West Java's Cheapest Electricity Production Costs

Based on a release issued by the Ministry of Energy and Mineral Resources (ESDM), West Java and Banten have the lowest electricity generation cost (BPP) in Indonesia, at Rp 866 per kWh. DKI Jakarta and Central Java follow, with Rp 867 and Rp 868 per kWh respectively. These figures are lower than the national average.

The Ministry of Energy and Mineral Resources (ESDM) set the national BPP for PT Perusahaan Listrik Negara's power generation in 2016 at Rp 983 per kWh (US$ 7.39 cents/kWh). This is down by Rp 15/kWh from the previous year's Rp 998/kWh (US$ 7.45 cents/kWh).

This increasingly efficient power generation BPP is due to a reduction in the operation of oil-fueled diesel power plants (PLTD). Simultaneously, the use of energy mix in coal and gas power plants has become more optimal. Furthermore, electricity provision performance has also become more efficient.