New projects, new opportunities Indonesia invites Chinese companies to cooperate in the power upgrad

Mondo Finance Updated on 2024-02-01

On January 18, 2022, the Indonesian parliament passed a bill to approve the relocation of the capital from Jakarta to East Kalimantan province, and the new capital is named "Nusantara", which means "archipelago" in Indonesian, and is located about 2,000 kilometers northeast of Jakarta.

First, Indonesia's relocation of the capital was intended to ease the pressure on Jakarta as an overcrowded and inadequately infrastructural capital. The plan to move the capital includes the construction of a new capital in East Kalimantan province called Nusan Tara. The construction of this new capital will be carried out in five phases, with the first phase focusing on the construction of ** office buildings and infrastructure, including roads and power grids.

According to the Indonesian National Electricity Company (PLN), a 500 kV high-voltage transmission line is currently installed in East Kalimantan Province, supported by a single line** and three substations. In the future, the power company plans to increase its high-voltage transmission line capacity to 1200 kV to support the demand in the new capital. Indonesia** also plans to build two larger substations near the new capital to strengthen power distribution capacity.

PLN**, with the advancement of the capital relocation project, the total electricity consumption of East Kalimantan Province in 2025 will increase from the current 38 TWh increased to 15 TWh, which includes electricity consumption in the new capital. To meet this demand, PLN plans to build a scalable 400 kilowatt (kW) solar photovoltaic power plant in East Kalimantan province near the new capital, a 500 kilowatt (kW) emergency backup power station, and integrate more renewable energy sources such as wind, biomass and hydro into the electricity network**.

According to Indonesia**'s plan, the new capital will be the world's first 100 renewable-powered cities, which means it will no longer rely on traditional fossil fuel energy sources, which will drive innovation and sustainable development in the power sector to a certain extent.

Smart grid construction refers to the use of advanced communication and control technology to achieve intelligent management and control of the power grid. Smart grids can improve the reliability and efficiency of the grid, reduce energy losses, and support the integration of renewable energy and the development of distributed energy resources.

The demand for smart grid in Indonesia mainly comes from the following aspects:

Reliability of electricity**: With the rapid development of Indonesia's economy, the demand for electricity continues to grow. To meet this demand, Indonesia needs to build a more reliable and stable power system. Through intelligent management and control, smart grids can better cope with fluctuations in power supply and demand and improve the reliability of power supply.

Access to renewable energy: Indonesia has abundant renewable energy resources such as solar and wind power. To make the most of these resources, Indonesia needs to build a grid system that supports renewable energy access. Smart grid can realize the intelligent management and control of renewable energy, improve the utilization rate of renewable energy and the stability of the power grid.

The energy transitionWith the growing problem of global climate change, Indonesia** has also put forward the goal of energy transition, that is, to reduce dependence on fossil energy and increase the proportion of clean energy. Smart grids can support energy transition, improve energy efficiency and reduce energy waste and emissions through intelligent management and control of power supply and demand.

The demands of urbanization: With the acceleration of urbanization in Indonesia, the demand for urban electricity continues to grow. To meet the city's electricity needs, Indonesia needs to build a more efficient and reliable power system. Smart grids can improve the reliability and efficiency of power through intelligent management and control, and meet the electricity needs of cities

The main categories of smart grid procurement in Indonesia include smart meters, smart grid management systems, smart grid equipment, etc.

Smart metersSmart meters are an important part of the smart grid, which can realize remote meter reading, electricity monitoring, metering management and other functions, and improve the reliability and efficiency of electric power.

Smart Grid Management SystemThe smart grid management system can intelligently manage and control the entire power grid, realize real-time monitoring and dispatching of power supply and demand, and improve the stability and reliability of the power grid.

Smart Grid EquipmentSmart grid equipment includes intelligent circuit breakers, intelligent transformers, intelligent switches, etc., which can realize remote control and intelligent management, and improve the operation efficiency and reliability of power grid equipment.

Indonesia's PV demand is mainly concentrated in the following areas:

Construction of large-scale photovoltaic power stations: As Indonesia's energy demand grows, the construction of large-scale photovoltaic power plants has become an important solution. Large-scale photovoltaic power plants can provide stable electricity** and can be connected to the national grid, providing more clean energy to Indonesia's electricity market.

Distributed photovoltaic systemsDistributed photovoltaic systems are suitable for homes, enterprises, industrial parks and other occasions. Due to the abundant sunshine in Indonesia, many homes and businesses are starting to install distributed photovoltaic systems to meet their own electricity needs and reduce their dependence on traditional energy sources.

Photovoltaic poverty alleviation project: Indonesia** is actively promoting photovoltaic poverty alleviation projects to provide clean energy for poor areas and improve the living conditions of local residents. These projects are usually financed to provide electricity to poor areas through the construction of small photovoltaic power plants or distributed photovoltaic systems.

Photovoltaic project in the industrial park: Many industrial parks are starting to use photovoltaic technology to meet their own electricity needs and reduce their dependence on traditional energy sources. These projects are often built in partnership with businesses within the park to improve energy efficiency and sustainability throughout the campus.

Indonesia's demand for household savings is relatively large, mainly due to the following reasons:

High electricity prices: Indonesia's electricity prices are relatively high, so many households and businesses have an incentive to install energy storage devices to reduce their electricity bills.

Unstable power supply: Due to the relatively weak power infrastructure in Indonesia, the problem of unstable power supply is more prominent. In this case, households and businesses are more inclined to install energy storage devices to ensure the stability and reliability of power supply.

2024 Indonesia Power & New Energy Exhibition.

Exhibition time:June 4-6

November 28-30.

Exhibition Venue:Jakarta International Exhibition Center.

Organizer:Rongo Exhibitions + Miolante.

Supported by:

Indonesian Electricity Association MKI

Indonesian Solar Energy Association AESI

Indonesia Smart Grid Initiative PJCI

Indonesian Electrical Equipment Manufacturers Association APPI

Indonesian Association of Electrical and Mechanical Contractors AKLI

The 2024 Indonesia Power & New Energy Exhibition is committed to providing solutions for power generation, transmission, microgrid and floating photovoltaic projects in Indonesia, while continuing to integrate Indonesia's industrial advantages and local resources in nickel ore to help enterprises develop the tram and charging and battery swapping market.

The last exhibition was supported by the Indonesian Electricity Association, the Indonesian Solar Energy Association, the Indonesian Smart Grid Initiative, the Indonesian Electrical Equipment Manufacturers Association, the Indonesian Electrical and Mechanical Contractors Association and other institutions, attracting more than 130 enterprises to participate in the exhibition, Wuling, Chery, Great Wall, Dongfeng, Xiaolan Fast Charging, BAK Power, Xupai Lithium Energy, Xinsheng Electric, Smart Lithium and other Chinese brand enterprises have appeared at the exhibition site, attracting more than 7,000 Southeast Asian professional visitors to visit and purchase products.

Through cooperation with EPC contractors in Indonesia, policy makers of business associations, decision-makers of power infrastructure projects, and buyers of end products, we focus on the common experience and mutual assistance of China's mature products and solutions, and provide long-term and efficient market and business opportunities for practitioners in China's new energy industry.

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