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In 2015, the share of new and renewable energy (NRE) in Indonesia reached 6.2 percent. This figure showed a slight decrease compared to the previous year. However, cumulatively, since 2010, the use of new and renewable energy has increased by an average of 0.36 percent annually. The development of NRE is focused on the construction of hydroelectric power plants, geothermal power plants, solar and micro-hydro power plants, and bioenergy power plants.
The Ministry of Energy and Mineral Resources (ESDM), through the Directorate General of New, Renewable Energy and Energy Conservation (EBTKE), continues to make various efforts in developing renewable energy. This is because the government targets a renewable energy mix of 23 percent by 2025.
The slow utilization of NRE as a source of electricity domestically is due to the relatively high cost of electricity produced from NRE-based power plants. The government also initiated a subsidy for NRE in the 2017 State Budget (APBN) of Rp 1.3 trillion. This subsidy is necessary because the price of NRE is currently still relatively expensive compared to fossil fuels.
"Disclosure: This is an AI-generated translation of the original article. We strive for accuracy,
but please note that automated translations may contain errors or slight inconsistencies."