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The Role of Battery Energy Storage Systems and Market Integration in Indonesia’s Zero Emission Vision

In: Large-Scale Development of Renewables in the ASEAN

Author

Listed:
  • Pramudya

    (Ministry of Energy and Mineral Resources)

  • Muhammad Indra al Irsyad

    (Delft University of Technology
    National Research and Innovation Agency)

  • Han Phoumin

    (Economic Research Institute for ASEAN and East Asia (ERIA))

  • Rabindra Nepal

    (University of Wollongong)

Abstract

Indonesia has committed to achieving net zero emissions by 2060, with emphasis on the electricity sector eliminating harmful gas emissions by that year. Using the Balmorel energy model, this study simulated the impact of the target on optimal capacity expansion, electricity production mix, emissions, and electricity supply costs across 230 grid systems. The results indicate the substantial benefits of integrating solar photovoltaics (PV) and Battery Energy Storage Systems (BESS). Solar energy sees a remarkable capacity increase, reaching 288.7 GWp by 2060. Other renewable sources, including hydro and wind energies, also exhibited significant growth, increasing from 6.2 GW and 130 MW in 2030 to 29.4 GW and 22.5 GW, respectively, by 2060. Intermittent renewables’ growth necessitates a rise in BESS capacity from 1 MW in 2022 to 73.4 GW by 2060. The study also underscores to replace phased-out coal-fired power plants with nuclear power by 2060. The study concludes with policy implications arising from these findings.

Suggested Citation

  • Pramudya & Muhammad Indra al Irsyad & Han Phoumin & Rabindra Nepal, 2024. "The Role of Battery Energy Storage Systems and Market Integration in Indonesia’s Zero Emission Vision," Economics, Law, and Institutions in Asia Pacific, in: Han Phoumin & Rabindra Nepal & Fukunari Kimura & Farhad Taghizadeh-Hesary (ed.), Large-Scale Development of Renewables in the ASEAN, chapter 0, pages 121-143, Springer.
    • Handle: RePEc:spr:eclchp:978-981-99-8239-4_6
    DOI: 10.1007/978-981-99-8239-4_6
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