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New rooftop solar rule set to boost industrial, commercial use
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Workers check solar panels at Tirtonadi Terminal in Surakarta, Central Java, for a Transportation Ministry project capable of producing 500,000 watts of electricity to power operations of the terminal, in this undated photo. (JP/Ganug Nugroho Adi)
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revised ministerial regulation is expected to support industrial and commercial use of rooftop solar panels, but how it is implemented will be crucial in ensuring companies can easily access the electricity generated by the installations.
Energy and Mineral Resources Ministry Regulation No. 02/2024 scraps a provision that limited the benefits owners could derive from on-grid rooftop solar panels.
The previous rules capped the amount of electricity residential, commercial and industrial customers could use from such systems at 10 to 15 percent of the installed capacity, while the rest would be fed into the grid of state-owned electricity monopoly PLN.
“There were also many uncertainties regarding the licensing process in the previous rules. In the new regulation, the government provides greater certainty by detailing the approval timeframe, the flow and the quota system,” Indonesian Solar Energy Association (AESI) executive director Fabby Tumiwa told The Jakarta Post on Tuesday.
“There needs to be an implementing rule explaining how the quota is determined and a process where the IUPTLU [electricity provider] gets feedback from developers and customers about the quota system,” he said.
However, the government would need to revise the legal framework beyond the rooftop solar regulation, such as by amending the Electricity Law and the power-wheeling regulation, to accommodate companies that are committed to using 100 percent renewable electricity, Fabby contended.
In Indonesia, companies including Coca-Cola, Danone and Unilever have pledged to use renewable energy exclusively by 2030.
