Energy from Biomass and Biogas in the Agroindustry Connecting to the Grid : Administrative and Technical Requirements For Grid Interconnection
Oleh Ir. Djoko Winarno MM, IPU Director of Renewable Energy & Primary Energy Indonesian Electrical Power Society Jakarta , May 20, 2013
Electricity Law 30, 2009 and MEMR Regulation No.4 , 2012 created nonutilyty small power program and industry...
INVESTMENT MECHANISM (Government Regulation No. 14/2012 on Activity of Electricity Provision Business)
Tender
• Basically, entire of power purchase by the holder of electricity provision business license conducted through Tender, except fulfill condition of Direct Selection and/or Direct Appointment.
Direct Selection
Direct Appointment
• In the frame of energy diversification for power generation to non oil fuel.
• Power purchase from power generation which utilize renewable energy, marginal gas, minemouth coal and other local energy sources;
• Addition of generation capacity on the power plant which has already operation in the same location, in terms of in the same location there are more than one of holder of electricity provision business license which is interested.
• Purchasing of excess power; • Local electricity system in the crisis condition or emergency of electricity supply; or. • Expansion of IPP which has already operation at the same location: o Capacity ≤ existing o Capacity > existing: − more efficient technology − environmental friendly − accordance with the requirement of local electricity system
Tata Cara Perizinan UPL ( Usaha Penyediaan Tenaga Listrik )
Tata Cara Perizinan UPL ( Usaha Penyediaan Tenaga Listrik )... Count
MINISTRY OF FINANCE REGULATION NUMBER 21/PMK.011/2010 Regulation of tax and customs facility for renewable energy resources utilization activities
FINANCIAL INSTRUMENTS SUPPORT
Income Tax
• Reduced net income for 30% of total investment • accelerated depreciation • Imposition of Income Tax on dividend p aid to Foreign Taxable at 10% • compensation for losses in certain circumstances
Value Added Tax
Exemptions of VAT for Taxable Goods, machinery and equipment for RE utilization (not included spare parts)
Import Duty
Exemptions for Import Duty of Goods and Machinery for development and capital investment Capital Goods Imports for construction and development of electricity industry
Tax Borne by Government
Regulated in State Annual Budget Law and its implementing regulations
MINISTRY OF FINANCE REGULATION NUMBER 130/PMK.011/2011 CONCERNING ON PROVISION OF EXEMPTION FACILITIES OR REDUCTION OF INCOME TAX
CORPORATE TAXPAYERS
can get facilities:
• PIONEER INDUSTRIES • Having a new investment plan min. IDR 1 trillion • Placing funds in the Indonesian banking min 10% from the total capital investment plan • Existed as ENTITY INDONESIA
EXEMPTION OR REDUCTION OF CORPORATE INCOME TAX EXEMPTION OF CORPORATE INCOME TAX 5 - 10 tax year
After the end of Corporate Income Tax exemption facility
• Industry of Basic Metals Manufacutre • Industry of Oil Refining and / or Basic Organic Chemicals sourced from Oil and Natural Gas • Industry of Machinery
REDUCTION OF CORPORATE INCOME TAX
• INDUSTRY OF RENEWABLE RESOURCES FIELD
50% of Income Tax Payable for 2 tax yearh
• Industry of Communications Equipment Minister of Finance may provide facilities Corporate Income Tax exemption or reduction for a period EXCEED predetermined period of time *)
The facility can be utilized if: 1. Had executed the entire capital investment 2. Has been produced commercially
PIONEER INDUSTRIES
COST OF PROVIDING PT PLN (PERSERO) YEAR 2011
3.500 3.279
di atas BPP Nasional 2.901
3.000
BPP rata-rata Rp 1.251 /kWh
2.606 2.618
2.500 2.284
2.359 2.393
2.152 2.000
di bawah BPP Nasional
1.813 1.709 1.616 1.504 1.517 1.525 1.536
1.500 1.251 971
1.109 1.021 1.035 1.054 1.057
1.000
500
0
BPP Nasional : Pembangkitan: Rp 1.033/kWh, TT: Rp 1.096/kWh, TM: Rp 1.162/kWh, TR: Rp 1.328/kWh
MEKANISME PENGEMBANGAN ENERGI TERBARUKAN
Calon Pengembang mengajukan proposal ke PLN
Pengembang mengajukan Permohonan IUKU Sementara
Pengajuan penjualan TL PLN setuju
PLN mengajukan persetujuan penunjukan langsung ke Menteri
Persetujuan penunjukan langsung oleh Menteri
Negosiasi harga jual beli Tenaga listrik dan Kesepakatan kontrak Note: *) Harga jual yang tidak melebihi ketentuan Permen 31/2009 tidak memerlukan persetujuan harga dari Menteri
Pengembang mengajukan Permohonan IUKU
Persetujuan Harga jual Listrik Oleh Menteri *)
Persetujuan Korporasi
Kontrak jual beli (PPA) Tenaga Listrik
Flow Chart Direct Appointment Method (1)
Flow Chart Direct Appointment Method (2)
Time Schedule Process PPA for Biomass Power Plant
TIMELINE PPA
Pokok – Pokok PPA (1) No
Subyek
PPA
1
Sifat PPA
Take-or-pay PPA, dengan opsi untuk membeli proyek pada akhir masa kontrak. Walaupun IPP mempunyai take-or-pay PPA contract, risiko off-taker PLN masih ada (non-payment risk, political risk)
2
Periode PPA
+ /- 25 tahun, tidak termasuk masa satu tahun untuk pencapaian financial close dan untuk pekerjaan konstruksi
3
Availability Factor
+ 80%, setelah Project COD + 50%, setelah Unit COD
4
PPA Tariff
Dalam rupiah, terdiri dari 5 komponen A: capital cost recovery B: biaya tetap O&M C: biaya bahan bakar D: biaya variabel O&M E: capital cost recovery untuk Special Facilities (jaringan transmisi dan GITET)
5
Project security
Escrow account sesudah PPA signing Bank Guarantee saat PPA signing Bank Guarantee II saat financial close
Pokok – Pokok PPA (2) No
Subyek
PPA
6
Pasokan batubara
Pengadaan oleh IPP dengan persetujuan PLN Harga batubara dipass-through ke PLN
7
Liquidated damage
Denda keterlambatan COD di-cap
8
Grace period on FM
2 + 7 hari (selama operasi) 48 jam (untuk net dependable capacity test)
9
Pengadaan lahan
Dilakukan oleh IPP, PLN membantu koordinasi dan sosialisasi dengan masyarakat dan pemerintah daerah
10
Deemed Commissioning
Natural FM pada PLN atau political FM pada IPP dan PLN yang mengganggu commissioning diperlakukan sebagai deemed commissioning
11
Deemed Dispatch
Natural FM pada PLN atau political FM pada IPP dan PLN yang menggangu operasi diperlakukan sebagai deemed dispatch
12
Termination Right
PLN Event of default dan prolonged political FM memberikan IPP Termination Right. Rumus: net present value dari pembayaran komponen A dan E plus outstanding debt and interest plus EPC termination cost
INVESTMENT LICENSE
INVESTMENT LICENSE .... Count
CRITICAL ISSUES : CURRENT EXPERIENCES
CRITICAL ISSUES : CURRENT EXPERIENCES
CRITICAL ISSUES : CURRENT EXPERIENCES
THANK YOU
JS Luwansa Hotel & Convention Centre Jl. HR. Rasuna Said Kav. C 22, Kuningan Jakarta, Indonesia
ATTACHMENT
