Senin, Februari 20, 2023

Additional Central and Regional Government Authorities Within the Renewable Energy Subsector Introduced

Originally, Law No. 23 of 2014 on Regional Government, as amended several times, most recently through the issuance of Regulation of the Government in Lieu of Law No. 2 of 2022 on Job Creation (collectively referred to as "Law 23/2014"), stated that the renewable energy subsector, as a part of the energy and mineral resources sector ("Renewable Energy"), was the joint responsibility of both the central and regional governments ("Concurrent Authorities").
However, the government has now decided to introduce several new Concurrent Authorities that relate to Renewable Energy in addition to those originally set out under Law 23/2014 through the issuance of Regulation No. 11 of 2023 ("Regulation 11/2023"), which has been in force since 26 January 2023.
Regulation 11/2023 has now added seven new matters that relate to the central government’s portion of the overall authority over Renewable Energy, including: 1) Provision of recommendations in relation to geothermal business activities for direct use that are implemented within certain areas; 2) Management of interprovincial biomass and/or biogas (collectively referred to as "Bio-Commodities"); 3) Management of the utilization of interprovincial Bio-Commodities as fuel; and 4) Management of various forms of Renewable Energy; 5) Management of energy conservation ("Conservation") through business licenses issued by the central government. The above-described authorities will be included as part of the forthcoming National General Energy Plan (Rencana Umum Energi Nasional/RUEN).
Meanwhile, Regulation 11/2023 has also now added six additional authorities of provincial governments that relate to their overall authority over Renewable Energy, which include the following: 1) Management of Bio-Commodities within the relevant provinces; 2) Management of the utilization of intraprovincial Bio-Commodities as fuel; 3) Management of various forms of Renewable Energy within the relevant provinces; 4) Management of Conservation through business licenses that are issued by provincial governments; and 5) Implementation of Conservation through facilities and infrastructure that are managed by regional apparatuses within the energy and mineral resources sector. The above-described authorities will be included as part of the forthcoming Provincial General Energy Plan (Rencana Umum Energi Daerah - Provinsi/RUED-P).

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Originally, Law No. 23 of 2014 on Regional Government, as amended several times, most recently through the issuance of Regulation of the Government in Lieu of Law No. 2 of 2022 on Job Creation (collectively referred to as "Law 23/2014"), stated that the renewable energy subsector, as a part of the energy and mineral resources sector ("Renewable Energy"), was the joint responsibility of both the central and regional governments ("Concurrent Authorities").
However, the government has now decided to introduce several new Concurrent Authorities that relate to Renewable Energy in addition to those originally set out under Law 23/2014 through the issuance of Regulation No. 11 of 2023 ("Regulation 11/2023"), which has been in force since 26 January 2023.
Regulation 11/2023 has now added seven new matters that relate to the central government’s portion of the overall authority over Renewable Energy, including: 1) Provision of recommendations in relation to geothermal business activities for direct use that are implemented within certain areas; 2) Management of interprovincial biomass and/or biogas (collectively referred to as "Bio-Commodities"); 3) Management of the utilization of interprovincial Bio-Commodities as fuel; and 4) Management of various forms of Renewable Energy; 5) Management of energy conservation ("Conservation") through business licenses issued by the central government. The above-described authorities will be included as part of the forthcoming National General Energy Plan (Rencana Umum Energi Nasional/RUEN).
Meanwhile, Regulation 11/2023 has also now added six additional authorities of provincial governments that relate to their overall authority over Renewable Energy, which include the following: 1) Management of Bio-Commodities within the relevant provinces; 2) Management of the utilization of intraprovincial Bio-Commodities as fuel; 3) Management of various forms of Renewable Energy within the relevant provinces; 4) Management of Conservation through business licenses that are issued by provincial governments; and 5) Implementation of Conservation through facilities and infrastructure that are managed by regional apparatuses within the energy and mineral resources sector. The above-described authorities will be included as part of the forthcoming Provincial General Energy Plan (Rencana Umum Energi Daerah - Provinsi/RUED-P).

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