BMI View: Indonesia ' s renewables expansion will remain focused on geothermal energy, despite growing efforts to improve the investment climate for the solar and wind sector. The regulatory environment for the solar sector in particular remains unclear and the scope for widespread deployment of utility-scale projects is limited.
|e/f = BMI estimate/forecast. Source: National sources, BMI|
|Generation, Non-Hydropower Renewables, TWh||13.240||15.320||16.670||20.970||22.710||24.200||25.640|
|Generation, Non-Hydropower Renewables, % y-o-y||34.070||15.730||8.830||25.810||8.280||6.590||5.910|
|Capacity, Non-Hydroelectric Renewables, MW||1,959.0||2,272.8||2,540.6||3,237.5||3,549.2||3,752.8||3,933.8|
|Capacity, Non-Hydroelectric Renewables, % y-o-y||32.5||16.0||11.8||27.4||9.6||5.7||4.8|
Latest Updates And Structural Trends
New Zealand has pledged to boost bilateral relations with Indonesia to aid the development of geothermal energy in the country - through capacity building, training and advisory. Given New Zealand's well-developed domestic geothermal market, we expect this to translate to progress in Indonesia's sizeable pipeline of geothermal projects.
In September, General Electric renewed its commitment to investing in Indonesia's power and renewables market, highlighting solar, wind, micro hydropower and smart grids as key areas of focus. GE is already active in the Indonesian renewables sector; signing a Letter of Intent with PLN to develop a pilot biomass power plant in Sumba.
In July, the government announced it will build two intermediate waste treatment facilities in North Jakarta, to reduce the city's overdependence on its trash dump at Bantar Gebang in Bekasi and to generate power. The construction process is expected to be finished in 2018 and capacity is expected to be 14MW.
Italian firm Enel Green Power in association with the Indonesian geothermal developer PT Optima Nusantara Energi have secured the right to develop a 55MW Way Ratai geothermal power project in Lampung province - it was announced in July. The project is slated to be completed in 2022, with power sold to PLN under a 30-year contract.
The Indonesia Renewables Report researched at source contains BMI Research's assessment of the current renewables market in Indonesia. The report also contains historical data together with forecasts to end-2018 covering electricity generation (TWh) and electricity capacity (MW).
The renewables sectors covered in the report include Wind, Solar, Geothermal, Tidal and Wave, and Biomass (See Table of Contents for exact coverage). The report also features details on government green energy agendas and funding opportunities, as well as presenting a detailed list of key renewables projects currently being planned or undertaken in Indonesia, their capacity, the timeframe of construction and their current status.
The report discusses the various energy policies currently in force, including targets, subsidies and the relevant infrastructure developments or limitations which might impact on renewables growth, analysing the potential effects of regulatory changes in conjunction with the background macroeconomic outlook. Finally, there is a general overview of the competitive landscape in Indonesia, together with a detailed summary of the main utilities and manufacturers present and their business operations.
BMI's Indonesia Renewables Report provides industry professionals and strategists, sector analysts, investors, trade associations and regulatory bodies with unique independent forecasts and competitive intelligence on the Indonesia renewables industry.
- Benchmark BMI's independent renewables industry forecasts for Indonesia to test other views - a key input for successful budgeting and planning in the renewables market.
- Target business opportunities and risks in the Indonesia renewables sector through our reviews of latest industry trends, regulatory changes and major deals, projects and investments in the country.
BMI Industry View
Summary of BMI's key industry forecasts, views and trend analysis covering the renewables market in Indonesia, regulatory changes, major investments and projects and significant multinational and national company developments.
Industry SWOT Analysis
Analysis of the major Strengths, Weaknesses, Opportunities and Threats within the renewables sector and within the broader political, economic and business environment.
BMI Industry Forecasts
Historic data series (2010-2012) and forecasts to end-2018 for electricity generation (TWh) and electricity generating capacity (MW) for each individual renewables sector present in the country.
These in turn are broken down into:
Electricity Generation: Overall capacity (TWh), growth % change year-on-year, KWh per capita, % of Total Non-Hydropower renewables generation, % of total electricity generation.
Electricity Capacity: Overall capacity (MW), growth % change year-on-year, % of non-hydroelectric renewables capacity and % of total capacity.
These forecasts are in turn supported by explicit assumptions, in conjunction with analysis of the key risks to the main forecast.
Business Environment Rankings
BMI's Renewables Business Environment Rankings provide fully comparable Risk-Reward Rankings aimed at investors in the regional renewables market.
The rankings methodology makes sophisticated use of various industry, economic and demographic data point.