Energy Efficiency

in Indonesia
Challenge and Opportunities
November, 2013



Dr. Ir. Judianto Hasan
APKENINDO CHAIRMAN
Concise Profile of Indonesia
Land Area : 1,910,931.32 Sq Km
Population (2011) : 241,133,700
Households : 60,283,430
GDP per capita : Rp. 30,800,700 (2011)
Energy Production (2011):
Crude Oil : 329,265,000 Barrels
Natural Gas : 2,890.92 BSCF
Coal : 353,270.94 Thousand Tonnes
Hydro Power : 42,658,902.81 GWH Output
Geothermal : 68,610.11 Thousand Tonnes of Geothermal
Steam
Indonesian ESCO Association www.apkenindo.com
Source : Handbook of Energy & Economic statistic of Indonesia 2012
Share of Energy Consumption in
Indonesia (2011)
Industry
Household
Building
Transport
Other
Non Energy
Household 26.37 %
Industry 29.61 %
Transportation
31.07%
Source : Handbook of Energy & Economic statistic of Indonesia 2012
Indonesian ESCO Association www.apkenindo.com
Decoupling Growth and Energy
Consumption
0
200,000
400,000
600,000
800,000
1,000,000
1,200,000
2000 2002 2004 2006 2008 2010
In '000 BOE
Industry
In '000 BOE
house
In '000 BOE
Commerc
In '000 BOE
transp.
In '000 BOE
others
In '000 BOE
Total
0
500000
1000000
1500000
2000000
2500000
3000000
1 2 3 4 5 6 7 8 9 10 11 12
Energy
Consumption
Source : Handbook of Energy & Economic statistic of Indonesia 2012
Indonesian ESCO Association www.apkenindo.com
GDP
5
3 reasons for EE Implementation
Competitiveness
Reduce emissions
Improve life quality
Contribute to international
climate responsibilities
Reduce dependency of energy
imports
Reduce exposure to oil price
volatilities

Enhance industrial competiveness


Sustainable Development Security of supply
Source : REEEP
Indonesian ESCO Association www.apkenindo.com
Growth and Energy Efficiency
Energy Consumption is relatively price-
inelastic, so that energy use is mostly a
necessity.
The shift from less efficient and more
polluting energy options may establish
stimulus to economic development.
Combination of EE and diversification for the
energy resilience

Indonesian ESCO Association www.apkenindo.com
EC & EE Invesment Opportunities
Medium and High cost EE investment : CHP,
WHRG in Energy intensive industry




Indonesian ESCO Association www.apkenindo.com
Cement Plant
Chemical/Petrochemical
Plant
Iron/Steel Industry
EC & EE Investment Opportunities cont.
EE improvement (process) : COGEN, high
efficiency boilers, preheaters, etc.


Sugar Industry Pulp n Paper
Superblocks/ Commercial
Buildings
Indonesian ESCO Association www.apkenindo.com
EC & EE Investment Opportunities cont.
Energy Management and Control Systems
Shopping Malls Airports Residential Apartments
Indonesian ESCO Association www.apkenindo.com
Barriers to EE Implementation
Lack of Knowledge
The concepts of performance contracting are relatively new to
many commercial and industrial energy users in Indonesia
Limited Information : Meters, Monitoring, EMS
lack of internal communication.
Procurement system : multi years and budget.
Financial Support : banking system and regulation
High Interest rates

Indonesian ESCO Association www.apkenindo.com
11
ESCO Development In Indonesia
Energy
Audit/
Consultancy
Awareness
Capacity
Building
Organization
Establishment
Finance
Pilot Projects
Initial stage Development
Stage
A growing stages
Esco Scheme
M & V
Market Promotion &
Development
Regulation
Contract
Indonesian ESCO Association www.apkenindo.com
2004 2013
Excellent Energy International Co.
Ltd (Thailand)
Programs
Organization est in 2011
Start with 14 companies now 20 companies
Introduction of ESCO in Indonesia
Engaged in many EE promotion activities
Initiate small scale ESCO project initiation

Indonesian ESCO Association www.apkenindo.com
Lightings
HVAC Retrofits
Building Control Systems
Motors and Drives
Chiller and Boiler Upgrades
Thermal Storage/Load Shaping
Generation Efficiency Improvement
On-site Power Generation (Distributed
Generation, CHP, Cogeneration)
Power Quality
Industrial Processes (e.g., compressed air systems)
PT. INDRA KARYA (PERSERO)
P.T. METROPOLITAN
BAYU TAMA
RANGE OF PRODUCT / SERVICE
APKENINDO MEMBER
Asosiasi Perusahaan Penunjang Konservasi Energi Indonesia (Apkenindo)
Indonesia Supporting Company Association for Energy Conservation
(Indonesia ESCO Association)
PROPOSED BY APKENINDO
Apkenindo member continues increase during one year
(included Multinational Companies affiliation), have developed
range of product and service.
In 2012 Apkenindo external rules become more strategically
after involved as the Regulator FDG (Focus Discussion Group),
Peer Review of International EE Funds and International NGO
dedicated on CE /EE issues
Apkenindo continues participating to promote ESCO in many
EE Stake Holder forum as well catalyzing EE Project
implementation
Programs
Capacity Building and Technical guidelines
Development.
Preparation of standard contract form
M & V protocols
Improving Financial Network
Strengthening of Organization Capability
ESCO certification
Indonesian ESCO Association www.apkenindo.com
EE Workshop ECCJ, Japan Sept 2012
Discussion with NAESCO in New York 2012
Capacity Building , Workshop EE
Development Project Bali, Maret 2013
EE Implementation Improvement
Guaranteed saving
Help to improve energy efficiency business
climate
Foster cooperation with ESCO organizations
from all over the world.
Help improve regulation concerning EE
implementation
Improve financial support from local and
international financial institution.
Indonesian ESCO Association www.apkenindo.com
Financial Support
Revolving Fund
Tax incentive for ESCO company
Credit guarantee program

Indonesian ESCO Association www.apkenindo.com
19


Thank you for your attention!

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