Geothermal Potential in Indonesia – We talk a lot about the potential in the world of business. But what is actually potential? The reality is that oftentimes, we misunderstood what potential, estimation, and other things we used as our expectations. This creates unnecessary missteps in our business.
So in this article, we want to understand more about the potential of geothermal energy in the Indonesian archipelago. We often heard that the Indonesian potential is ‘leading’, or ‘the top of the world’ but how does it really be when it is converted to some data?
In this piece, we will try to show you what scale and how useful is Indonesian potential of geothermal energy when being converted to some other value. This is to make us have better description of the industry and why should you invest in the Geothermal Potential in Indonesia.
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The Usage Potential
So when we begin explain the potential, the main thing for us to see is the usage potential. This would give us a clear understanding on how the potential actually translates to electricity and other usage in Indonesia itself. We would not count the exports because, it is obviously exist, but mainly we want to know the domestic use first.
So, when it got translated and converted to electricity, Geothermal Potential in Indonesia could generate at least 30.000 megawatts. The per-capita average of electricity usage in Indonesia is between 772 kwh, based on the PLN data. When converted well, we could at least generate power for twice the Jakarta city alone for a year.
This is a significant potential because Jakarta alone is one of the most populous and dense city in the world. Thus, the potential of the geothermal energy as the potential renewable king and main option in Indonesia should not be doubted.
That description of Geothermal Potential in Indonesia of course is not only about the electricity for resident houses but also to power the whole industrial complex from communications to the constructions. That is the potential that we are currently talking about. Power for megacities.
You should know that even though the main energy in Indonesia is still held by Coal, the renewables are being invested more and more and thus would help Indonesia to transition from primarily carbon energy into the more renewable energies led by the geothermal generated energy.
Also Read: Geothermal Energy Indonesia, Why Should You Invest in Here?
Technical and Industrial Potential
That’s what you can get in Indonesia – the Geothermal Potential in Indonesia is still big, driven and strong. The technical and industrial potential within the Indonesian archipelago also has yet to be saturated and hasn’t been carved by too many companies offering too many intricate schemes.
This is mainly because there has been a gate-keeping attempt by some ministries in Indonesia. The gate-keep in the form of many ban for ‘mining activities’ created limited space for private investors. It was the main thing that keeps the market limited for some time and developed slowly in some time.
But this isn’t a cynical move by the government to ban foreign investors – it’s because there has yet to exist, a law or several of them that would make the mining activities were environmentally safe and sound. Also, the potential of Geothermal Potential in Indonesia often connected to accessibility.
What we meant by accessibility is the supporting infrastructure that could help companies find ways, roads, bridges, and other things that would transport us to the site when doing an exploration. The construction of grids, plants, and other technical needs were slowly progressing.
Yes, Indonesia is an archipelago – the decades before hasn’t been good in building the whole regions equally. The information from the ministry of energy and mining could show that a lot of Geothermal Potential in Indonesia is resting underneath lands outside Java island – the primary governing region.
Thus, it would be a challenge in order to make this potential a reality – but currently, the government has shifted to a more pro-business and pro-investment perspective. Which led to more specific law being ratified in order to give assurance and ease for both domestic and foreign investors.
This marks a great potential where Indonesia is being opened for our investments. Some challenges such as the unclear land and agrarian law will cover and make sure the investors won’t be troubled, and the people whose land were being developed for Geothermal Potential in Indonesia being compensated.
Also, the ministry of forestry has recently changed it stance on the investment prospects. With certain supervision, some businesses that were doing explorations were often being categorized as ‘non-mining’ operations. This makes geothermal projects allowed in wider areas than before.
What makes this a potential? The thing to focus on is the ease of doing business and the openness of the government to make our investment in Geothermal Potential in Indonesia a reality. With less regulation, adequate supervision and also support in other forms, this is an opportunity not to be missed.
Because the administration might change, and the future presidential administration might not be as open as our current leaders. Thus, the window of opportunity exists. While the limitations of yesterday would make the current competitors less numerous – this is a gap you could exploit optimally.
The Importance of Local Strategic Partner
We have talked about the Geothermal Potential in Indonesia, mainly for you as an investor. But again, you would understand more about this, with deeper data and more comprehensive analysis from our experts in Proconsultofficial.com.
The experts in Proconsultofficial.com is the people you want to work with, these are people who have dive deep and have both hands on and macro perspective on the topic. They would provide you the most updated information, be with you in every tough decisions, and help you navigate the increasingly complex business and technical decisions.
So, now you know the potential – you should want to know more to get the holistic understanding about this issue before you take a step investing in the rich Geothermal Potential in Indonesia. Give Proconsultofficial.com a visit to get the best information and updates from the renewables in Indonesia.
Consulting Business? Contact Whatsapp +62 877-7180-0222