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Power Wheeling in Indonesia's Electricity System

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Power Wheeling in Indonesia's Electricity System

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Questions and Answers

Why is implementing the power wheeling mechanism difficult in Indonesia?

The national electricity industry has tight integration controlled by PT PLN. (correct)

There is no interest from private power producers in utilizing the mechanism.

The cost of electricity production is already very low in Indonesia.

The government prohibits the use of private power producers for electricity transmission.

What is one of the main challenges associated with implementing power wheeling in Indonesia?

Low demand for electricity in the country.

The existing rigid structure of the electricity industry. (correct)

New players find it easy to penetrate the market.

Lack of interest from private power producers.

How does the power wheeling mechanism affect investment in renewable energy?

It discourages investment due to high transmission costs.

It has no impact on investment in renewable energy.

It increases the attractiveness of investment in renewable energy. (correct)

It only benefits state-owned power producers.

What is one projected benefit of implementing power wheeling in Indonesia?

Enhancing investment opportunities in renewable energy. Signup and view all the answers

What makes it difficult for new players to enter the electricity market in Indonesia?

The rigid structure of the industry controlled by PT PLN. Signup and view all the answers

Why is power wheeling considered a contentious topic during deliberations on the New and Renewable Energy Bill?

It challenges the existing structure of the national electricity industry. Signup and view all the answers

What is a key advantage of the power wheeling mechanism mentioned in the text?

Enabling high-voltage consumers to purchase electricity directly from IPPs Signup and view all the answers

Why is the PPA aspect of power wheeling important for prospective renewable energy investors?

It provides a pathway for direct transactions with IPPs for renewable electricity Signup and view all the answers

What is the RE100 initiative's goal related to renewable electricity commitment by 2050?

100 percent renewable electricity usage Signup and view all the answers

According to proponents in Indonesia, under what article of the Government Regulation is power wheeling implementation viable?

Article 4 Signup and view all the answers

What is the significance of the principle of open access mentioned in relation to power wheeling?

Allowing consumers to transact directly with IPPs through a rental mechanism Signup and view all the answers

How does power wheeling benefit large corporations participating in the RE100 initiative?

By making it easier for them to get electricity from renewable sources using power wheeling Signup and view all the answers