In Indonesia, the use of fossil-based energy is still dominating while its availability decreases from year to year. Therefore, the government through National Energy Board formulates various policies, including National Energy Policy and National Energy Plan to realize sustainable energy defense, self-sufficiency, and sovereignty.
Ir. Tumiran, M.Eng., Ph.D., one of the National Energy Board members, said national energy issues have to be clarified by various parties because most of the energy supplies in Indonesia is fulfilled by import.
“We have been importing much fossil fuel while our production does not increase and stays at around 800 thousand barrels per day. However, our need reaches 1.6 million barrels per day,” said Ir. Tumiran in Energy Study Centre UGM on Wednesday (19/4) towards a National Discussion on Energy Policy.
According to Tumiran, not all of the 800 thousand barrels are produced by the government because most of it is used for cost recovery. The government only has 55-60 percent of 800 thousand barrels per day or equals to 400 thousand barrels per day.
Therefore, we have to import up to 1 million barrels per day to fulfill our need. The import consists of oil, fossil fuel, and crude oil. If the price of oil is USD 100 per barrel, the government should spend USD 100 million per day to pay the import.
“It reaches USD 36 billion for importing oil in a year. If USD 1 equals to IDR 14 thousand, the government should spend up to IDR 500 trillion a year. It is too difficult to get those amount of foreign exchange. Therefore, we need to implement fossil fuel policy as soon as possible,” he explained.
There are many ways to reduce or restrict the use of fossil-based energy such as energy efficiency and conservation by using energy-saving cars or motorcycles.
The direction of energy policy has been stated in the National Energy Plan Policy. In the future, the transportation sector will not only depend on fossil-fuel-based transportation, but also electric-based transportation, electric motorcycle, and double injection cars using gas and fuel,” he added.
Dr. Deendarlianto, S.T., M.Eng., the Head of Energy Study Centre UGM, said various regulations regarding national energy policy have already existed, including National Energy Plan which is the derivative of Government Decree Number 79 in 2014 about National Energy Policy.
“It means Indonesia already has targets for energy development and energy policy. The most recent policies are President Decree Number 22 in 2017 about National Energy Plan and Government Decree Number 79 in 2014 which states that each region is required to formulate the Regional Energy Plan referring to the National Energy Plan,” said Deendarlianto.
Unfortunately, Indonesia has 34 provinces with different energy potency, human resource capacity, and geographic condition which become a challenge for each region.
“Therefore, Energy Study Centre UGM initiates to discuss this issue in order to reach synergy and harmony between National and Regional Energy Plan,” he added.
The National Discussion on Energy Policy will be held by Energy Study Centre UGM, collaborating with Capacity Building and Cooperation Centre as well as Research Centre for Politics and Government at Faculty of Social and Political Sciences UGM. The discussion entitled Realizing the Harmony between National and Regional Energy Plan will be held from April 25 until 26, 2017, at Senate Hall UGM.
Besides Vice Minister of Ministry of Energy and Mineral Resources, Archandra Tahar, Ph.D., as the keynote speaker, the discussion will also present the General Directorate of Regional Development Ministry of Internal Affairs, Satya Widya Yudha (Vice Chairman of Commission III in Parliament), Ir. Tumiran, M.Eng., Ph.D., Josaphat Rizal Primana (Ministry of National Development Planning), Pandri Prabono (Oil and Gas Supporting Business Association), Dr. Deendarlianto, S.T., M.Eng., and Dr. Cornelis Lay (Lecturer and Senior Researcher at Faculty of Social Science and Political Sciences UGM).