Building Markets for Sustainable Cooling Technology in Indonesia​

Energy efficiency is considered the ‘first fuel’ because it is the cheapest and cleanest option available to countries looking to transition away from their dependency on fossil fuels and to achieve the goals of the Paris Agreement on climate change. Improving the efficiency for heating and cooling buildings is one of the most effective ways to

General Overview on Energy Efficiency Efforts in Indonesia

By: Rana Yusuf Nasir, Chairman of MASKEEI Board of Experts

Following are the general overview about energy efficiency movement in Indonesia from energy condition, regulation, initiatives in energy efficiency especially for building sector. There is also a study done by a German institution which give more clear response from banking and companies to the energy efficiency idea or potentials

This articles only covers the Building Sector, other Sectors will be covered by my colleague’s

A. General Energy Condition of Indonesia:

National energy conditions in Indonesia have shown a better improvement in the last few years. This can be seen from the graph of energy intensity and energy consumption per capita.

Energy intensity increased from approx. 5 in 2000 and improved to be less than 2 in 2017.

Even though the Final Energy Consumption per Capita showed an increased from 2.51 in 2000 to 3.54 in 2017.

Electrification ratio also improved from 84,4% in 2010 to 95,35% at the end of 2017.

Energy consumption distribution as shown on the below table based on statistical data from 2017 :

Energy Consumptiion (Thousand BOE)

Final Energy Consumption1,233,994100.0%

B. Government Regulation

B1. Government Decree No. 70/2009:

Regulates the role of Government / Local Governments in energy conservation efforts:

  • Users who use ≥6,000 TOE / year energy to implement energy management;
  • No building passed the criteria. The baseline (6000 TOE) is being reviewed and recommended to be smaller number, proposed to 500 TOE
  • Labels and energy-efficient standards for household appliances;
  • This Decree is under being revised and expected to more appropriate for energy efficiency movement in the country.

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