 100 MW Umbul Telomoyo : 120 MW
MALUKU 1 WKP Tulehu: 100 MW WEST NUSA TENGGARA 2 WKP Hu'u Daha: 65 MW Sembalun: 100 MW
EAST JAVA 3 WKP Blawan – Ijen: 270 MW Gn. Iyang Argopuro: 295 MW Telaga Ngebel: 120 MW Gn. Lawu: 195 MW
EAST NUSA TENGGARA 5 WKP Atadei: 40 MW Sokoria: 30 MW Ulumbu: 199 MW Mataloko: 63 MW Oka Ile Ange: 40 MW
15 ©2012
Direktorat Jenderal EBTKE
Ministry of Energy and Mineral Resources Directorate General of New Renewable Energy and Energy Conservation
GEOTHERMAL DEVELOPMENT TARGET (2010 - 2014) Presidential Regulation No. 04/2010 on Assignment to PT. PLN to Accelerate Power Plant Development Using Renewable Energy, Coal and Gas MEMR Regulation No. 01/2012 as revised in Ministerial Regulation No. 15/2010 on Projects List of Power Plant Accelerated Development using Renewable Energy, Coal and Gas as well as Related Transmission Target for Geothermal Power Plant Development on Crash Program 10.000 MW Phase II Existing field (on Production Phase)
Existing field (not on Production Phase) New Geothermal Working Area Total of Geothermal Development
: 465 MW : 1535 MW : 2925 MW 4925 MW
Ministry of Energy and Mineral Resources Directorate General of New Renewable Energy and Energy Conservation
Direktorat Jenderal EBTKE
V. Investment Opportunities
Ministry of Energy and Mineral Resources Directorate General of New Renewable Energy and Energy Conservation
Direktorat Jenderal EBTKE
INVESTMENT OPPORTUNITIES
The development of 4,925 MW electricity from Geothermal in Second Phase Crash Program 10,000 MW up to the year 2014 requires more than US$ 14,000 millions for the investment.
The development plan of 12,000 MW Geothermal Power Plant up to the year 2025, international supports are needed.
Foreign ownership in Geothermal Business is allowed up to 95 %;
Access to Potential Geothermal Resources for Investors: - Preliminary Survey Assignment - Participate in the geothermal business through GWAs tendering mechanism
Other business opportunities in geothermal sector: Geothermal direct use; Low temperature geothermal potential; Small scale power plant; CER under CDM Scheme; Services company to support the core business of geothermal.
Ministry of Energy and Mineral Resources Directorate General of New Renewable Energy and Energy Conservation
Direktorat Jenderal EBTKE
Thank You
Go Green Indonesia ! green energy, future energy
MINISTRY OF ENERGY AND MINERAL RESOURCES REPUBLIC OF INDONESIA
DIRECTORATE GENERAL OF NEW, RENEWABLE ENERGY, AND ENERGY CONSERVATION Jalan Jenderal Gatot Subroto, Kav. 49 Jakarta 12950; Telp: 021-52904235; 5250575; Faks: 021-25529106; 25529212
Email:
[email protected] ;
[email protected]
www.ebtke.esdm.go.id
Direktorat Jenderal EBTKE
Ministry of Energy and Mineral Resources Directorate General of New Renewable Energy and Energy Conservation
INSTALLED GEOTHERMAL POWER PLANT CAPACITY 2012 No.
Geothermal Working Area/ Location
License Holder
Developer
Power Plant
Installed Capacity (MW)
1
Sibayak – Sinabung, NORTH SUMATERA
PT. Pertamina Geothermal Energy (PGE)
PT. Pertamina Geothermal Energy (PGE)
Sibayak
12
2
Cibeureum – Parabakti, WEST JAVA
PT. Pertamina Geothermal Energy (PGE)
KOB - Chevron Geothermal Salak, Ltd (CGS)
Salak
377
3
Pangalengan, WEST JAVA
PT. Pertamina Geothermal Energy (PGE)
KOB - Star Energy Geothermal Wayang Windu, Ltd (SEGWWL)
Wayang Windu
227
4
Kamojang – Darajat, WEST JAVA
PT. Pertamina Geothermal Energy (PGE)
PT. Pertamina Geothermal Energy (PGE)
Kamojang
200
5
Kamojang – Darajat, WEST JAVA
PT. Pertamina Geothermal Energy (PGE)
KOB - Chevron Geothermal Indonesia, Ltd (CGI)
Darajat
270
6
Dataran Tinggi Dieng, CENTRAL JAVA
PT. Pertamina Geothermal Energy (PGE)
PT. Geo Dipa Energi (GDE)
Dieng
60
7
Lahendong – Tompaso, NORTH SULAWESI
PT. Pertamina Geothermal Energy (PGE)
PT. Pertamina Geothermal Energy (PGE)
Lahendong
80
8
Ulubelu, LAMPUNG
PT. Pertamina Geothermal Energy (PGE)
PT. Pertamina Geothermal Energy (PGE)
Ulubelu
55 1.281
20
Ministry of Energy and Mineral Resources Directorate General of New Renewable Energy and Energy Conservation
GEOTHERMAL VALUE CHAIN (Current Regulations)
(S-2)
(S-3)
(S-4)
(S-5)
(S-6)
WKP-N
IUP-N
Report
Survey APBN
Report
Evaluation
WKP
Production/ Utilization
(S-7)
(S-8)
(S-9)
(S-10)
Exploitation
(S-1)
FS
FS
IUP Issuance
Exploration
WKP Tendering
Exploitation
WKP Determination
Exploration
MEMR
Potential Map
Pre-Survey
Electricity Price
(S-0)
BUSINESS STADIUM (S-X) Report of Tendering Process
Units
Geothermal Potential
Potential/ Stadium
(S4-N)
(S3-N) Tender Winner
Survey APBD Prov.
WKP-P
Local Govmt. (Regent/ City)
Survey APBD Kab./ Kota
WKP-K
Corporation
PLN
IUP-P
(S3-P) Tender Winner
(S4-P)
IUP-K
(S3-K)
(S4-K)
Tender Winner
Assignment Other Parties
Production/ Utilization
Prov. Govmt.
Assignment PPA
©2012
© DJEBTKE – KESDM 2012
Direktorat Jenderal EBTKE
Ministry of Energy and Mineral Resources Directorate General of New Renewable Energy and Energy Conservation
Road Map of Geothermal Development 2006 – 2025 (based on Presidential Decree No. 5/2006 on National Energy Policy)
2006
2008
852 MW (Produksi)
2000 MW
1148 MW Existing WKP
2012
2016
2020
2025
3442 MW
4600 MW
6000 MW
9500 MW (Target)
1442 MW Existing WKP
1158 MW Existing WKP + New WKP
1.281 MW Current Condition
1400 MW New WKP
3500 MW New WKP
Direktorat Jenderal EBTKE
GEOTHERMAL POWER PLANT PROJECTS INCLUDED IN CRASH PROGRAM PHASE II (Based on MEMR Regulaton No. 01/2012)
Ministry of Energy and Mineral Resources Directorate General of New Renewable Energy and Energy Conservation
GEOTHERMAL POWER NO. PLANT PROJECT 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26
Sungai Penuh Hululais Kotamobagu 1 and 2 Kotamobagu 3 and 4 Sembalun Tulehu Tangkuban Perahu I Kamojang 5 and 6 Ijen Iyang Argopuro Ngebel Gunung Endut Rawa Dano Cibuni Cisolok-Cisukarame Karaha Bodas Patuha Tampomas Tangkuban Perahu II Wayang Windu Unit 3 and 4 Gunung Ciremai Baturaden Dieng Guci Ungaran Seulawah Agam
STATUS Existing WKP Existing WKP Existing WKP Existing WKP Open Area Existing WKP New WKP Existing WKP New WKP Existing WKP New WKP New WKP New WKP Existing WKP New WKP Existing WKP Existing WKP New WKP Existing WKP Existing WKP New WKP New WKP Existing WKP New WKP New WKP New WKP
PROVINCE
ESTIMATION OF CAPACITY (MW)
Jambi Bengkulu North Sulawesi North Sulawesi West Nusa Tenggara Maluku West Java West Java East Java East Java East Java Banten Banten West Java West Java West Java West Java West Java West Java West Java West Java Central Java Central Java Central Java Central Java Aceh
2x55 2x55 2x20 2x20 2x10 2x10 2x55 1 x30 1 x60 2x55 1 x55 3x55 1 x55 1 x 110 1 x 10 1 x50 1 x30 2x55 3x60 1 x45 2x30 2x 110 2 x 55 2x 110 1 x55 1 x60 1 x55 1 x55 1X55
GEOTHERMAL POWER NO. PLANT PROJECT 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51
Jaboi Sarulla 1 Sarulla 2 Umbul Telumoyo Simbolon Samosir Sipoholon Ria-Ria Sorik Marapi Muaralaboh Bonjol Lumut Balai Rantau Dadap Rajabasa Ulubelu 3 and 4 Suoh Sekincau Wai Ratai Danau Ranau Lahendong 5 dan 6 Bora Marana/Masaingi Hu'u Atadei Sokoria Mataloko Jailolo Songa Wayaua
STATUS New WKP Existing WKP Existing WKP New WKP Open Area New WKP New WKP New WKP New WKP Existing WKP New WKP New WKP Existing WKP New WKP Open Area New WKP Existing WKP Open Area New WKP New WKP New WKP New WKP New WKP New WKP New WKP
TOTAL PLANNED INSTALLED CAPACITY
PROVINCE
ESTIMATION OF CAPACITY (MW)
Aceh North Sumatera North Sumatera Central Java North Sumatera North Sumatera North Sumatera West Sumatera West Sumatera South Sumatera South Sumatera Lampung Lampung Lampung Lampung Lampung North Sulawesi Central Sulawesi Central Sulawesi West Nusa Tenggara East Nusa Tenggara East Nusa Tenggara East Nusa Tenggara North Maluku North Maluku
2x5 3x 110 2x55 1 x55 2x55 1 x55 240 (Total) 2x 110 3x55 4x55 2x110 2x110 2x55 4x55 1 x55 2x55 2x20 1 x5 2x10 2x10 2 x2,5 3x5 1 x5 2x5 1 x5
4925
Direktorat Jenderal EBTKE
Ministry of Energy and Mineral Resources Directorate General of New Renewable Energy and Energy Conservation
Implementation of Geothermal Policies Existing GWA
New GWA
President Decree No 45/1991, No 49/1991,
Law No. 27/2003
Business structure based on JOC and ESC
Business structure in the form of Permit:
34% of Net Operating Income (NOI), that had
Obligation to pay for taxes and royalty
Project Management : Under Pertamina (JOC)
Project Management : Under Permit Holder
Project Type:
Project Type:
and No 23/1992
Geothermal Mining Permit Enterprise Permit for Electricity
included all kinds of taxes and retribution, except personal tax. and PLN (ESC)
Total (Integrated) Project Partial Project
Total (Integrated) Project GWA holder will be granted as generally plan operation
24
Ministry of Energy and Mineral Resources Directorate General of New Renewable Energy and Energy Conservation
Direktorat Jenderal EBTKE
GEOTHERMAL REGULATION 1.
Law No. 27/2003 on Geothermal
2.
Government Regulation (GR) No. 59/2007 on Geothermal Business Activities, as amanded in GR No. 70/2010
3.
GR No. 62/2008 jo. GR No. 1/2007 on Income Tax Facilities for Investment in Certain Business Areas and / or in Specific Regions
4.
GR No. 9/2012 on Types And Tariffs On Non-tax State Revenue Applicable to The Ministry Of Energy And Mineral Resources
5.
Presidential Regulation No. 04/2010 on Assignment to PT. PLN (Persero) to Accelerate The Development of Power Plant from Renewable Energy, Coal and Gas
6.
Ministry Regulation (MR) of Minister Energy And Mineral Resources 1) MR No. 11/2008 on the Procedure for Determination Geothermal Working Area 2) MR No. 02/2009 on Guidelines for Geothermal Preliminary Survey Assignment (as amendment of MR. 05/2007) 3) MR No. 11/2009 on Guidelines for Implementation of Geothermal Business , jo. MR No. 18/2012
Ministry of Energy and Mineral Resources Directorate General of New Renewable Energy and Energy Conservation
Direktorat Jenderal EBTKE ..Continue
4) MR No. 01/2012 on Revision of MR No. 15/2010 on The List of Power Plant Acceleration Projects Using Renewable Energy, Coal, and Gas and Related Transmission 5) MR No. 22/2012 on Assignment to PT PLN (Persero) to Purchase Electricity from Geothermal Power Plant and Geothermal Power Purchase Benchmark Price by PT PLN (Persero) 7.
Ministry Regulation of Minister of Finance 1) No. 139/PMK.011/2011 on Procedures for Granting Business-Feasibility Guarantee to PT PLN (Persero) for The Development or Renewable Energy, Coal and Gas-Fueled Power Plants Through Cooperation With The Independent Power Producers 2) No. 03/PMK.011/2012 on Procedures for the Management and Accountability Geothermal Facility Fund
Direktorat Jenderal EBTKE
Ministry of Energy and Mineral Resources Directorate General of New Renewable Energy and Energy Conservation
GEOTHERMAL FEED-IN TARIFF No
Area
1 2
Sumatera Java, Madura and Bali South Sulawesi, West Sulawesi, and Southeast Sulawesi North Sulawesi, Central Sulawesi, and Gorontalo West Nusa Tenggara, and East Nusa Tenggara Maluku and Papua
3 4 5 6
Price (cent US$/kWh) High Medium Voltage Voltage 10 11,5 11 12,5 12 13,5 13
14,5
15
16,5
17
18,5
Ministry of Energy and Mineral Resources Directorate General of New Renewable Energy and Energy Conservation
Feed in Tariff Mechanism The Feed-in Tariffs mechanism will be applied to : a. geothermal license holders (IUP holder) after the issuance of Minister Regulation No. 22/2012; b. mining right holders, license holder or concession holder that existed before the enactment of Law No. 27 Year 2003 on Geothermal who already have Power Purchase Agreement (PPA), which will increase power plant capacity on the existing agreement (PPA); c. mining right holders, license holder or concession holder that existed before the enactment of Law No. 27 Year 2003 on Geothermal who will extend their expired PPA; d. mining right holders, license holder or concession holder that existed before the enactment of Law No. 27 Year 2003 on Geothermal who already have PPA, for both who have produced or not yet produced electricity or steam, as long as all parties involved agree upon the amendment on sales price of electricity or steam; or e. IUP holder who will undertake PPA, as long as agreed by the parties involved and allowed by PPA to be agreed by the parties. ©2012