{
    "success": true,
    "data": {
        "id": 1775375,
        "msgid": "iesr-reveals-three-models-for-managing-solar-power-plants-in-indonesian-villages-1780288322",
        "date": "2026-05-31 07:59:25",
        "title": "IESR Reveals Three Models for Managing Solar Power Plants in Indonesian Villages",
        "author": " ",
        "source": "GALERT",
        "tags": "",
        "topic": "Energy",
        "summary": "The Institute for Essential Services Reform (IESR) has stressed that Indonesia\u2019s 100 GW solar power initiative must adopt tailored management models for each village, as a uniform approach risks economic inefficiency and long-term sustainability. It recommends three distinct models based on local institutional capacity, urging detailed government analysis to ensure projects align with community needs and maximise investment benefits.",
        "content": "<p>The Institute for Essential Services Reform (IESR) states that the\nsuccess of the 100-gigawatt (GW) PLTS programme at village level depends\nheavily on management models tailored to the institutional capacity and\nenergy needs of each region. A one-size-fits-all approach risks\nhindering long-term economic benefits and project sustainability.<\/p>\n<p>CEO Fabby Tumiwa of the IESR said village electrification and energy\nuse for productive economic activities are key components of the\nnational PLTS development agenda. Under this framework, Village\nCooperatives (KDKMP) and Village-Owned Enterprises (BUMDes) can serve as\noperators, asset owners, or energy service providers.<\/p>\n<p>Fabby noted that each village has distinct characteristics in terms\nof institutional capacity, funding ability, and market potential.\n\u2018Business models cannot be uniformly applied across all regions,\u2019 he\nsaid during a media briefing titled \u2018Indonesia Chasing 100 GW PLTS: What\nNeeds Attention?\u2019 in Jakarta.<\/p>\n<p>IESR has identified three primary management models for village PLTS,\napplicable based on regional readiness. The first model positions KDKMP\nas a mini-utility or electricity service operator, with asset ownership\nheld by a third party. This scheme is best suited for newly formed or\ninstitutionally limited village cooperatives.<\/p>\n<p>The second model makes KDKMP the owner of PLTS assets and battery\nenergy storage systems (BESS). This approach could yield higher\nlong-term revenues but requires stronger managerial capacity and\nfinancial support.<\/p>\n<p>Meanwhile, the third model positions KDKMP as an energy service\nprovider or energy-as-a-service (EaaS) operator. This scheme is suitable\nfor villages not connected to the main grid with high productive energy\nneeds. \u2018No single business model can be universally applied, as each\nvillage has differing institutional and economic conditions,\u2019 he\nsaid.<\/p>\n<p>Fabby stressed the government must conduct detailed analyses before\ndetermining village PLTS development models. The Ministries of\nCooperatives and Villages play a crucial role in mapping the readiness\nof each KDKMP, covering institutional capacity, financial readiness,\ncommunity electricity needs, local commodity market potential, and\nopportunities to sell power to PT PLN (Persero).<\/p>\n<p>Without thorough assessments, PLTS construction risks misalignment\nwith local economic needs, preventing maximised investment benefits.\n\u2018Without such analysis, village PLTS development risks not meeting local\neconomic requirements,\u2019 Fabby added.<\/p>\n<p>National Solar Task Force<\/p>\n<p>Alongside promoting village-level assessments, IESR proposed\nshort-term strategic steps for 2026-2027 to accelerate the 100 GW PLTS\nprogramme. A key recommendation is establishing a National Solar Task\nForce to coordinate implementation across ministries, PLN, local\ngovernments, and businesses.<\/p>\n<p>\u2018We also urge the government to develop a five-year implementation\nplan with annual targets, priority locations, financing models,\nprocurement mechanisms, and clear success indicators,\u2019 Fabby said.<\/p>\n<p>On the regulatory front, the government is urged to expedite hybrid\nPLTS tariff regulations and expand their scope to support diesel\ngenerator (PLTD) decommissioning in isolated areas and reduce fossil\nfuel consumption in large-scale power systems.<\/p>\n<p>PLTS project procurement transparency must be strengthened through\nevaluations of the Selected Supplier List (DPT), feasibility studies,\nand clearer role delineation between PLN Central, PLN Indonesia Power,\nand PLN Nusantara Power.<\/p>\n<p>He also recommended revising rooftop PLTS regulations to include\nquota exemptions for customers installing BESS. Initial incentives are\ncrucial to lower the still relatively high costs of energy storage\ninvestments.<\/p>\n<p>For 2027-2030, Fabby said the government must undertake structural\ntransformation to ensure sustainable national solar development. This\nincludes adopting open bidding or competitive reverse auction mechanisms\nfor PLTS procurement to enhance cost efficiency and project\ntransparency.<\/p>\n<p>The government is also urged to establish a centralised funding\nplatform to support PLTS and BESS investments, supply chain development,\nand operations and maintenance services. Additionally, developing a\nnational network for spare parts and PLTS maintenance services in\nstrategic regions is vital for long-term system reliability.<\/p>\n<p>\u2018In the human resources sector, solar energy workforce training must\nbe expanded, covering installation, operations, maintenance,\nmanufacturing, and battery energy storage system integration,\u2019 he\nadded.<\/p>",
        "url": "https:\/\/jawawa.id\/newsitem\/iesr-reveals-three-models-for-managing-solar-power-plants-in-indonesian-villages-1780288322",
        "image": ""
    },
    "sponsor": "Okusi Associates",
    "sponsor_url": "https:\/\/okusiassociates.com"
}