Developing Engineering Procurement

Construction (EPC) Company in

Indonesia
The Opportunities, Challenges and Role of
EPC
Fendi Liem, PT Selaras Daya Utama Bali
2016

SEDAYU
Indonesias leading Solar
EPC
Jakarta-based Solar EPC
Distributor of worlds leading solar
technology/products
ISO 9001:2004 certified EPC
OHSAS 18001:2007 certified EPC
SBUJK certified in Renewable Energy
Licensed General Importer (API)
Authorized distributor of worlds leading solar
modules
Authorized distributor of industry-leader inverter

PT Selaras Daya Utama

2004

establishe
d

2009

2010

2011

RE

RE EPC

PLTS
PLN

2012
ISO 9001

2013

2014

2015

PLTS
ESDM

OHSAS
18001

PLTS
ESDM,
BI

PLTS ONGRID
PLTS PLN Tahuna 50 kWp (2012) Indonesias First Zero Net
Building
PLTS PLN Gorontalo 45 kWp (2013) Rooftop PLTS for Industrial
needs
PLTS PLN Kapuas 5 kWp (2014)
PLTS Bank Indonesia 90 kWp, Jakarta (2015)
PLTS Menteng Residence 10 kWp, Jakarta (2015)
and many other residential rooftop PLTS

PLTS OFFGRID
PLTS
PLTS
PLTS
PLTS
PLTS
PLTS
PLTS

Karimunting 75 kWp, Kalimantan Barat (2015)

Semunying Jaya 50 kWp, Bengkayang (2015)
Tempapan 50 kWp, Bengkayang (2015)
Aris 50 kWp, Bengkayang, Kalimantan Barat (2015)
Sinar Baru 20 kWp, Bengkayang, Kalimantan Barat (2015)
Kaimana, Papua Barat (2013)
Bumi Ratu, Lampung Barat (2013)

PLTS HYBRID
PLTS
PLTS
PLTS
PLTS
PLTS
PLTS
PLTS

350
100
100
100
200
150
100

kWp
kWp
kWp
kWp
kWp
kWp
kWp

Daruba, Morotai, Maluku Utara (2015)

Pembeliangan, Nunukan, Kalimantan Utara (2015)
Tabur Lestari, Nunukan, Kalimantan Utara (2015)
Sukamaju, Nunukan, Kalimantan Utara (2015)
Sei Limau, Nunukan, Kalimantan Utara (2015)
Sekikilan, Nunukan, Kalimantan Utara (2015)
Netemnanu, Kupang, Nusa Tenggara Timur (2015)

To be a leading verticallyintegrated Renewable Energy

company in Indonesia.

SEDAYU Solar Project

References

10+
years

100+
projects

1000+
MWh produced

100%

success rate

1.
The Opportunities and
For
Solar Engineering Procurement Construction (EPC) company in
Challenges
Indonesia

Indonesias Geographic
Tropical country along equatorial
line
Irradiation Opportunities*
With a consistently high
solar irradiation 4.5-5.1
kWh/m2/day

Durability Challenges
Tropical, remote and
isolated places requires
high quality

Location Opportunities
Lies along equatorial line
doesnt require tracker

Location Challenges
Remote and isolated places
Land Ownership Dispute

* source: ESDM website

Indonesias Target Energy Mix

5% out of target of 20%
Government Opportunities
MEMR regularly release
PLTS tenders from statebudget

Sustainability Challenges
The current industry is
based mainly on MEMR
tenders

Future opportunities
Indonesia has set
ambitious target to
harvest solar energy

Regulation Challenges
Still waiting for Solar
FIT for both utility and
residential scale

Indonesia is an archipelago country

Indonesia consists of more than 17,000
islands
Target market
Opportunities
Distributed Solar Off-grid
system suits sparse
population
Financial Opportunities
Cost-effective Diesel
Replacement solutions

Logistic Challenges
High-cost and challenging
routes require suitable
product
Financial Challenges
Project Bankability
Awareness of local
financial institutions

Supporting industries in Solar

development
Financial, Solar Module and Battery
Financial Opportunity
Financial Challenges
industries
Good BEP and ROI for offMinimum awareness among
grid & remote areas

Solar module Opportunity

Local Content Regulation
Demand > Supply
Battery Opportunity
Local Content Regulation
Off-grid Solar for remote
areas

Indonesias financial
institutions

Solar Module Challenges

Project bankability
Higher price than market price
Battery Challenges
Limited local battery
manufacturers

3.
The Roles of EPC
Engineering Procurement Construction (EPC) Company in Solar
Development

Solar
Development
stakeholders

Ministry of Energy
Ministry of Environment

Financial

Foreign Investment
Board

Solar Module

Energy

Government

Storage

Supporting
Industries

EPC

EPC

Off-taker

IPP
PLN

To educate the market on

the competitive advantages of
Solar
Together with the government, EPC needs to educate

the market on
the benefits of solar energy especially for remote and isolated
areas without grid connectivity or using diesel generator.

People of Desa Bumi Ratu in Lampung used to spend around USD 2/day for diesel fuel
before the Ministry of Energy and Mineral Resources together with PT INTI and PT
Selaras Daya Utama commissioned the Off-grid Solar Power Plant. Now, every household
need to contribute only USD 2/month for the Operation and Maintenance of the Solar
Power Plant.

To implement the best and the latest

technologies
working
with worlds leading RE companies
AS with other technology-driven industry, Solar technology has
been advancing exponentially in the last couple of years, making
it more efficient and more affordable solution.

As authorized distributor of worlds leading Solar technologies and products,

SEDAYU works closely with its principal, including REC Group and ABB, to develop
Solar Power Plants with their latest and best technology to date.

To implement the affordable solution

to suit the Indonesian market
In ensuring the good acceptance in the market, EPC needs to
introduce affordable Solar solution to suite Indonesian market,
including its buying power, tropical climate, geographical
location and its existing electricity grid.

Despite consistent and high irradiation level, the Indonesian climate requires
durable component to withstand its harsh and unique conditions, for example, SEDAYU
ensures the solar modules installed in islands are certified with ISO 61701 Salt
Mist Corrosion test to cope with the seafront installations.

Summary
Developing Solar EPC in Indonesia
1. Efficient Business Model
With no consistent market demand due to non-existing FIT,
Solar EPC must operate efficiently by minimizing sunk-cost and
maximizing strategic alliances/partnership
2. Strong Financial Support
With the current low-appetite from local financial
institutions to support Solar projects, most projects are
based on Corporate Finance; hence this requires EPC to
have strong Financial Support.

Summary
Developing Solar EPC in Indonesia
3. Good & Cost-efficient products to suit the market
During its infancy stage, its important for EPC to use highquality and cost-efficient products/technology to gain market
acceptance
4. Global Partnership
Learning from best-practices from more mature market by
participating in the international effort to meet shared
global challenges.

PLTS Ongrid 90 kWp

Bank
Indonesia

Commissioned
by PT
Selaras Daya
Utama
(SEDAYU) in
2015

PLTS Offgrid 75 kWp

Bumi Ratu,
Lampung

Commissioned
by PT
Selaras Daya
Utama
(SEDAYU) and
PT INTI
(2013)

PLTS Jeret 50 kWp

North Maluku

PLTS Jeret 50 kWp in North

Maluku is the project of
Ministry of Energy and Mineral
Resources (ESDM) and
commissioned by PT INTI
together with PT Selaras Daya

PLTS Ongrid 50 kWp

PLN Tahuna

Commissioned
by PT
Selaras Daya
Utama
(SEDAYU) in
2012

Thanks!
Fendi Liem

CEO, PT Selaras Daya Utama

Certified Expert in Climate & Renewable Energy
Finance Frankfurt School of Finance & Management
GmbH,
UNEP Collaborating Center for Climate & Sustainable
Energy

Presentation
Disclaimer
This presentation is prepared by Fendi G Liem of PT Selaras Daya Utama (SEDAYU) for
Bali Clean Energy Forum (BCEF) 2016

FENDI G LIEM
CEO, PT Selaras Daya Utama

PT Selaras Daya Utama (SEDAYU)

Indonesias leading Solar EPC company

Mobile: +62 811 999 166

Email:
fendi.liem@sedayu.com

TOTAL Building 5th Fl.

Jalan Letjen S Parman kav. 106A
Jakarta 11440
Email: office@sedayu.com
Phone: +62 21 5695 0755
Fax:
+62 21 5695 0735

More information on PT Selaras Daya Utama (SEDAYU) at www.sedayu.com

This presentation and all photograph in the presentation are the property and copyright of
PT Selaras Daya Utama (SEDAYU ) 2016.