Jonan Calls for Competitive Price for New, Renewable Energy

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  • Minister Energy and Minertal Resources (ESDM) Ignasius Jonan during inauguration in state palace, Jakarta, Oct. 14, 2016. Tempo/ Aditia Noviansyah

    Minister Energy and Minertal Resources (ESDM) Ignasius Jonan during inauguration in state palace, Jakarta, Oct. 14, 2016. Tempo/ Aditia Noviansyah

    TEMPO.CO, Jakarta - Energy and Mineral Resources Minister Ignasius Jonan has called for competitive prices for new and renewable energy with those for electricity generated from fossil fuel.

    "The government supports energy fuel mix in a bid to address climate change issues. However, the price must be affordable," Jonan said in a discussion held by Tempo Media Group in Jakarta on Wednesday, December 21, 2016.

    The energy fuel mix portion in 2025 for new and renewable energy has been set at 3 percent. In addition, fuel oil will account for 25 percent of the total energy fuel mix. Coal and gas are targeted to account for 25 percent and 30 percent, respectively, of the total energy fuel mix.  

    Jonan disagreed that the energy fuel mix would be realized at any price. According to Jonan, prices for new and renewable energy must be competitive and affordable.

    Jonan revealed that the development of new and renewable energy would not need incentives. For Jonan, new and renewable energy would be attractive if the price was competitive.

    "We need to set a competitive price. Buyers will come," Jonan said.

    DIKO OKTARA