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Indonesia experiences frequent blackouts due to increasing demand. Electricity tariffs for Industrial & Commercial customers are rising at an average of 7% per year, pushing up companies' costs.

Indonesia’s C&I tariffs are steadily rising, pushing up companies’ costs�

Installed Power Capacity (2016)

Electricity tariffs evolution (C&I)

  • The generation mix driven by coal and gas, followed by oil.
  • C&I customers represent 56% of total demand.
  • With frequent outages, the government wants new capacity added (coal and renewables mainly).

Electricity Prices, Industrial Users

Government Lead Initiatives:

  • Electricity tariffs for I&C customers (I4 & I3 respectively) surged by 7.14% and 7.57% per year on average in the past 18 years.
  • The government intends to reduce the subsidy by 10%/year, which will lead to further tariff increases.


Government Lead Initiatives:

  • Government Lead Initiatives
    • RES targets: 19% by 2019, 23% by 2025 and 31% by 2050 • Planned additional capacity of RES by 2025: 5,7 GW •
    • Committing to cut greenhouse gas (GHG) emissions by 29% by 2030 compared to a business-as-usual (BAU) scenario. There is also an interim target of 26% of reduction by 2020 compare to the BAU.
  • Implementation

Project Reference