ESDM Regulation on Energy Management

ESDM Regulation No. 14 of 2012 (Regulation) regulates the steps and procedures a business must take in order to manage and conserve energy. It implements Government Regulation No. 70 of 2009 (Government Regulation) on Energy Conservation.

The Regulation imposes two types of obligation: Energy Management (Articles 3–11) and Energy Conservation or penghematan (Articles 12–13). Each obligation applies to both Energy Source Users and Energy Users (collectively Users), depending on their energy usage, measured in annual oil tonnage.

Energy Source Users refers to individuals, business entities, permanent business entities, Government institutions, and non-governmental organizations (NGO) utilizing “energy sources” (not defined) (Article 1 (3)).