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  • Renewables

Draft law for new, renewable energy should be prioritized: lawmaker

1 February 2019

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  • Indonesia

Jakarta,  (ANTARA News) – A member of the House Commission VII overseeing energy, mineral resources, research and technology and environmental affairs, Tifatul Sembiring, spoke about the importance of the draft law for new and renewable energy in an attempt to prepare people for the future.

“The draft law for new and renewable energy should be accelerated. As a result, the Indonesian people will not experience a culture shock toward new and renewable energy,” Sembiring said here on Friday.

If the discussion of the draft law in the 2014-2019 period is not resolved, then the draft law must be prioritized in the next period.

He said that fossil energy such as petroleum will be eroded rapidly.

Thus, people should be able to adapt quickly with regard to the use of new and renewable energy.

“The capacity of fossil energy is limited. Gas, coal, petroleum will run out,” he said.

Therefore, the government should look for new sources that can be used massively by the entire community.

The lawmaker also spoke about human intelligence in developing technology. The new technology prioritizes the use of new energy, for example hybrid vehicles.

Previously, Indonesia was considered not serious in developing new and renewable energy. The use of coal was still dominant in the country.

“The government`s target is too high, but it is not in accordance with the implementation. The use of coal is still dominant in the country. The government of policy should focus on clean energy which minimizes the use of fossil fuels,” Program Manager for the Institute for Essential Services Reform (IESR) Marlistya Citraningrum earlier said.

Reporting by Muhammad Razi, Aziz Kurmala

Editingh by Suharto

  • Renewables

Biggest solar project yet gets half billion in funding

31 January 2019

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  • Cambodia

The Gideon Group, a US-based global finance firm, yesterday announced its intention to invest $488 million in a 135-megawatt solar plant in Kandal province.

In a statement issued yesterday, Gideon Group president and CEO Salman Khan said the Kandal solar project is being developed by Inner Renewable Energy (Cambodia), also known as IREC, with the support of the government.

“We are pleased to partner with the National Bank of Ras Al-Khaimah (RAK Bank), one of United Arab Emirates’ premier commercial banks, enabling our firm to invest in this important project,” said Mr Khan.

IREC has been working closely with the government to develop the renewable energy sector in the Kingdom, said IREC chairman Meas Sethviphou. The company proposed the Kandal solar plant and is now working on the feasibility study, he added.

“This day has been a long time in the making. For over four years, I have worked to develop an environmentally-friendly solution for increasing the Kingdom of Cambodia’s energy production and energy independence,” Mr Sethviphou said in the statement.

Other key partners in the project include First Solar, a US-based photovoltaic panel manufacturer, Arthit E&C, a design consulting firm, and China National Technical Import and Export Corporation, one of the world’s largest engineering companies.

Deth-Udom Mahasaranond, First Solar country head, said in the statement that the project is a near-perfect fit for the company due to its proximity to their production facility in Malaysia.

“The 135 MW solar project is an important first step in helping Cambodia meet its objective of developing an adequate and reliable source of electricity for the future,” he said.

A solar plant in Siem Reap province. KT/Chea Vannak
A solar plant in Siem Reap province. KT/Chea Vannak

“While it is estimated that Cambodia has nearly 10,000 MW of hydroelectric power potential, only about 1,000 MW has actually been developed, leading to a higher reliance on energy imports from neighboring countries such as Thailand, Vietnam, and Laos,” Mr Mahasaranond said.

Victor Jona, director general of the Ministry of Mines and Energy, told Khmer Times that the ministry gave IREC a green light to conduct a feasibility study on the project, but that the company has yet to confirm their intention to invest in the plant.

“We can’t confirm this investment from IREC until the company signs an agreement to sell power to Electricite du Cambodge or to a special economic zone. The company has not approached us for this yet,” Mr Jona said.

He added that investment in renewable energies is increasing every year. In 2017, a $12.5-million, 10 MW solar farm was completed in Svay Rieng province’s Bavet city by Singaporean firm Sunseap. This is the country’s first large-scale solar farm.

Another plant, able to generate 60 MW, will come online by the end of this year. Developed by Schneitec Renewable, the $58-million project is a joint venture of Cambodian and Chinese investors. The plant will be located on 200 hectares adjacent to National Road 51 in Kampong Speu.

Finally, Mr Jona noted, bidding for another 60 MW solar farm in Kampong Chhnang province will start in upcoming months.

The government recently said that it plans to have all 24 provinces in the country connected to the national grid by 2020. Five provinces still lack access to it – Tboung Khmum, Kampong Thom, Oddar Meanchey, Ratanakkiri and Mondulkiri.

Cambodia now has 2,141 kilometres of transmission lines and 33 substations. The government has previously stated that its goal is to electrify all villages in the country by 2020. Currently, 87 percent of the country’s 14,168 villages have access to power.

Last year, Cambodia consumed 2,650 MW, a 15 percent increase compared to a year earlier. 442 MW were imported from Thailand, Vietnam, and Laos in 2018.

  • Energy Cooperation , 
  • Renewables

European Union supports 7 renewable energy projects in PH

31 January 2019

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  • Philippines

The European Union, through the Access to Sustainable Energy Programme, agreed to co-finance seven renewable energy projects that would provide power to around 40,000 households in remote areas of the Philippines, the Energy Department said Thursday. “Our goal is to provide electricity throughout the entire archipelago by 2020. These projects will bring more progress in Mindanao as thousands of Filipino families, particularly those living in far-flung areas of the region, will have access to power,” Energy Secretary Alfonso Cusi said.  The launching of the renewable energy projects was led by Energy assistant secretary Redentor Delola, EU head of development cooperation Enrico Strampelli and Mindanao Development Authority Undersecretary Janet  Lopoz.  Strampelli said the project awardees signed their respective contracts on Dec. 13, 2018, right after the extension of the ASEP implementation period.  “Over the next three years, ASEP will continue to work with the DOE in improving the lives of vulnerable communities in the country,” he said  Under the program, the EU will contribute 21 million euros to co-finance up to 80 percent of the projects which involve energy investments in several areas. These include hybridization and income-generating activities through the introduction of productive uses of electricity; innovative provision of basic electricity supply and services for poor, disadvantaged areas; electrification for livelihood generation through the solar photovoltaic home system in the Bangsamoro area; support to decentralized and mini grids; capacity building on rural electrification; energy efficiency measures; and renewable energy management.

The seven projects include Strengthening Off-grid Lighting with Appropriate Renewable Energy Solutions which would grant 5 million euros to Mahintana Foundation Inc. The Improving the Lives of People in Off-Grid Communities in Mindanao through the Provision of Sustainable Energy gave 4.5 million euros to Yamog organization while SolarBnB Microhotel & Island Livelihood Energizer—Platform allocated 3.9 million euros to Kabang Kalikasan ng Pilipinas ng Pilipinas or WWF Philippines. The EU also gave a 4.2-million-euro grant to United Nations Industrial Development Organization for its renewable energy technology for seaweed value added in Tawi-Tawi projects and  3.7-million-euro grant to People in Need for its  Renewable Energy Access for off-grid Communities and Households. The others projects are Renewable Energy for Livelihood and Youth which provided 2.2 million euros to Sequa and 3.8 million euros to Clean Energy Living Laboratories of Ateneo de Manila University. Alena Mae S. Flores Around 150 participants from the Philippine energy sector, regional and local government, civil society organizations and the academe attended the event.

  • Energy Efficiency

Energy efficiency law seen dampening power plant demand

31 January 2019

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  • Philippines

THE ENERGY SECTOR will play a big role in implementing the proposed energy efficiency and conservation law as about half of the thousands of megawatts that can be displaced with the adoption of the legislation will come from power facilities, an official of an industry organization said.

Alexander Ablaza, president of the Philippine Energy Efficiency Alliance, Inc. (PE2), said 45,900 megawatts (MW) are waiting to gathered through energy efficiency initiatives, of which about 23,000 MW are currently accounted for by power facilities.

“We have under our noses 45,900 MW to be harvested from anyone and anything that is using energy today,” he told reporters on Thursday.

Mr. Ablaza made the statement during the press briefing to introduce Water Philippines, a conference scheduled in March that, for the first time, includes renewable energy, and energy efficiency and conservation stakeholders.

The figure is only the minimum capacity that can be gathered through the law that is awaiting the President’s signature, he added.

“Roughly half of that is in the power sector,” he said. “We’re saying that potentially 23,000 MW of the 43,000 MW in the Philippine Energy Plan of new installed generating capacity can be deferred between now and 2040.”

Mr. Ablaza was referring to the 43,765 MW in required additional capacity that the Department of Energy (DoE) projected by 2040 using in its simulation an average annual economic growth rate of 5.7% and an assumed power reserve margin of 25% above the peak demand.

Based on the DoE’s forecast, about 25,265 MW of the required power capacity would come from baseload power plants, most of which are coal-fired facilities that operate continuously.

“This is universal across the globe, investing in energy efficiency is cheaper than the cheapest coal [power plant] on a per installed megawatt basis and, right now at parity, even cheaper than solar,” Mr. Ablaza said.

Earlier this month, the Bicameral Conference Committee convened to reconcile the disagreeing positions of Senate Bill 1531 and House Bill 8629. They then approved the Energy Efficiency and Conservation Act.

“PE2 positions civil society and private sector as partner of government for the long haul,” Mr. Ablaza said about his group’s role.

PE2 is non-stock, nonprofit organization of energy efficiency market stakeholders.

“We work with government to make sure that we do not repeat the mistakes of the last 28 years… (and) mainstream energy efficiency now as a resource in our energy mix,” he said.

Mr. Ablaza said that he hopes that when the Water Philippines conference takes place on March 20-22, the law will have passed.

The business-to-business conference will present the best water technologies and solutions for water supply, sanitation, industrial wastewater and purification. It includes renewable energy and energy efficiency sectors to bring together more than 500 exhibiting companies.

The event will showcase nine international and regional pavilions from China, European Union, South Korea, Malaysia, Singapore, Taiwan, Thailand, The Netherlands and the United States. — Victor V. Saulon

  • Renewables

PEA and KBank develop app, provide funding, to install rooftop solar

31 January 2019

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  • Thailand

The user-friendly mobile application is expected to be introduced in four pilot provinces in April 2019 with the hope of attracting 1.5 million adopters within the first five years.

Saranyphong Atchvsunthon, deputy governor of planning and power system development, said the app walks people through the steps needed to install their own solar-powered generator. The comprehensive guide, begins with an analysis of basic electric power consumption, recommendations on the appropriate installed capacity, selection of investment models, investment funds from banks, breakeven point calculation, and products and installers that meet PEA standards.

“Application users can also keep track of their own power consumption anywhere, anytime,” he said.

The authority has been mandated to transform into a digital utility by promoting energy R&D and steadily introducing new energy service businesses and innovations in order to stay competitive in the global market, Saranyphong said.

KBank’s role is as an exclusive partner to provide finances for those interested in installing solar.

The PEA Solar Hero Application will offer a complete service, starting with four pilot provinces in April 2019.

In a press release on Thursday, PEA said it is aiming for approximately 1.5 million rooftop PV system adopters or 20 per cent of power users in the business and household sectors within the first five years of the introduction of this service. It is expected investment in the rooftop PV system will reach Bt180 billion nationwide.

The Thai government has encouraged communities to join an effort to produce and use clean and renewable energy such as solar power by installing solar rooftops at their residences, shops, factories and buildings, said Silawat Santivisat, KBank senior executive vice president.

The campaign has met with a lukewarm response until now due to certain limitations, including the high cost of solar panel installation and consumers’ concerns over safety and standard of equipment and quality of installation, said Silawat.

“KBank, as a partner with PEA, is proud and honoured to take part in the campaign to promote the installation of solar rooftops via the PEA Solar Hero application by being the first and only financial service provider which has participated in the project from the beginning, Silawat continued.

“KBank will provide a payment transaction service for those interested. Customers can choose to make payment for goods and services via credit cards with a 10-month installment plan. KBank also serves as a funding provider by offering loans for installing solar panels because a solar rooftop installation is still expensive. The loan service will ease the financial burden for customers, because they can budget their payments into monthly installments with special interest rates for up to 60 months at the discretion of KBank.”

  • Energy Cooperation , 
  • Energy Economy , 
  • Oil & Gas

Indonesia oil giant mulls $1-billion LNG project in Philippines

31 January 2019

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  • Indonesia

MANILA, Philippines — Indonesia’s second biggest crude oil producer, PT Pertamina, is looking to invest $1 billion for the development of liquefied natural gas (LNG) in the Philippines through a regasification hub project, the Department of Trade and Industry (DTI) said yesterday.

Trade Secretary Ramon Lopez said PT Pertamina has expressed interest to do business in the Philippines by being involved in LNG development.

Lopez met with PT Pertamina officials last Tuesday.

“The Philippines is very much open for LNG investors. We will assist and work with them in looking for trusted partners until they begin their operations,” he said.

PT Pertamina corporate marketing director Basuki Trikora Putra said the firm is ready to offer integrated LNG solutions by investing in FSRU (floating storage and regasification unit) or land-based LNG regasification and provide competitive LNG supply.

“Having a long experience as one of the world leading LNG global players, we would like to share the same experience in the Philippines. We are really keen to invest in the Philippines,” Putra said.

After the DTI, PT Pertamina is also set to hold a meeting with officials of the Board of Investments, Department of Energy and Energy Regulatory Commission to learn about the country’s plans and policies on energy and investment.

Lopez said the government remains committed to attracting more investments to the country.

In particular, the government wants to accelerate investments in the areas of energy, manufacturing, transport, technology and infrastructure to develop more robust industry and service sectors.

PT Pertamina is a state-owned national energy company of Indonesia.

The firm has six refineries with a combined production capacity of one million barrels of oil per day.

  • Renewables

International consortium pushing geothermal development on Flores Island, Indonesia

31 January 2019

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  • Indonesia

A new consortium is partnering with Indonesia’s Ministry of Energy and Mineral Resources to accelerate geothermal development on Flores Island in East Nusa Tenggara Province in Indonesia utilising a slim hole approach with wellhead power plants.

Having followed the efforts by this international consortium from the sidelines, I am so glad for all involved that this is now official.

During a press conference yesterday in Jakarta, Indonesia, the Ministry of Energy and Mineral Resources announced a collaboration with an Eastern Indonesia Geothermal Consortium to accelerate geothermal development on Flores Island in East Nusa Tenggara Province (NTT).

The Eastern Indonesia Geothermal Consortium consists of North Tech Energy, Turboden SpA and SATE Ltd, which are interested in developing a geothermal field on Flores Island to meet electricity in the East Nusa Tenggara Province. The consortium’s collaboration with the Public Service Agency (BLU) in the ESDM Research and Development Agency is intended to facilitate the consortium’s investment in geothermal development and exploitation.

“The ESM Research and Development Agency can partner with Business Entities through Operational Cooperation (KSO) or Management Cooperation (KSM) to help accelerate geothermal investment,” said Head of ESDM Research and Development Agency, Sutijastoto, after the signing at the Ministry of Energy and Mineral Resources Office in Jakarta.

Currently the biggest economic development in NTT comes from the tourism, mining, marine and geothermal industries. There are 11 mineral mining companies in Manggarai Regency and need a large amount of electricity. One of them is processing manganese smelters, which require 10 MW of energy.

The biggest energy potential that can be utilized in NTT is geothermal energy of 1,276 MWe and 776 MWe of which are found on Flores Island. Therefore Flores Island is designated as a Geothermal Island, through the ESDM Ministerial Decree Number 2268 K / 30 / MEM / 2017. Of the 12 geothermal prospect areas, there are three regions that have obtained WKP (Geothermal Work Area) management permits from the Minister of Energy and Mineral Resources, namely Ulumbu, Mataloko and Sokoria.

The consortium took the initiative to develop geothermal potential on the island of Flores, using more efficient and inexpensive technology and methodologies, namely the technique of slim hole drilling in exploration and production drilling. For the production phase, the consortium will use turbines with wellhead turbine technology which is directly installed on top of the geothermal well. Turbine can be adjusted to the character of each well, both temperature and pressure.

This technology is right for small-sized geothermal fields and not too large electricity needs.

“We are looking forward pushing this approach of geothermal development forward in Indonesia, which allows for faster development with less environmental impact and the opportunity to expand development beyond large scale development … “, so Geir Hagalin, CEO of North Tech Energy, key driver for this new consortium.
The consortium is divided into two groups, namely the service provider group and the equity provider. Service providers consist of ISOR (Icelandic Geological Agency) and HIVOS. Icelandic ISOR is an experienced partner in mapping the subsurface, 3G data analysis, determination of drilling targets and assistance during drilling.

HIVOS is a Dutch international non-governmental organization whose role is to prepare communities in geothermal development locations.

HIVOS advertises preparation and training at the community level to form a business unit that utilizes electricity supply from geothermal energy and develops electricity-powered households.

The parties who are members of the equity provider are North Tech Energy (NTE) BV, Turboden SpA, EMO and Infunde Capital. NTE BV acts as a service provider and equity provider. Turboden SpA is a turbine producer with organic rankine cycle (ORC) technology, FMO (Dutch Government Development Bank) provides financing for geothermal development.

Infunde Capital acts as a geothermal field developer by coordinating all parties involved and ensuring all processes are in accordance with good business rules. RVO is an institution under the Ministry of Economic Relations of the Netherlands which plays a role in providing incentives to the private sector through Resource Risk Insurance.

  • Oil & Gas , 
  • Renewables

Gas Production In Thailand Drops As Country Experiments With Alternative Sources

31 January 2019

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  • Thailand

In a bid to combat climate change, almost every nation in the world has been quite busy looking for alternative energy sources. One such country is Thailand which, for the past couple of years, have been pushing its effort to diversify its power sector. Despite the good intention behind this strategy, it has caused Thailand’s domestic gas production to decline significantly over the past couple of quarters.

Thailand has been heavily pushing for the adoption of alternative energy sources. This is part of the country’s effort to cut its reliance on gas. Majority of the country’s gas needs are being fulfilled by imports as domestic production have significantly slowed down due to government regulations.

These figures have been acknowledged by the Thai government. As such, the state-owned PTT oil and gas company has placed a massive bid in order to gain rights to two of the country’s biggest gas blocks. These are a location in the regions of Erawan and Bongkot. PTT was able to outbid notable oil companies like Mitsui and Chevron.

In a report submitted by Fitch Solutions, the firm noted, “PTT will be expected to maintain a minimum production of 15.5 bcm per annum from the two blocks, some way lower than their current production of 21.7 bcm.”

Aside from oil, PTT is also set to improve its liquefied natural gas production from these two new regions. Many analysts have noted that PTT’s improved production should be enough to offset its imports of liquefied natural gas.

A significant portion of Thailand’s liquefied natural gas import comes from Qatar. This is part of PTT’s 20-year deal with the Middle East country which was signed in 2015. The deal states that Qatar will provide PTT with 20 metric tonnes of liquefied natural gas per annum.

With its venture in the Erawan and Bongkot regions, PTT should be able to fulfill all of its demands. Some are even speculating that the company can cut some of its imports now that its domestic production is slated to improve.

Based on Thailand’s power development plan, the government is planning to reach higher generation targets for clean coal technology. There is also a significant interest levied towards alternative energy sources like hydropower and renewable energy.

As Thailand slowly transitions to an alternative future, the government predicts that it should be able to cut its gas consumption and reliance by 1 percent on a year-to-year basis.

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