PT PLN (Persero) supports the Indonesian Government’s steps in boosting investment in the industrial sector through the provision of clean energy. The development of electricity transmission is an important key in driving the clean energy transition.
Minister of Investment/Head of the Investment Coordinating Board (BKPM), Rosan Roeslani said, Indonesia is committed to achieving the Net Zero Emissions (NZE) target by 2060. In achieving this target, Indonesia has opportunities in developing new renewable energy (EBT) with the potential to reach 3,677 gigawatts (GW).
“It requires long-term planning and commitment that we must start. That is just potential and it will remain potential especially (if) we do not implement a policy or regulation that is necessary. We encourage and provide incentives,” said Rosan in the detikcom Leaders Forum entitled “Towards a Green Indonesia: Energy and Human Resource Innovation”, Tuesday (17/9).
Rosan continued, the use of green energy is now one of the important points in attracting investment including the industrial sector. A number of countries generally require the use of clean energy as the main energy source when investing in a country.
The Indonesian government also plans to encourage the development of industrial areas based on clean energy. Therefore, the potential of renewable energy in Indonesia needs to be optimized to meet the need for clean energy in the future.
PLN President Director, Darmawan Prasodjo, said that PLN is fully committed to supporting efforts to provide and utilize clean energy in Indonesia.
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“Electric energy plays a key role in efforts to boost the national economy. PLN is also ready to support energy transition efforts in achieving the NZE 2060 target while spurring national economic growth,” said Darmawan.
PLN’s Legal and Human Capital Management Director, Yusuf Didi Setiarto, said that the transition to clean energy requires major transformation, not only on the generation side, but also on the transmission side.
“If PLN does nothing, business as usual, our carbon output will reach 1.5 billion metric tons of CO2e, so PLN needs to encourage transmission development to optimize green energy sources,” said Didi.
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Didi explained that there are many clean energy resources spread across Indonesia. However, because their locations are far from demand centers, their utilization is still not optimal.
“Therefore, a transmission infrastructure is needed that can evacuate this power to electricity demand centers,” explained Didi.
Didi explained that improving national electricity infrastructure, especially transmission, requires government support. One of the challenges in developing electricity infrastructure is from the transmission economics side, where the Return on Investment (ROI) of transmission development is lower than generation.
“In the energy transition process, a balance is needed between economic growth and environmental sustainability. Therefore, collaboration with various local and international stakeholders needs to be established. Because this is a big project, collaboration is needed from policy, technology, innovation to investment,” concluded Didi. (Adv)
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