Environment Energy

1. Environmental Impact of
Energy Transition in Indonesia
Anjar Priandoyo
aap519 @york.ac.uk

2. • Meeting point of Eurasian Plate and Australian Plate
• 17,000+ Islands, 200+ Active Volcanoes, 40% World Geothermal Resources
• #3 Largest Tropical Rainforest, #2 Exporter of Coal & Palm Oil, OPEC Member
• #4 Largest Population, Developing Countries, GDP Per Capita $ 3,500, Largest Muslim Country
Where is Indonesia ?

3. Introduction
UNDERSTANDING ENERGY TRANSITION IS IMPORTANT
• Indonesia is a country with unsustainable energy
development. It is indicated by large dependency of fossil fuel
such as coal and oil, massive exploitation of natural resources
such as palm oil and use of traditional biomass fuel.
• Indonesia is one of largest emitter of air pollutants in Asia.
High rates of emissions are expected from intensive energy
related activities and biomass open burning including forest
fires.
• Unsustainable energy development is one of the biggest
contributor of air pollution in Indonesia. Clean energy
transition is required to ensure sustainable energy
development

4. The Complexity of Transition
FIRST AND BEST DOES NOT ALWAYS WIN THE RACE
Fuel Status Year Size
LPG Success 2007-
2010
50 million HH
Coal
Briquettes
Fail 2006-
2007
1 million HH
Palm Oil Success 2010-
2014
2 Mton (7% palm
oil production), 7
Million vehicles
Jatropha
curcas
Fail 2006-
2008
< 0.1 Mton, Japan
planted since 1942
Sugar
Cane
Fail 2006-
2008
<2 Mton
Households
Transports

5. The Complexity of Transition
LARGE SCALE TRANSITION IS UNPREDICTABLE
In 1900, Indonesia’s main energy source is coal which accounted for 70% of energy mix.
By 1960, oil which 70% of energy mix and as of 2010, Oil accounted for 52% Gas 29%,
Coal 15%, Renewable 5%
Transition Kerosene to LPG Biodiesel Geothermal Coal
Timeframe 2007-2010 2010-2014 1980-2010 1989-1999
Market or
Sector
Urban and Rural
Households
Transportation Electricity
National Energy
Supply
Annual
Growth Rate
401% 92% 7.83% 30%
Main
Factors
Increased Oil Price
Declining Palm Oil
Price, Increased Oil
Price
Market
Liberalization,
Increased Oil Price
Commodity Boom,
Electrification
Program

6. Ring of Fire
2004 Indonesia 9.2 SR Tsunami (160,000 deaths)
Tsunami affecting 0.3% Indonesian GDP
2006 Jogjakarta Earthquake (5,600 deaths)
200+ volcano, 40+ active volcano

7. 1992, 1997, 2002, 2014 Forest Fire
2.5 Million Hectare Size Forest Fire
CO2 15.95 Mt CO2/day Emission
$15.72bn; £10.5bn (1.9% Indonesian GDP)
1997 Forest Fires release 2.57 Gt Carbon (Nature)

8. • The 1997-1998 El Nino prompted the burning of 9.7 million hectare of forests and cost Indonesia
approximately US$9 billion. During the El Nino event, over 2 million hectares of peat swamp forests
were burned. Estimated 0.81 and 2.57 gigatonnes (Gt) Co2 is released
• In 2015, affected 31 million ha, estimated 1 giga ton Co2
El-Nino and Forest Fire

9. Research Objective
A COMBINATION OF QUANTITATIVE AND QUALITATIVE APPROACH IS
PERFORMED TO UNDERSTAND THE IMPACT OF ENERGY TRANSITION
• Develop the emission inventory as the basis of environmental
impact of energy transition. The focus of emission inventory
would be on Short-Lived Climate Pollutants (SLCP).
• Identify the enablers and obstacle of energy transition in
Indonesia. A qualitative analysis using semi-structured
interview is used.
• Determine the wider health and environmental impacts
resulting from energy transition from the use of renewable
energy or clean energy sources. The analysis is performed
using Long-range Energy Alternative Planning (LEAP).

10. Semi Structured Interview
TO IDENTIFY ENABLERS AND OBSTACLE OF TRANSITION
No Group Institution Respondent
1 Private Sector Indonesian Energy State Owned Company
Indonesia SOE - EPC Engineering Company
3
2 Private Sector Multinational Energy Company
Multinational Bank
3
3 Private Sector Energy Consultant
Management Consultant
5
4 NGO - Energy International Energy & Environment NGO
Indonesian Energy NGO
5
5 NGO - Researcher Indonesian University
Indonesian Research Institution
5
6 Government - Energy Ministry of Energy 2
7 Government - Finance Ministry of Finance 6
8 Regional Government Regional Government 5

11. Emission Inventories
THE BASIS OF ENVIRONMENTAL IMPACT
No Sectors
1 Combustion in the Energy Industries
2 Combustion in Manufacturing Industries
3 Transport
4 Combustion in Other Sectors
5 Fugitive emissions (non-combustion) for fuels
6 Industrial processes (non-combustion) emissions
7 Solvent and other product use
8 Agriculture
9 Vegetation fires and Forestry
10 Waste
No Area
1 Brick kilns
2 Coke production technology split
3 Oil production data
4 Methane from coal mining
5 Road transport
6 Residential biomass fuel consumption
7 Crop residue open-burning
8 Rice cultivation
9 Solid waste incineration by open burning
10 Municipal solid waste in landfill
11 Domestic wastewater treatment and discharge

12. Long Term Energy Planning
WHAT IS THE OPTIMAL ENERGY SCENARIO FOR INDONESIA
Emission
Inventories
Scenario
Analysis
Scenario
Development
Clean Energy Transition
Renewable Energy Transition
Alternative Energy Transition
Basic Services Development

13. Field Work
“….Indonesia producing 1.2 billion
traditional bricks annually (2013).
Rice husks and wood is main fuel
that used to cook bricks. A bricks
can be cooked up to 7 days…”
Location: Cirebon, West Java November 2016

14. Field Work
“….Traditional lime production
in Indonesia. Natural gas is used
for fuel in lime processing…”
Location: Cirebon, West Java November
2016

15. Thank You

16. Wind and Solar Map

17. • Java Island is 30% smaller than Great Britain
• 150+ million population (from total 250+ mill)
18+ active volcano (from total 200+ volcano)
Java Island