PT PLN (Persero)

PLN ‐ Solar PV DEVELOPMENT PLANPLN  Solar PV  DEVELOPMENT  PLAN

Moch. SofyanHead of New & Renewable Energy Division

PT PLN ( Persero )

SOLAR WORKSHOPJAKARTA, INDONESIA , FEBRUARY 8 TH, 2013

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Background

Indonesia as an archipelago country, a thousands of island are not electrified yet

G

LNG

not electrified yet

7 Provinces with the electrification ratio ( ER ) of less than 60 %, PLN has set up a plan to accelerate the ER target using renewableGasPLN has set up a plan to accelerate the ER target using renewable energy include solar PV. 

Generated power in the remote area mostly supplied by diesel

Coal

Generated power in the remote area mostly supplied by diesel power, with  an expensive transportation cost and  fuel supply security problemHSD MFO71 Locations of small and medium isolated system currently supplied by diesel power. 

GeothermalHydro

PLN ‐ high generation cost at the remote island

Trend of cost reduction and efficiency improvement on PV technology

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PLN Plan & Polic2020

PLN Electricity Development Plan 

• The electricity demand growth8%

2020

Non‐ReNEW Hydro Geothermal

G

LNGby 8.5 % annually, supplied byvarious energy resources.

11%

GasFossil power plant remaindominant ( 81 % ), mainly Coal81%

CoalSteam Power Plant with 63 %share by 2020.

6,877  7,164 

8,000 

New Plants Expansion : 55,3 GW

HSD MFO • To reduce oil consumption from21 % ( 2011) to 3 % by 2015.

5,583 

,

4,971 

4,271 

5,941 6,436 

4,181 

5,034  4,882 

4 000

5,000 

6,000 

7,000 

GeothermalHydro

( ) y

• Development of renewableenergy resources will be first1000

2,000 

3,000 

4,000 

energy resources will be firstpriority, include solar PV.

3

‐

1,000 

2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

PLTU PLTA PLTP PLTGU PLTG PLT Lain Total

Electrification Ratio ( as of June 2012 )R/E 2012

Target

2012Realisasi

Sem I

2012Pred

PLN 71.2% 70.5% 73.3%

RIAU:73.4%KALBAR: 68.4%

KALTIM:71.1%SULUT: 74.0%

%

(PLN+ Non PLN) 73.7% 72.8% 75.9%

SUMUT: 84.8%

SUMBAR: 74.8%

GORONTALO:54.9%

SULTENG:62 8%

MALUT: 62.8%

PAPUA: 30.4%SULBAR: 63.2%

NAD: 88.1%

BENGKULU: 65.1%

JAMBI: 67.4%

SULTENG:62.8%

SUMSEL: 63.0% BABEL: 88.0%

LAMPUNG: 65.2%DKI: 93.9%

BANTEN 77 1%

KALTENG: 52.1%

KALSEL:72.8%

SULTRA:56.8%

SULSEL: 74.1%

MALUKU: 67.1%

BANTEN: 77.1%

JABAR: 72.8%

JATENG:78.1%NTB 49 0% NTT: 43 5%

PT PLN (Persero)| 4

DIY: 76.0% JATIM: 72.2% BALI:71,0% NTB: 49.0% NTT: 43.5%

PLN Plan on Solar PV

• Solar PV Development will bed i t i l d t itprogressed intensively due to its

potential, technology development,trend of cost reduction and economict e d o cost educt o a d eco o cviability.

• PLN has set up the policy to developedSolar as an h brid s stem ith e istingSolar as an hybrid system with existingDiesel, Biomass or other RE potentialsin a remote area and small island, torespond with GOI policy to reduce oilconsumption.

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PLN ‐ PV Development Plan

90

Wp

70

80

city, M

W

50

60

Capa

c

30

40

0

10

20

0

2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

YearPV D l t P t 2020 620 MW

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PV Development Program up to 2020 : 620 MW

Pengembangan PLTS1000 ISLANDS – PV  DEVELOPMENT PROGRAMPV Development Program up to 2020 : 620 MW

NAD: 44 lokasi, 7.4 MWp Kaltim: 30 lokasi 24,9 MWp

PV Development Program up to 2020 : 620 MW

Sumut: 27 lokasi 6.1 MWp

Babel: 16 lokasi 35.0 MWpRiau: 151 lokasi 60.1 MWp

Kalbar: 63 lokasi 40.1 MWp

Sulut, Sulteng, Gorontalo: 39 lokasi 30.9 MWp

Maluku, Malut: 29 lokasi 33.5 MWp

Sumbar: 42 lokasi 7.7 MWp

pPapua, Pabar: 66 lokasi 44.9 MWp

Sumsel Jambi Bengkulu:

Sulselrabar: 17 lokasi 29.7 MWpLampung: 18 lokasi 2.5 MWp

Sumsel, Jambi, Bengkulu: 6 lokasi 3.4 MWp Kalselteng: 96 lokasi 48.7 MWp

Jabar, Banten: 3 lokasi 1.1 MWp

Jateng DIY: 5 lokasi 0.7 MWpNTT: 99 lokasi 45.2 MWp

Jatim: 12 lokasi 4 3 MWpNTB: 15 lokasi 44.5 MWpBali: 1 lokasi 0.3 MWp

Jatim: 12 lokasi 4.3 MWp

PLN plan to developed Solar as an hybrid system with existing Diesel, Biomass or other RE potentials in a small islands, to respond with GOI policy to reduce oil consumption

PLN - PV Design Configuration Options DEVELOPED BY PLN

Off Grid System (cap : 50 – 100 kW )Off Grid System (cap : 50  100 kW )

Off grid: PV Stand Alone System ( connected to LV feeder, 230 V/ 400 V or MV line 20 kV, PV and Storage Bank /Battery)

On Grid System  (cap:  100 ‐ 1000 Kw ) 

H b id S t ith E i t Di l Oh P Pl t PV B tt Hybrid System with Exist.Diesel or Ohers Power Plant + PV+Battery( connected to new or existing MV Line ) 

On grid System ( connected to existing MV line and without battery)On grid System ( connected to existing MV  line and without battery)

DEVELOPED BY IPP

On grid system (cap: 1 – 10 MW) On grid System ( connected to existing MV  line and without battery)

Least Cost Supply Options ( case study )

Levelized Financial Cost of ElectricityLipu Kinipan Karitana Hangga

Annual Demand (kWh/Year) 341,640  138,335  60,590  55,115 Levelized Financial Electricity Cost (IDR/kWh)

PV 80% Availability 3 135 4 088 4 332 4 0995,000 

6,000 

7,000 

y

PV: 80% Availability 3,135  4,088  4,332  4,099 

PV‐diesel hybrid: 100% Availability 3,514  4,544  4,442  4,353 Differential 11% 10% 2% 6%PV: 100% Availability 4,087  5,258  5,772  5,286 2 000

3,000 

4,000 

,

IDR/kW

h

y , , , ,

Diesel: 100% Availability (Base Case) 6,991  7,024  6,135  6,438 ‐

1,000 

2,000 

Lipu Kinipan Karitana Hangga

• For 100 percent availability/reliability least cost option is PV‐diesel hybrid

H f 80 t il bilit PV t d l t h l t l t i it t b t th t

p p gg

PV: 80% Availability PV‐diesel hybrid: 100% Availability PV: 100% Availability

• However, for 80 percent availability, PV stand‐alone system has least electricity cost – but the system suffers from low reliability and high customer dissatisfaction

• For a marginally higher expense, a PV‐diesel hybrid offers high system reliability, and availability, and a much more satisfied customer basea much more satisfied customer base

9Electricity Cost from PV-diesel hybrid with 100 percent availability, only marginally higher

Least Cost PV-Diesel Hybrid Option – Case Study(drastically reduces reliance on diesel)

Diesel Required for PV‐Diesel Hybrid Compared to Diesel Only Option

(drastically reduces reliance on diesel)

10,000 

12,000 

20%

25%

el Option

Option

4 000

6,000 

8,000 

10%

15%

Year fo

r PV

‐Diese

t of D

iesel O

nly O

‐

2,000 

4,000 

0%

5%

Liters per Y

Percen

t

Lipu Kinipan Karitana Hangga

Liters/Year Percent of Diesel Only Case

• Diesel required for PV diesel hybrid is about 6‐20% of stand‐alone diesel

• Diesel supplies 6‐13% of electricity, the balance from PV

• Less frequent and lower quantities of diesel would be required10

Operational implications of PV-Diesel Hybrids

• Has greater operating flexibility in responding to demand variations and near‐term demand growth – there is time for investing in additional PV as demand growsdemand growth  there is time for investing in additional PV as demand grows

• Fuel delivery network manageable

– Fuel quantities are significantly less than in diesel‐only option

– Most of the fuel is required in months with lower solar radiation (rainy season with challenging sea conditions), therefore sufficient storage needs to be maintainedmaintained 

• Diesel generator maintenance manageable

– Frequency of maintenance much less as diesels operate fewer hours/year

– PV hybrid system operation are more complex 

• strong capacity building required

i ll f PV di l h b id i l d f ll i d t t d t l• especially for PV‐diesel hybrids in load following mode, automated controls are required to facilitate hybrid operations management – however more advanced operators skills are required.

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FEED‐in TARIFFS Policy (FIT)

FIT policy for PV,  plan to be issued by GOI.

Qualified IPP Developer selected based on administrationQualified IPP Developer selected based on administration criteria and quality of technical propossal.

Technical specification should comply with National and orTechnical specification should comply with National and or PLN Standard.

Tariff incentive available to attract the use of local content.Tariff incentive available to attract the use of local content.

Bank or equity deposit  required  in the form of escrow account or others form of Bank sertificate at the National Bank by IPP Developer before PPA signed

PPA will be signed with PLN for 20 years contract period using the tariff listed in FIT. PLN will prepare a standard contract.

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Propossed Location Criteria of PV ‐ IPP

•Small & medium isolated system which currently suppliedSmall & medium isolated system which currently supplied by Diesel power

•The maximum PV capacity limited by 20% of the average system demand , ranges between 1 MW up to 10 MW .

•PLN average generation cost at the location higher than the propossed FIT tariffthe propossed FIT tariff.

•System configuration: on grid, no battery and operate as an hybrid system with existing power plantshybrid system with existing power plants.

67 Location of Isolated system with  total capacity of 150 MW 

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propossed for the first phase of IPP ‐ solar development

On Grid ­ Hybrid Solar System base for IPP  

El t i it i Electricity is produced anddirectly connected to

No battery storage required PV Capacity ranges 1 up to 10 MWdirectly connected to 

the PLN grid.

Design as PV – hybrid

MW PV‐diesel hybrids in load following mode, required automated controls Design as PV  hybrid

system to provide continuous, reliabbe 

, qto facilitate hybrid operations management

power and comfortable. 

Comply with National or PLN standard specification.

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PLN h t l t d l 620 MW f S l PV tSummary and Conclusion PLN has set up a plan to develope 620 MW of Solar PV up to

2020.

S l h b id t ith i ti Di l Bi th Solar - hybrid system with existing Diesel, Biomass or other RE potentials selected as least cost option in a small islands, to respond with GOI policy to reduce oil consumptionto respond with GOI policy to reduce oil consumption.

PV - Diesel Hybrid operation manageable, drastically reduce oil consumption but strong capacity building for operational stafconsumption but strong capacity building for operational staf required.

GOI plan to issued the FIT policy to attract IPP participation on GOI plan to issued the FIT policy to attract IPP participation on PV development and about 150 MW capacity of PV - on grid system has been allocated for the first phase of PV Base IPP syste as bee a ocated o t e st p ase o asedevelopment.

An incentive policy for domestic product are available to

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An incentive policy for domestic product are available to encourage the development of domestic solar PV industries.

Terima KasihTerima Kasih

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