The development of community-based solar power plants (PLTS) requires\nsubstantial funding and broad support, according to Muslims for Shared\nAction on Climate Impact (Mosaic). Hidayat Tri Sutardjo, General\nTreasurer of Mosaic, stated in Jakarta on Wednesday that a breakthrough\nis needed to realise this development. \u201cThis development requires a\nfunding strategy and broad support so that the 2060 net-zero emissions\ntarget can be achieved,\u201d he said during a discussion on the potential of\nIslamic finance for community-based PLTS funding.<\/p>\n
He noted that new renewable energy has not been optimally utilised,\nand the country still relies heavily on coal for electricity. Hidayat\nadded that Indonesia possesses abundant sources of new renewable energy,\nbut the initial investment required is significant.<\/p>\n
Mosaic is currently seeking funding sources, particularly those based\non Islamic finance, given the substantial benefits of new renewable\nenergy. Hidayat explained that the biggest barrier to accelerating\nrenewable energy is often the continued dependence on coal,\nnecessitating strong policies and a gradual transition. \u201cFurthermore,\nlow public literacy due to a lack of education results in minimal\nsupport for green economic products and policies,\u201d he said.<\/p>\n
In addition, the high investment costs for green energy\ninfrastructure require a comprehensive funding strategy and extensive\nsupport. Mosaic is therefore examining how policy, technology, and\nSharia financial instruments can collaborate to facilitate community\naccess to solar panel technology. \u201cWe hope this discussion can produce\nconcrete recommendations, new collaborations, and real steps that can be\nimplemented immediately,\u201d he added.<\/p>\n
Mosaic Program Director Aldy Permana stated that the investment\nneeded to build a 1-megawatt capacity PLTS is approximately Rp22\nbillion, with an operational lifespan of 20 years. Annual maintenance\ncosts are around Rp330 million. He suggested that Sharia financing could\nbe one source for developing community-based PLTS. \u201cThis is one of the\nefforts to support the government\u2019s plan to build 100 Gigawatts (GW) of\nPLTS,\u201d he said.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/community-based-solar-power-development-requires-large-funding-1782305701", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }