Energy Sector

US$208 Million Required for Electricity

VIVAnews - Indonesia needs US$208.7 million to upgrade domestic electricity power.

According to data from Department of Energy and Mineral Resources revealed during the Indonesia-China Energy Forum (ICEF) on Monday, Dec 22, US$171.5 of the fund is needed to improve electricity systems in Java, Madura and Bali, and US$37.1 million is for outside of Java, Madura and Bali. 

The development of the power plants themselves would require US$140.7 million for Java, Madura and Bali, and US$31.5 million for other regions.

Meanwhile for the development of transmission and distribution in Java, Madura and Bali US$22.2 million is required, and in other regions US$2 million. Distribution channels in Java, Madura and Bali would require a fund of US$8.5 million, and for other regions US$3.6 million.

The government is in need of upgrading the electricity system in Indonesia. Today, the electricity industry is being challenged by increasing demand, dependence on fuel, inadequacy of infrastructure and lack of development fund. 

The government estimates that coal usage will rise by 63 percent in 2018, compared to 2007 with 17 percent. In addition, gas usage will increase by 17 percent of total national energy consumption compared to the previous 14 percent.

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Translated by: Bonardo Maulana Wahono

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29 Maret 2024