The Roles of Indonesian Geothermal Association (INAGA) in the Implementation of Power Sector Restructuring in Indonesia

Abstract

Indonesia has the largest resources of geothermal energy in the world, amounting to approximately 20,000 to 30,000 megawatts. Over the last five-year, a number of geothermal electricity generation plants have been built by private enterprises, adding total installed capacity of approximately 525 megawatts to date. There was approximately 1,200 megawatts of new geothermal power plant capacity planned up to year 2003 in six locations in Indonesia. The Government of Indonesia has launched a Power Sector Restructuring Policy aimed at creating competitive electricity market commencing by year 2004. The vision behind the policy is to create a power sector, which is able to grow rapidly, provides high quality and efficient electricity supply for the benefit of consumers, and be financially independent and self-reliant. This paper discusses the role of The Indonesian Geothermal Association (INAGA) in the implementation of Indonesia Power Sector Restructuring. INAGA believes that this power reform creates many opportunities for geothermal industry in Indonesia. INAGAís vision is to make geothermal resources become energy of choice in the expanding Indonesia energy market by virtue of its natural environmental benefits and its potential opportunities to add value in support of Indonesiaís sustainable national development. The mission is our focal point in the development of national goals and realize important opportunities in three areas: enhancing energy security; strengthening economic competitiveness; and addressing concerns on environment.