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Indonesias current GHG emissions are dominated by landuse change, forest degradation and peat fires.
Energy sector emissions are rising rapidly, but opportunities
exist to slow this growth through low carbon development.
ADB in Indonesia
ADB has invested over $27
billion in Indonesia since 1966
Largest shares in cumulative
lending:
Energy (13%)
Finance (14%)
Agriculture and natural
resources (15%)
Public sector management
(19%)
Reached $1.2 billion in lending
operations in 2012 and about $1
billion in 2013
Lahendong
Ulumbu
Subproject 5 / 76 km line
(IsDB/PLN)
ADB
Strategic
Looking
Priorities
Forward:
2014
- 2020
ADB Indonesia
Sectors
Analytics and
Awareness
Holistic Support
for Energy
in Indonesia
Mainstreaming
Environment and
Climate
Considerations
Financing Green
Growth &
Sustainable
Infrastructure
Manila HQ
30 field offices
Key Sectors:
ADB Programs:
1. Improved street lighting and upgrading of
lighting in PLNs substations Select
cities in Java and Bali
2. Support for MEPS and related labeling
programs for select household
appliances.
Lessons Learned
Concessional funds alone are not enough need the
right enabling environment policies, government
commitment, inter-agency coordination etc.
Feed in tariffs are increasingly disfavored over ceiling
prices (preferably based on avoided costs) with auctions
(tendering)
In countries where cost recovery-based tariffs dont
exist, need to get the Ministry of Finance and the
government on board to support RE promotion
In cases where there is significant upfront risk or
uncertainty, use of public funds to prove resources,
enable transmission access etc. can help accelerate RE
promotion e.g geothermal energy
THANK YOU
www.adb.org
ptharakan@adb.org