This article provides a short teaser to companies in the fields of production and development of energy-efficient technology, energy infrastructure, energy management systems and energy evaluation systems for the application of energy efficiency technologies and services in Indonesian industry.
Indonesia, the fourth largest country in the world with around 275 million inhabitants, has been experiencing continuous economic growth of around 5% per year for several years. Thanks to this positive economic development, the poverty rate has been more than halved within the last 20 years. With a GDP of 1,003 billion euros (2019), Indonesia is already one of the 20 largest economies in the world. By 2030, Indonesia is even expected to rise to seventh place. Despite the current massive effects of the corona crisis on the economy, the Indonesia's economy will grow by 2.1% this year, according to the World Bank.
This general positive economic development goes hand in hand with a continuously increasing energy demand of Indonesia, especially of industry. Energy efficiency technology is not yet very widespread in the Indonesian industry. This results in great savings potential, which the Indonesian Ministry of Energy (MoEMR) estimates at 10-30% for the key industries of chemicals, agricultural products, steel, textiles, pulp and paper and cement production. Overall, a wide range of energy efficiency technology is required. This includes automation and control technology, lighting, air conditioning and refrigeration technology, motors and heat management.
In addition to the generally positive overall situation, there are some aspects that make it difficult to sell energy efficiency technology. This includes Low awareness of the benefits and necessity of energy efficiency technology in Indonesian industry. In addition, it is unclear to what extent the Covid-19 pandemic will affect the willingness of Indonesian companies to invest.
HIGHLIGHT
Primary energy generation Indonesia by 2050 (in Mtoe)
Source: (Center for Energy Resources Development, Agency for the Assessment and Application of Technology (BPPT), 2015)
In 2015, the Indonesian Agency for the Evaluation and Application of Technology (BPPT) forecast an enormous increase in Indonesian primary energy generation over the next few decades. According to this, production would quadruple to 1,009 Mtoe by 2050. The forecast value for 2020 was already achieved in 2017.26
Forecast energy consumption of key Indonesian industries by 2050
Business Sectors
