Articles

A System Dynamics Model for Rooftop Solar PV System Development in Indonesia

Despite of Indonesia’s vast solar energy potential according to the Indonesian Ministry of Energy and Mineral Resources, Indonesia’s total installed capacity of rooftop solar photovoltaic (PV) is very far from Indonesia’s target of 3.6 GW in 2025. Indonesia once applied net metering scheme for rooftop solar PV policy and was expected to be able to boost rooftop solar PV growth. A system dynamics approach is used in the research to develop an assessment model to evaluate the policies’ impact on residential rooftop solar PV system growth. A Causal Loop Diagram was established then transformed into Stock and Flow Diagram (SFD) using software Vensim PLE 10.1.3, which was used to simulate several policies’ scenarios related to residential rooftop solar PV adoption and CO2 emissions reduction. Ten scenarios were simulated in this study involving three groups of intervention: initial net metering tariff, reduction on initial solar PV cost, upper limit of ROI, and combination of initial net metering tariff and initial solar PV cost reduction. The simulations revealed that combination of increasing net metering tariff to 80% & initial cost reduction 30% has the highest potential solar PV installations, the highest CO2 emissions reduction, and the lowest accumulation cost of net metering in 2030. This study can be used as reference by the policy makers in Indonesia to formulate the optimum policy to boost rooftop solar PV growth as the simulations shows that residential rooftop solar PV with the right intervention can meet the government’s target of rooftop solar PV in 2030.

Renewable Energy Transition Strategy for PT.CI to Reduce 50% Emission by 2030

The global and Indonesia energy trend is heading to process of transitioning from fossil fuel to renewable energy (decarbonization) in the purpose of reducing Green House Gas (GHG) effects. Industries as one of the biggest contributors of emission generator expected to participate in this effort, where fuel and electricity play significant roles in running the operation. Many businesses try to participate and state their commitment on this energy transition initiative by increasing the portion of renewable energy within their operation. Meanwhile, business have several uncertainties’ on how the renewable energy will be acquired and will this renewable energy options be available at the time they need it. Campur Plc. (CP) through its subsidiary in Indonesia, PT. Campur Ilmiah (PT. CI) has targeted the entity to reduce 50% of the emission by 2030 with the baseline of 2018, which align with corporate target of 46.2% of emission reduction globally. Uncertainties on achieving this target generated from external and internal factors, and not to forget how to sustainably maintain the achievement. The location of PT.CI in industrial estate need to be considered as limitation because the power and energy supply are regulated. The accessibility, availability and affordability of renewable energy are expected to be handled by the government, industrial estate or other third party in energy business, but the phasing and the achievement up to now has not shown a promising progress. As a business, PT.CI need to have a strategic planning on this energy transition to support the global target as well as shown a positive investment climate in Indonesia. There are four (4) scenarios has been developed and each of the scenarios are explored to identify alternative and possible strategies to still be able achieving the target and how the organization manage these changes. As the conclusion of this research, four (4) strategic imperatives are defined. This research also might be use as the reference of future planning for the similar industries that have the similar target and type of energy mix.