Government to set up special electricity unit
Wednesday, December 23 2015 - 02:10 AM WIB
The government will set up a special unit assigned to purchase electricity from power plants fueled by new and renewable sources of energy in a bid to help accelerate the development of the sector, Bisnis Indonesia reported on Wednesday.
The paper quoted Minister of Energy and Mineral Resources Sudirman Said as saying that the planned unit will provide among others subsidy for new and renewable power plant projects amid the current drop in oil price, which has made many projects to become not economically feasible.
He said that despite the oil drop, the government must push the development of power plants based on new and renewable energy sources in a bid to help meet the country?s 2025 energy mix target, in which new and renewable energy sources account for 25 percent.
PLN has often rejected buying power from new and renewable energy-based power plants as the tariffs are considered pricey. (*)