At least on paper, a series of somewhat related regulations would suggest the government is serious about shifting away from the national dependence on non-renewable resources, particularly in the area of energy supplies. In order to stimulate and diversify the use non-oil fuels, Presidential Regulation No. 4 of 2010 assigned the State Electricity Company, or ‘PLN’, to accelerate the construction of renewable energy, oil, and gas power plants. That regulation also mandates that PLN spearhead the development of transmission infrastructure to efficiently distribute energy to end-users.
For a brief overview of the Presidential Regulation, see ILB No. 1279 15/1/2010.
Since the Presidential Regulation required a subsequent implementing regulation to elaborate the PLN mandate, the Minister of Energy and Mineral Resources issued Regulation No. 2 of 2010, which goes into further detail about the list of renewable energy, coal, and gas power plants for accelerated construction. In essence, it mandates the construction of roughly 90 new power plants and related transmission infrastructure. The Attachments of the Ministerial regulation specify which projects must be carried out solely by the PLN, and which sorts of projects can be public-private partnerships.
Although the regulation allows, and indeed requires cooperation with private sector contractors, no explicit regulation is provided regarding the tender process for state procurement contracts (notorious openings for korupsi and kolusi). Moreover, although both the Ministerial and Presidential regulations demand acceleration of construction, no explicit deadline is set for when the power plants and related infrastructure must be completed; one can only assume it relates to the expiry date for the Ministerial regulation - 31 December 2014.
The Ministerial regulation has been in force since 27 January 2010.
See Also:
ILB No. 1298 2/2/2010 on Granting of Tax and Customs Facilities for Renewable Energy Resource Utilization.
ILB No. 1299 3/2/2010 on Fiscal Incentives for Oil, Gas, and Geothermal Exploration Activities.
At least on paper, a series of somewhat related regulations would suggest the government is serious about shifting away from the national dependence on non-renewable resources, particularly in the area of energy supplies. In order to stimulate and diversify the use non-oil fuels, Presidential Regulation No. 4 of 2010 assigned the State Electricity Company, or ‘PLN’, to accelerate the construction of renewable energy, oil, and gas power plants. That regulation also mandates that PLN spearhead the development of transmission infrastructure to efficiently distribute energy to end-users.
For a brief overview of the Presidential Regulation, see ILB No. 1279 15/1/2010.
Since the Presidential Regulation required a subsequent implementing regulation to elaborate the PLN mandate, the Minister of Energy and Mineral Resources issued Regulation No. 2 of 2010, which goes into further detail about the list of renewable energy, coal, and gas power plants for accelerated construction. In essence, it mandates the construction of roughly 90 new power plants and related transmission infrastructure. The Attachments of the Ministerial regulation specify which projects must be carried out solely by the PLN, and which sorts of projects can be public-private partnerships.
Although the regulation allows, and indeed requires cooperation with private sector contractors, no explicit regulation is provided regarding the tender process for state procurement contracts (notorious openings for korupsi and kolusi). Moreover, although both the Ministerial and Presidential regulations demand acceleration of construction, no explicit deadline is set for when the power plants and related infrastructure must be completed; one can only assume it relates to the expiry date for the Ministerial regulation - 31 December 2014.
The Ministerial regulation has been in force since 27 January 2010.
See Also:
ILB No. 1298 2/2/2010 on Granting of Tax and Customs Facilities for Renewable Energy Resource Utilization.
ILB No. 1299 3/2/2010 on Fiscal Incentives for Oil, Gas, and Geothermal Exploration Activities.
Ada Pertanyaan? Hubungi Kami 
Professional Solutions
University Solutions
Pro
My Workspace
Pro AI
Terfavorit
Allex QnA
Pro Compliance
