The government has set the electricity prices for city waste-fired power plants at around 12 to 14 US cents per Kilowatt-hour (kWh) in order to attract more investors to renewable energy development.
“I have set the prices for city waste-fired power generators at between 12 and 14 US cents per kWh,” Energy and Mineral Resources Minister Jero Wacik told a press conference after the opening of the Indonesia Renewable Energy and Energy Conservation Conference and Exhibition, which was held at the Jakarta Convention Center (JCC) on Tuesday.
He said the only thing left to do now was to sign the paperwork for the new pricing regulation, which is referred to as a feed-in tariff.
“I think investors can now start to calculate [the value of their investment] given the certainty of prices that we have set,” he said.
Earlier last week, the government had announced that it would soon be issuing the new pricing regulation for the city’s waste-fired power plants with price estimates of between 6.36 US cents per Kilowatt and 10.2 US cents.
According to the minister, the government decided to set the price slightly higher from its initial plan due to the fact that the city’s waste could serve other uses besides generating electricity, such as helping to improve the environmental quality of life in big cities.
