12 Indonesia
Risks and uncertainties associated
with biogas for cooking and electricity
Mariana Silaen, Yudiandra Yuwono, Richard Taylor,
Tahia Devisscher, Syamsidar Thamrin, Cynthia Ismail,
and Takeshi Takama
Introduction
Indonesia’s energy needs and policy ambitions
Indonesia’s significant economic growth in the past decade, due to increasing
investment and export growth, has been accompanied by increasing energy
demand that is met by oil, gas, coal, and renewables (World Bank, 2018; Secretariat General of National Energy Council, 2016: 51). Of these, coal is Indonesia’s most important energy resource for domestic power production and also
garners vast export earnings. Nearly 80% of the nation’s coal productions were
exported in 2015, making it the largest coal exporter in the world despite possessing only 2.2% of the global coal reserves (Atteridge, Aung, and Nugroho,
2018; BP, 2018; Cornot- Gandolphe, 2017). As a result, the increasing energy
demand and consumption have made Indonesia the eighth- largest greenhouse
gas (GHG) global emitter (Friedrich, Ge, and Damassa, 2015). In 2012, CO 2
emissions were distributed across three main sectors, with power generation,
industry, and transportation accounting for roughly 33%, 30%, and 29% respectively (Republic of Indonesia, 2015).
In 2016, Indonesia introduced its Nationally Determined Contribution
(NDC) targets of a 26% and 29% GHG emission reduction by 2020 and 2030
respectively, in comparison to the business- as-usual scenario. However, capacity
additions have been in favour of coal and most of the planned renewables come
in well after 2020 (Climate Action Tracker, 2018). A high- carbon pathway,
evidenced in these energy plans and GHG emission trends, is far from being
consistent with NDC targets. Indonesia’s policies are currently rated as ‘highly
insufficient’ to meet its NDC targets (Climate Action Tracker, 2018). Like
other countries, it faces several challenges to mainstream and integrate climate
change into national planning and development processes.
Indonesia’s main strategy for development is formulated in the National
Long- Term Development Plan (RPJPN) which is divided into four five- year
National Medium- Term Development Plans (RPJMN). The current RPJMN
Risks and uncertainties associated
with biogas for cooking and electricity
Mariana Silaen, Yudiandra Yuwono, Richard Taylor,
Tahia Devisscher, Syamsidar Thamrin, Cynthia Ismail,
and Takeshi Takama
Introduction
Indonesia’s energy needs and policy ambitions
Indonesia’s significant economic growth in the past decade, due to increasing
investment and export growth, has been accompanied by increasing energy
demand that is met by oil, gas, coal, and renewables (World Bank, 2018; Secretariat General of National Energy Council, 2016: 51). Of these, coal is Indonesia’s most important energy resource for domestic power production and also
garners vast export earnings. Nearly 80% of the nation’s coal productions were
exported in 2015, making it the largest coal exporter in the world despite possessing only 2.2% of the global coal reserves (Atteridge, Aung, and Nugroho,
2018; BP, 2018; Cornot- Gandolphe, 2017). As a result, the increasing energy
demand and consumption have made Indonesia the eighth- largest greenhouse
gas (GHG) global emitter (Friedrich, Ge, and Damassa, 2015). In 2012, CO 2
emissions were distributed across three main sectors, with power generation,
industry, and transportation accounting for roughly 33%, 30%, and 29% respectively (Republic of Indonesia, 2015).
In 2016, Indonesia introduced its Nationally Determined Contribution
(NDC) targets of a 26% and 29% GHG emission reduction by 2020 and 2030
respectively, in comparison to the business- as-usual scenario. However, capacity
additions have been in favour of coal and most of the planned renewables come
in well after 2020 (Climate Action Tracker, 2018). A high- carbon pathway,
evidenced in these energy plans and GHG emission trends, is far from being
consistent with NDC targets. Indonesia’s policies are currently rated as ‘highly
insufficient’ to meet its NDC targets (Climate Action Tracker, 2018). Like
other countries, it faces several challenges to mainstream and integrate climate
change into national planning and development processes.
Indonesia’s main strategy for development is formulated in the National
Long- Term Development Plan (RPJPN) which is divided into four five- year
National Medium- Term Development Plans (RPJMN). The current RPJMN