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A Lesson of Solar Energy Development in Malaysia and Indonesia

Eko Adhi Setiawan, Mufty Putratama Sumarto and Mohamad Zhafran Hussin
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Eko Adhi Setiawan: Tropical Renewable Energy Center, Faculty of Engineering, Universitas Indonesia, Kampus UI, Depok 16424, Indonesia; & Energy System Engineering, Faculty of Engineering, University of Indonesia, Kampus UI Depok, Depok 16424, Indonesia
Mufty Putratama Sumarto: Electrical Engineering, Faculty of Engineering, University of Indonesia, Kampus UI Depok, Depok 16424, Indonesia
Mohamad Zhafran Hussin: School of Electrical Engineering, College of Engineering, Universiti Teknologi MARA, Cawangan Johor, Kampus Pasir Gudang, 81750 Masai, Johor, Malaysia

International Journal of Energy Economics and Policy, 2024, vol. 14, issue 1, 401-411

Abstract: To address environmental issues, Indonesia aims to achieve a 23% renewable energy share by 2025 and 31% by 2050. According to National Energy Plan (RUEN), the target for solar energy installed capacity is 6.5 GW by 2025 and 45 GW by 2050. Looking at one of Indonesia neighboring country, Malaysia, have a significant growth on solar energy as a result from their policy framework, role of national electricity company, and the PV industry condition. Therefore, this paper will be projecting Indonesia's progress on solar energy target in RUEN using Malaysia's approach Tenaga Nasional Berhad (TNB) initiatives and using Business as Usual (BAU) scheme, in which the result shows that achievement on RUEN target still below 22% for both schemes.

Keywords: Solar Energy; National Energy Plan (RUEN); Policy Framework; National Electricity Company; PV Industry (search for similar items in EconPapers)
JEL-codes: Q01 Q20 Q48 (search for similar items in EconPapers)
Date: 2024
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