Indonesian state-owned electricity company, PT PLN, in the first stage, is replacing its 265 megawatt diesel powered electric generators throughout the country with more environmentally friendly power plants. Solar photovoltaic panels and batteries with capacity of 660 megawatt will be installed to replace the diesel power plants. (Source: bisnis.com, 8 Feb. 2022)
This decision is made by PT PLN (Persero) to increase its portfolio in renewable energy power generation and reduce its dependency on imports of fossil fuel.
In the second stage, the company plans to convert 2 gigawatt of its diesel powered electric power plants with combined solar and wind ones.
To carry out these projects the company have invited bids from 160 companies that have got the qualifications and expertise in constructing the renewable energy power plants especially in remote regions of Indonesia. The participants of the projects are expected to be more innovative in building more efficient and reliable batteries.
The conversion of diesel power plants to renewable ones is prioritized on diesel engines that are 15 years or older. The ones whose diesel oil consumption is more than 0.2738 litres/ kWh.
The increase of fossil fuel in international market has become a heavy burden on Indonesia's economy that now relies on imports. The shift to renewable energy is seen as a good solution for the country's economy.
This trend is seen as economic opportunity for companies in Indonesia to offer electric bikes and motorcycles that do not depend on gasoline and diesel fuel.