4 - Miroslav DIjakovic - Opportunities and Challenges For Commercial Rooftop Solar PV PDF
4 - Miroslav DIjakovic - Opportunities and Challenges For Commercial Rooftop Solar PV PDF
4 - Miroslav DIjakovic - Opportunities and Challenges For Commercial Rooftop Solar PV PDF
• By 2040, Indonesia should install 28 GW of C&I and residential scale PV, up from
around 30MW in 2016. This is 50% of the total installed PV capacity in 2040..
• By 2040, 40% of the total installed rooftop PV capacity is in the residential sector
• Total PV generation rises from almost zero in 2016 to 11% in 2040, as both utility
and small-scale capacity grows. Small - scale PV reaches only 5% of the total
generation in 2040.
• Until 2031 PV (only) is expected to be the dominant product in the market, due to
the high costs of storage. However from 2031, the uptake of PV (with storage)
begins to gather pace, as storage prices fall and payback periods contract. Some
1.8GW/4.5GWh of battery storage is projected to be installed behind - the - meter
by 2040 representing only 15% of the total flexible capacity in the system
• MNCs globally committed to reduce CO2 emission and to go 100 renewable showing strong
interest for rooftop solar PV- not interest in savings
• Business owner which are not committed to be “green” looking into savings only
• Owning
- Large upfront capital investment, O&M, but more savings on the long term
vs 01
• Financing
- Operational lease, No capital investment, no maintenance, less savings long term
Current Challenges in C&I PV
• Payback period
- Still relatively long, 7-8 years
- For developers IRR is below 10%
- Low electricity tariffs
- Still relatively expensive EPC
• Financing
- High interest rates
- Bank reluctant to lend money to solar developers
• Regulations
- PPAs not allowed
- Operational lease limited to 100% domestic investment
- PV is not classified as industrial equipment (BKPM)
- Net Metering cannot be applied
- ESDM Regulation 1/2017 (Parallel Generation)
The Regulations
• Government and PLN’s understanding and support (to learn from international case
studies)
• You do not need to give us an incentives but do not penalize us for developing solar
projects, please!
Thank you
Miroslav Dijakovic
Director for Business Development - Indonesia
2/F L.P. Leviste Towers, 112 Legaspi,
Makati City, Philippines
Email: [email protected]
Telephone +632 7514645; +632 7506502
Mobile +62 83877756034