Demand for energy, especially electricity, is undoubtedly growing and electrical power is an integral part of most people’s daily needs. However, demand for power across Indonesia is currently outstripping supply. Indeed, demand for oil in the country increased from 79 million tons per year in 2003 to 134 million tons in 2013, which represents a hike of 5.5% per annum.[1] Moreover, this demand is projected to increase to 587 million tons by 2030.[2]
 
With 96% of power plants across Indonesia being fired by fossil fuels,[3] which are obviously being depleted year on year, new alternative and renewable sources electrical energy will have an increasing role to play in Indonesia’s energy security, be it geothermal, hydroelectric, biomass, wind, or even nuclear-based energy.
 
Indonesia has a huge potential supply of new and renewable energy at its disposal however. Specifically 450 megawatts of hydroelectric power, 50 gigawatts of biomass power, 4.80 kilowatt/hour/m²/day of solar power delivered through solar panels, 3-6 meters/second of wind power, and 3 gigawatts of nuclear energy will all have their part to play in Indonesia’s energy future.
 
Existing power-plant projects, such as the geothermal power plants located in Sibayak in North Sumatra and Salak in West Java, and the hydroelectric power plants located in Singkarak in West Sumatra’s and Larona in South Sulawesi, as well as the wind farm located in Samas in Bantul are but a handful of examples of the kinds of power plants that Indonesia can utilize in order to generate electricity from new and renewable sources.
 
Unfortunately however, demand for electricity currently remains far greater than the amount that state power company (PT Perusahaan Listrik Negara – “PLN”) is able to supply. Indeed, some 87.69 million people across the country still do not have access to electricity,[4] be it due to geographical factors such as being located in remote areas, PLN’s limited financing capabilities or several other issues which are presently hampering the fair and equitable distribution of electricity at a national scale.