Diesel Substitution

- Least cost applications for PV-Hybrid in Indonesias Private Sector -

Indonesien
Indonesia
Berlin, Juni 3rd, 2013

PEP Information Workshop

PV-Hybrid Systems in Indonesia

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 Energy Situation in Indonesia

Identification of suitable regions for PV-Hybrid Systems

Diesel consumption and share in Indonesias private sector

Applications for PV-Hybrid Systems in private sector

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 Energy Situation in Indonesia

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Solar Irradiation (Average)

Average solar
irradiation

5 kWh / m2 / day

In East Indonesia partly

higher

High Solar Irradiation in East Indonesia

Annual energy Production using Solar PV around 1500 kWh / kWp

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 Energy Production Costs per kWh (average)

North Sumatra
around 1100 IDR

Kalimantan and
Sulawesi
1700 2700 IDR

NTB, NTT, Maluku and

Papua
>> 2600 IDR
High energy production costs due to long transportation distances
Energy production costs in certain areas (i.e. Papua) more than 1 USD /
kWh

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Areas with low electrification ratio and high energy shortages

50 -70 % Data: PT PLN, 2012

80 90 %

30 50%

Areas with high solar irradiation and high production costs are
promising for solar PV systems to overcome energy shortages and
development of the private sector

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PV-Hybrid Systems in areas with low electrification rate
and high energy shortages

Loss of value for goods (i.e. fishery) and potential for industrial
development

Reasons for PV-Hybrid-Systems

Due to high costs, no fast expansion of PLN diesel power
supply can be expected
High costs for interconnection to existing PLN grid
No high administrative effort as no Feed-In-Tariff needed
Improvement of power supply and service security

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Summary diesel substitution using Renewable Energy

Both comparable low production costs and solar irradiation in

Sumatra and Java grid make solar PV in private sector not yet
competitive
Especially in Sumatra, energy production using waste of agro
industry (Palm Oil Mills, Rice Mills) offer higher potential and
higher economic feasibility in these areas
In the Eastern part of Indonesia, Solar-PV is highly-promising
to contribute to the energy supply in the private sector

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 Diesel Consumption in Indonesias private sector

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Background

Industry is the largest energy consumer in Indonesia (MEMR,

2011 ):
The overall diesel consumption for electric energy production
was around 600.000 kilo liter per year (equals around 1800
GWhe / 120 MWp)

During 2000 2011, energy mix in industry sector has been

shifting:
Coal consumption is growing (new plants planned)
Oil fuel consumption is decreasing (no new generators)

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 Diesel fuel consumption in Indonesias Energy Sector
100.000
2010
90.000
80.000
70.000
Kilo Liter / year

60.000
50.000
40.000 East Indonesia
30.000
20.000
10.000
-

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 Share of diesel fuel consumption in private sector

80% 100.000
2010 90.000
70%
80.000
60%
70.000

Kilo liter/year
50% 60.000
40% 50.000

30% 40.000
30.000
20%
20.000
10% 10.000
0% -

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Share of private sector in East Indonesia

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 Appliances for Solar-PV-Hybrid Systems in Indonesias
private sector

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Appliances for PV-Hybrid Systems in Indonesia

Mining Industry Tourism

PV-Hybrid Systems

Solar Cooling Special appliances

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Mining Industry

Mining industry often in remote areas with energy shortages

captive energy supply
High production costs if diesel fuel used
High economical contribution due to resources with high value
(gold, copper, etc)
Large scale power generation
i.e. mine in Papua 5 x 2 MW diesel generator
Big potential to reduce production costs with commercial
products

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Solar Ice Making

Many fishery ports in Indonesia suffer energy shortages

Different sizes in Indonesia (100 kW MW scale)
Mostly diesel generators used
Lack of ice production leads to less (value of) fish
Energy for ice making (around 17 kWh per ton ice)
PV systems can close ice supply-demand-gap

PV-Hybrid Systems increase ice production and can

contribute to sustainable fishery and higher income

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Tourism

Large Scale Tourist resorts / hotels

Small scale resorts (i.e. Dive resorts)

PV-Hybrid-Systems to reduce diesel fuel consumption

Increase power supply and service security

Eco-Tourism label

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Summary

Indonesia has a large potential for PV-Hybrid-Systems as part of

future energy supply
At present, PV-Systems are already cost competitive to
conventional energy production in certain areas in Indonesia
Improvement of power supply in remote areas and less diesel
fuel consumption
Highly-promising application potential in different fields

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 Thank you for your attention !

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