Kebutuhan dan Pengadaan

 

·         Energy resources potential is quite huge

·         Public access to energy is still limited

·         Fuel oil consumption share: is 63% of the final energy

·         Huge energy export, huge fuel oil import

·         The price of gas and coal export is higher than the domestic marketing price

·         The ability/purchasing power of domestic consumers to purchase coal and gas is low and there are no economic incentives both fiscal and non-fiscal for fossil energy for domestic use

·         The structure of State Revenues and Expenditures Budget still depends on oil and gas revenues and is influenced by Fuel Oil subsidy.  

·         Energy industry is not optimum yet:

o        Limited energy infrastructure

o        Price of energy (Fuel Oil, gas for fertilizer plants and new renewable energy) has yet to reach its economic value

o        The utilization of energy is not efficient yet

The aforementioned conditions have resulted in the following:

·         Unbalanced primary energy mixture:

o        Not yet optimum domestic gas utilization

o        Not yet optimum domestic coal utilization 

·         Hampered development of alternative energy due to the Fuel Oil subsidy

·         Indonesia becomes a net oil importer

·         Increased Fuel Oil subsidy

Strategy that can be carried out:

·         ENHANCEMENT OF EXPLORATION ACTIVITIES 

o        The granting of economic incentive to enhancing investment for exploration activities

o        Oil and gas: exploration of new areas including frontier areas and deep seas

o        Coal: exploration of new areas and follow-up exploration to enhance the status of reserves

o        Geothernal energy: exploration for discovering new potentials

·         Environmentally friendly renewable energy technology research and development

·         Dissemination/provision of technical guidance facilities for the public, entrepreneurs and industry in terms of the utilization of new renewable energy and efficient energy technology

EXPECTED CONDITIONS

·         Enhanced public access to energy

·         Enhanced energy supply security

·         Adjusting the price of energy to its economic value

·         The availability of adequate energy infrastructure

·         Enhanced energy use efficiency