Proceedings of the Conference Towards ASEAN Chairmanship 2023 (T-A-C 23 2021)

Financial and Economic Viability of Pumped Storage to Strengthen the VRE Development in Indonesia

Authors
Kahhar Hawari1, *, Phaik Nie Chin2, Ahmad Danu Prasetyo3
1PT PLN (Persero)
2Graduate School of Business, Universiti Sains Malaysia
3School of Business and Management, Institut Teknologi Bandung
*Corresponding author. Email: kahhar_hawari@sbm-itb.ac.id
Corresponding Author
Kahhar Hawari
Available Online 7 December 2021.
DOI
https://doi.org/10.2991/aebmr.k.211207.028How to use a DOI?
Keywords
Pumped Storage; Environmental Economics; Renewable Energy; Cost-Benefit Analysis
Abstract

Pumped Storage Power Plant (PSP) is a new technology in Indonesia and will be installed to provide peak power to the grid. The existing power plant used by Perusahaan Listrik Negara (PLN) to provide this peaking power in Java-Bali Grid system is Gas Fired Power Plant (GFP) that uses Compressed Natural Gas (CNG) fuel to generate electricity. The purpose of this study is to evaluate the viability of PSP to displace GFP in economic and financial terms with selected cases from Upper Cisokan and Matenggeng. Three different approaches were performed to unfold the economic viability of PSP projects from long-term, mid-term, and classical simplified economic analysis with avoided cost models. The results show that the project is viable for all the analysed cases. These results support PLN’s objective to absorb variable renewable power generation in an environmentally sustainable way and strengthen PLN capacity to support the development of new renewable energy.

Copyright
© 2021 The Authors. Published by Atlantis Press International B.V.
Open Access
This is an open access article under the CC BY-NC license.

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Volume Title
Proceedings of the Conference Towards ASEAN Chairmanship 2023 (T-A-C 23 2021)
Series
Advances in Economics, Business and Management Research
Publication Date
7 December 2021
ISBN
978-94-6239-478-0
ISSN
2352-5428
DOI
https://doi.org/10.2991/aebmr.k.211207.028How to use a DOI?
Copyright
© 2021 The Authors. Published by Atlantis Press International B.V.
Open Access
This is an open access article under the CC BY-NC license.

Cite this article

TY  - CONF
AU  - Kahhar Hawari
AU  - Phaik Nie Chin
AU  - Ahmad Danu Prasetyo
PY  - 2021
DA  - 2021/12/07
TI  - Financial and Economic Viability of Pumped Storage to Strengthen the VRE Development in Indonesia
BT  - Proceedings of the Conference Towards ASEAN Chairmanship 2023 (T-A-C 23 2021)
PB  - Atlantis Press
SP  - 179
EP  - 184
SN  - 2352-5428
UR  - https://doi.org/10.2991/aebmr.k.211207.028
DO  - https://doi.org/10.2991/aebmr.k.211207.028
ID  - Hawari2021
ER  -