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Jakarta Post

PLN power plans criticized as overly ambitious, too reliant on coal

  • Stefanno Reinard Sulaiman

    The Jakarta Post

Jakarta   /   Tue, March 26, 2019   /  07:37 am
The Jakarta Post Image
President Joko “Jokowi” Widodo, accompanied by Coordinating Maritime Affairs Minister Luhut Pandjaitan (center) and Energy and Mineral Resources Minister Ignasius Jonan (right), visits a geothermal power plant in Tompaso, Minahasa, North Sulawesi in December.(Antara/Puspa Perwitasari)

Critics have called PLN’s recently issued electricity procurement plan (RUPTL) for the 2019-2028 period overly ambitious and chided the state-owned electricity company for reneging on its clean energy plans. Some experts believe the company’s expectation for electricity demand growth is too high. A recent analysis from global energy think tank Institute for Energy, Economics and Financial Analysis (IEEFA) said, even though the demand growth estimate had been lowered from the previous plan, it was still “too ambitious”. The IEEFA recorded average demand growth of only 4.6 percent in the last five years (2013-2018), while PLN set the demand forecast at 6.42 percent in its latest procurement plan, down only slightly from the 6.86 percent projection in its older nine-year plan. "[The demand growth forecast in the new plan] is indeed slightly lower tha...