Yesterday afternoon The Indonesian General Director Mr. Rida Mulyana of Ministry of Energy, the Danish Minister of Energy Mr. Lars Christian Lilleholt have signed an Energy Cooperation MoU between Indonesia and Denmark.
Transition processes are long hard hauls. Especially in the energy sector which is capital intensive and the projects and infrastructure have long live span and little flexibility. Denmark which is a pioneer in Renewable Energy and smart grid has been in a transition and development process during the last four decades.
Indonesia want to add 35Gw capacity by 2019. Most of these will be from fossil fuel others from a range of Renewable sources as wind, biomass, geothermal, solar. The aim is to reach 23% Renewable Energy by 2025.
It is a challenge to manage the load balance in the grid. On windy days 99% of the Danish electricity is generated by wind turbines and it is being perfectly managed. Lots of money has been spent but also lots of learning has been achieved and an efficient smart grid has been developed. This learning and experience will now be distributed to ease Indonesia’s transition process.
Debunk a Myth
It is often said we have to choose between economic growth the environment. However, that is not true. The truth is:
Denmark has experienced an economic growth of 38 percent since 1990 without increasing its energy consumption while at the same time reducing emission of greenhouse gasses by 25 percent, thanks to energy efficiency and new technology.
Green and renewable energy is getting increasingly more and more important. Many companies demand access to green energy to establish new facilities. Therefore it is getting essential for countries and municipalities to attracts new jobs and activities.