Power Sector Decarbonization Strategies
Indonesia's energy sector is facing several challenges
A
PLN's financial sustainability is challenged by inadequate tariff and revenue
structure. Large investment will be needed for the energy transition which
will require a financially sustainable utility.
The fragmented sector regulation challenges effective coordination of sector
policies and energy transition goals.
Indonesia is lagging behind peers in Variable Renewable Energy
deployment and has yet to adopt standards of automation and digitalization.
Despite some progress, the grid quality stays low with poor reliability.
Coal and fuel subsidies as well as renewable energy pricing distortions
constrain the mobilization of private investments in RE.
The coal phasedown is likely to have measurable economic and social
impacts, including in coal-dependent regionsView entire presentation