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Indonesian Electricity Overview
Indonesia has the largest economy in South East Asia with a GDP of USD 1.24 trillion and
GDP growth of 6.0% expected for 2015.
With the country’s vast coal resources it is still hugely reliant on coal-fired power plants.,
however due to the size of the huge archipelago only around 80% of the 255 million people
in the country have access to electricity. With demand so high Electricity, Power and
Renewable Energy Indonesia 2015 is the perfect platform for companies to showcase
their products to the world’s fourth most populace country.
The Indonesia government has Infrastructure projects worth USD 150 billon planned for the
next five years with USD 6.47 billion earmarked for Energy related projects. The
government only has 30% of the budget needed for these projects inviting direct
foreign investment to fill the gap.
The state electricity company’s (PLN) target for national electrification rates are projected
to reach 86% by 2016 due to Fast Track Programs for capacity expansion to meet
Indonesia’s growing demand.
Domestic consumption of petroleum products is heavily subsidized. Promoting the
development of Power generation based on diesel and other petroleum based fuels.
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Indonesian Electricity Overview
The Indonesian electricity sector is heading
towards a crisis, unless significant investments
are made. Indonesia’s electricity generation
capacities are outdated and insufficient, operating at
an average capacity factor of 66%, and the country
experiences daily blackouts lasting on average 4
hours a day. In addition, Indonesia has an estimated
annual demand growth of 9% and is currently 25
percentage points behind the electrification target
rate of 90% by 2020.
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Indonesian Electricity Overview