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Sunday, July 22, 2012

Cool Govt raises prices for geothermal power plants to lure investors

Geothermal Power as Alternative Energy


Govt raises prices for geothermal power plants to lure investors
We should do everything possible to develop geothermal energy technologies.
There is criticism of the exploitation of geothermal energy, its large on the scale that should be implemented to prevent it. The fact that geothermal energy is the energy of the earth itself only means there are no pollutants. Geothermal energy is extremely efficient, the efforts needed to channel it are minimal after a site is found and a plant is established. Geothermal energy would be in the end, very cheap, after investigation and power plant construction costs are recouped.

The government has finally lifted the feed-in tariff for geothermal power plants from 10 to 17 U.S. cents per kilowatt hour (kWh) of 9.7 cents per kWh in order to attract more investors enter the geothermal business.

Energy and Mineral Resources Minister Jero Wacik said on Tuesday, the feed-in tariff or the purchase price of the state electricity company PLN for geothermal power plants has been increased to attract more investors to tap into the land of rich geothermal resource.

 "If we are to [the geothermal price] for only 9 cents, this means the price is only one-fifth of the price of electricity from fuel-fired energy," he told journalists after the opening of the Indonesian Renewable Energy and Energy Conservation Conference and Exhibition that the Jakarta Convention Center (JCC) was held on Tuesday.

For a comparison, the current price for fuel-fired power plants between 35 to 45 cents per kWh.

"The new prices will vary from region to region, where are the power plants.
On the same occasion, the ministry said the general director of renewable energy and energy conservation, Kardaya Warnika, the government to generate additional intended 4000-5000 megawatts (MW) of geothermal power plants between 2014 and 2015.

In addition to the setting of the geothermal price, the government has the power prices for urban waste from coal-fired power plants put in about 12 to 14 cents per kWh, much higher than the original plan.



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