With a guaranteed feed in tariff and price hike in our favour, this changes the whole dynamics of the pay back time of the plants.
this is what im speculating based on what i read and is completely my oppinion only.
great article!
May 21, 2012 Geothermal Price Rules Published in June Monday, May 21, 2012 | 17:01
JAKARTA-The Ministry of Energy and Mineral Resources will issue a ministerial regulation on the price or "feed-in tariff" geothermal in June 2012.
Director General of Renewable Energy and Energy Conservation of Ministry of Energy Kardaya Warnika during a hearing with Commission VII of DPR in Jakarta, Monday (21/5), said today it has completed the review of these rules.
"In June it expected to have risen candy," he said.
According to him, according to the price of geothermal candy will be set between 9-15 cents per kWh depending on the region.
Geothermal prices are set by the government is obliged to buy PT PLN (Persero).
"However, with the condition, the project has been in operation after the seven years since the contract was signed. Through it, the price does not apply," he said.
Determination of seven years with no consideration of the geothermal project that despite 15 years running, has not completed its exploration.
Kardaya said, pricing considerations "feed-in tariff" that geothermal energy, among others, the availability of local energy resources, the cost of providing basic local electricity and heat development costs earth.
Another reason is the carrying capacity of geothermal as clean energy, geography-related factors such as regional tourism, and as an energy source that can not be exported and transported or can only be used in place.
According to him, the rule "feed-in tariff" contract applies to new or additional capacity on a long project.
For the old contract, he added, could be referring to the new candy, but must be mutually agreed PLN.
Kardaya also said the candy "feed-in tariff" that would reduce the uncertainty of geothermal development is particularly relevant for the price.
In the previous candy, set a maximum price of geothermal 9.7 cents per kWh.
"However, the price of 9.7 cents on the dollar is still to be negotiated, so it takes a long time and cause uncertainty," he said.
Government targets, the utilization of geothermal energy will increase the current capacity of 1226 MW to 3516 in early 2015. (Ant / HRB)
